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				Nine Months Ended
	September 30,				September 30,
	2018		2017		2018		2017
Employee-related restructuring expenses	$	23	$	1,061	$	801	$	2,318
Integration-related, legal and other non-recurring expenses	1,107		226		2,999		439
Facility reductions	—		57		190		57
Restructuring and other charges, net	$	1,130	$	1,344	$	3,990	$	2,814

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 September 30, 2018, the Company recorded the following restructuring charges:


•	$1.1 million in integration-related, legal and other non-recurring expenses related to the Company's 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 September 30, 2017, the Company recorded the following restructuring charges:

•

$1.1 million net expense relating to the severance for 57 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 the Company's go-forward strategy. An additional $1.0 million of expense will be recognized over a portion of the notified employees’ respective service terms that span up to the next three quarters subsequent September 30, 2017;


•	$0.2 million in non-recurring legal expenses; and


•	$0.1 million in facility reductions.

For the nine months ended September 30, 2018, the Company recorded the following restructuring charges:


•	$3.0 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; and


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

For the nine months ended September 30, 2017, the Company recorded the following restructuring charges:


•	$2.3 million net expense relating to the severance for 87 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 the Company's go-forward strategy;


•	$0.4 million in non-recurring legal expenses associated with closing a strategic agreement with a MediaEngine channel partner; and


•	$0.1 million in facility reductions.

Accrued restructuring, which is included in other accrued liabilities in the accompanying condensed consolidated balance sheets as of September 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	985			190			1,175
Reversals	(192		)	—			(192		)
Expenditures and payments	(3,473		)	(73		)	(3,546		)
Balance accrued as of September 30, 2018	$	94		$	117		$	211

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.