17.

Restructuring

The Company accounts for charges resulting from operational restructuring actions in accordance with ASC Topic

420,

Exit or Disposal Cost Obligations

(“ASC

420”

) and ASC Topic

712,

Compensation—Nonretirement Postemployment Benefits

(“ASC

712”

). In accounting for these obligations, the Company is required to make assumptions related to the amounts of employee severance, benefits, and related costs and the time period over which leased facilities will remain vacant, sublease terms, sublease rates and discount rates. Estimates and assumptions are based on the best information available at the time the obligation arises. These estimates are reviewed and revised as facts and circumstances dictate; changes in these estimates could have a material effect on the amount accrued on the consolidated balance sheet.

The

$0.5

million charged to operations in the fiscal year ended

March 31, 2019

was related to exit costs incurred primarily during the

first

half of fiscal

2018

for the move of the Company's corporate office .

April 3, 2017,

the Board of Directors approved a plan to reduce the Company’s global workforce by approximately

8%,

effective

April

2017.

The purpose of the workforce reduction was to reduce operating expenses to better align with the Company’s current revenues. Included in the

$1.3

million severance pay, charged to operations in the fiscal year ended

March 31, 2018,

$0.5

million of severance pay for

one

of the Company's former executive officers pursuant to the terms of a severance agreement dated

June 30, 2017.

Under the terms of the severance agreement, the Company's former executive officer was entitled to

months of his base salary, and received his final severance payment in

December 2018.

The following table presents restructuring charges and cash payments during the years ended

March 31, 2019

and

2018

(in thousands):

	Severance pay and benefits			Facility exit and Relocation costs			Total
Accrued restructuring balance at April 1, 2018	$	262		$	173		$	435
Charges to operations		—			450			450
Cash payments		(262	)		(623	)		(885	)
Accrued restructuring balance at March 31, 2019	$	—		$	—		$	—

Accrued restructuring balance at April 1, 2017	$	—		$	—		$	—
Charges to operations		1,325			202			1,527
Cash payments		(1,063	)		(29	)		(1,092	)
Accrued restructuring balance at March 31, 2018	$	262		$	173		$	435

All restructuring charges discussed above are included within restructuring in the Company’s consolidated statements of operations. The Company includes accrued restructuring within accounts payable and accrued expenses in the consolidated balance sheets.