Restructuring and Other Charges

The following table summarizes the Company's restructuring and other charges as presented in the condensed consolidated statements of operations (in thousands):



	Three Months Ended					Six Months Ended
	June 30,					June 30,
	2018			2017		2018		2017
Employee-related restructuring expenses (recoveries)	$	(86	)	$	1,215	$	778	$	1,257
Integration-related, legal and other non-recurring expenses	1,375			20		1,892		213
Facility reductions	—			—		190		—
Restructuring and other charges, net	$	1,289		$	1,235	$	2,860	$	1,470

Restructuring and other charges may include costs from events such as costs incurred for employee severance, acquisition or divestiture activities, excess facility costs, certain legal costs, asset related charges and other expenses associated with business restructuring activities.

For the three months ended June 30, 2018, the Company recorded the following restructuring charges:


•	$1.4 million in integration-related, legal and other non-recurring expenses related to the contract manufacturing transfer and non-recurring costs associated with legal, banking, accounting and tax advice associated with the planned merger.

For the three months ended June 30, 2017, the Company recorded the following restructuring charges:


•	$1.2 million net expense relating to the severance for 28 employees primarily in North America and Asia in connection with a reduction in legacy Hardware Solutions engineering and support staff as well as rationalization across various other functional organizations to better align with the Company's go-forward strategy.

For the six months ended June 30, 2018, the Company recorded the following restructuring charges:


•	$1.9 million in integration-related, legal and other non-recurring expenses related to the contract manufacturing transfer and non-recurring costs associated with legal, banking, accounting and tax advice associated with the planned merger;

•

$0.8 million expense relating to employees primarily in Asia and North America in connection with a reduction in legacy Hardware Solutions engineering and support staff as well as rationalization across various other functional organizations to better align with our go-forward strategy. Severance expense includes 14 employees notified during the period as well as $0.6 million of expense amortization for employees who were notified in a previous period and whose respective severance term spans more than 90 days; and


•	$0.2 million in facility reductions in the United States.

For the six months ended June 30, 2017, the Company recorded the following restructuring charges:


•	$1.3 million net expense relating to the severance for 30 employees primarily in North America and Asia in connection with a reduction in legacy Hardware Solutions engineering and support staff as well as rationalization across various other functional organizations to better align with the Company's go-forward strategy; and


•	$0.2 million in non-recurring legal expenses associated with closing a strategic agreement with a MediaEngine channel partner.

Accrued restructuring, which is included in other accrued liabilities in the accompanying condensed consolidated balance sheets as of June 30, 2018 and December 31, 2017, consisted of the following (in thousands):



	Severance, payroll taxes and other employee benefits			Facility reductions			Total
Balance accrued as of December 31, 2017	$	2,774		$	—		$	2,774
Additions	969			190			1,159
Reversals	(191		)	—			(191		)
Expenditures and payments	(3,357		)	(41		)	(3,398		)
Balance accrued as of June 30, 2018	$	195		$	149		$	344

The Company evaluates the adequacy of the accrued restructuring charges on a quarterly basis. Reversals are recorded in the period in which the Company determines that expected restructuring obligations are less than the amounts accrued.