RESTRUCTURING INITIATIVE

6 Months Ended

Jun. 30, 2013

RESTRUCTURING INITIATIVE

RESTRUCTURING INITIATIVE

NOTE 15 – RESTRUCTURING INITIATIVE

On November 1, 2012, the Company announced a plan to optimize certain capacity in Europe (the “EOO” plan).  Due to increased production efficiencies and to better position the Company for future growth in Europe, AptarGroup will transfer and consolidate production capacity involving twelve facilities.  Two facilities, one in Italy and one in Switzerland, are expected to close and will impact approximately 170 employees.  The locations involved in the EOO plan are facilities that are serving the beauty, personal care, food, beverage, and consumer health care markets.  The total costs associated with the plan are estimated to be approximately €14 million (approximately $18 million using current exchange rates) of which approximately €4 million (approximately $6 million using current exchange rates) relates to non-cash expenses and will be included in depreciation and amortization in the Condensed Consolidated Statements of Income.  The cumulative expense incurred to date is $12.5 million.  As of June 30, 2013 we have recorded the following activity associated with our EOO plan:

	Beginning		Net Charges for								Ending
	Reserve at		the Six Months								Reserve at
	12/31/12		Ended 6/30/13		Cash Paid			FX Impact			6/30/13
Employee severance	$	3,158	$	5,345	$	(3,375	)	$	(85	)	$	5,043
Other costs	--		1,277		(1,246		)	3			34
Totals	$	3,158	$	6,622	$	(4,621	)	$	(82	)	$	5,077

In addition to the above charges, $1.0 million of accelerated depreciation was incurred in the first half of 2013.  This amount is included within depreciation and amortization in the Condensed Consolidated Statements of Income.