XML 31 R11.htm IDEA: XBRL DOCUMENT v3.19.2
Restructuring and Impairment
6 Months Ended
Apr. 30, 2019
Restructuring Costs [Abstract]  
Restructuring and Impairment

Note 4.  Restructuring and Impairment

On April 12, 2019, the Company undertook a reorganization, which included a reduction in force of 135 employees, which represented 30% of the Company’s global workforce. The workforce was reduced at the North American production facility in Torrington, Connecticut, as well as at corporate offices in Danbury, Connecticut and at remote locations.  There was no restructuring expense recorded because no severance was provided in connection with the reduction in force.  The Company has also reduced its materials spend and is implementing various cost control initiatives.

In connection with the reorganization, the Company also reviewed certain construction in process projects and identified a non-commercial construction in process asset related to automation equipment for use in manufacturing which has been determined to be impaired due to uncertainty as to whether the asset will be completed as a result of the Company’s liquidity position and continued low level of production rates.  The Company recorded a charge of $2.8 million which is included in Product cost of revenues on the Consolidated Statements of Operations for the three and six months ended April 30, 2019.