11. RESTRUCTURING

In March 2016, the Company announced a long-term plan (“Corvallis plan”) to consolidate all of the Company’s operations to Massachusetts and reduce its workforce by approximately 19% as part of a strategic plan to increase operational efficiency. As part of the consolidation, research activities and some employees transitioned to the Company’s facilities in Andover and Cambridge, Massachusetts. As of September 30, 2017, all relocations and terminations under the Corvallis plan were completed.

The second floor and the first floor of the Corvallis facility were vacated and closed and made available for sub-leasing in December 2016 and April 2017, respectively. Using a discounted cash flow methodology and based on monthly rent payments as well as estimated sublease income, the Company recognized a total of approximately $1.6 million and $2.4 million, in restructuring expenses for the second and the first floor, respectively. As of December 31, 2017, the Company continues to be obligated to make $4.9 million of minimum lease payments and certain other contractual maintenance costs for the whole facility.

In August 2016, the Company implemented a restructuring plan in Cambridge, Massachusetts (“Cambridge plan”) and reduced its workforce by approximately 6%. The restructuring costs associated with the Cambridge plan consist of costs associated with workforce reduction totaling $0.6 million. The Cambridge plan was completed as of October 31, 2016.

For the years ended December 31, 2017 and 2016, the Company recognized $3.0 million and $4.6 million as restructuring expenses, respectively, less than $0.1 million and $2.3 of which related to workforce reduction.

The following table summarizes the restructuring costs by function for the period indicated:

	For the Year Ended December 31
	2017						2016
	(in thousands)
	Cash		Non-cash		Total		Cash		Non-cash		Total
Research and development	$	188	$	—	$	188	$	1,631	$	382	$	2,013
Selling, general and administrative		2,832		—		2,832		2,020		529		2,549
Total restructuring expenses	$	3,020	$	—	$	3,020	$	3,651	$	911	$	4,562

The following table summarizes the restructuring reserve for each of the periods indicated:

	For the Year Ended December 31
	2017			2016
	(in thousands)
Restructuring reserve beginning balance	$	1,588		$	—
Restructuring expenses incurred during the period		3,020			3,651
Amounts paid during the period		(1,675	)		(2,063	)
Restructuring reserve ending balance	$	2,933		$	1,588