Restructuring

In February 2016, the Company announced the implementation of a multi-year restructuring plan which is designed to realign its brands across its Fashion Lifestyle and Performance Lifestyle groups, optimize the Company's retail store fleet, and consolidate management and operations. In general, the intent of this restructuring plan is to streamline brand operations, reduce overhead costs, create operating efficiencies and improve collaboration.

In connection with the restructuring plan, the Company closed a total of 32 retail stores as of March 31, 2018 and consolidated its brand operations and corporate headquarters. The Company has incurred cumulative restructuring charges of $55,324 since commencement of the restructuring plan through March 31, 2018. Restructuring charges by reportable operating segment are as follows:



	Years Ended March 31,						Cumulative Restructuring Charges
	2018		2017		2016		Cumulative Restructuring Charges
UGG brand wholesale	$	—	$	2,238	$	—	$	2,238
Sanuk brand wholesale	—		20		3,048		3,068
Other brands wholesale	—		102		2,161		2,263
Direct-to-Consumer	149		12,771		10,534		23,454
Unallocated overhead costs	1,518		13,853		8,930		24,301
Total restructuring charges	$	1,667	$	28,984	$	24,673	$	55,324

During the years ended March 31, 2018, 2017, and 2016, of the total restructuring charges incurred and stated above, $1,667, $28,984, and $22,824 were recorded in SG&A expenses, respectively, and $1,849 in cost of sales during fiscal year 2016 in the consolidated statements of comprehensive income (loss).

Of the cumulative restructuring charges incurred through March 31, 2018, $4,728 remained accrued as of that date, with $1,347 and $3,381 recorded in short-term liabilities and long-term liabilities, respectively, in the consolidated balance sheets. The specific categories of restructuring charges, as well as payments associated with the related accrued liabilities, were as follows:



	Lease termination costs			Retail store fixed asset impairment			Severance costs			Software and office fixed asset impairment			Other*			Total
Fiscal year 2016 charges	$	8,852		$	5,758		$	4,003		$	3,788		$	2,272		$	24,673
Paid in cash	(1,223		)	—			(567		)	—			—			(1,790		)
Non-cash	—			(5,758		)	—			(3,788		)	(463		)	(10,009		)
Liability as of March 31, 2016	7,629			—			3,436			—			1,809			12,874
Additional charges	8,986			3,614			5,773			3,199			7,412			28,984
Paid in cash	(12,043		)	—			(6,403		)	—			(5,268		)	(23,714		)
Non-cash	—			(3,614		)	(251		)	(3,199		)	—			(7,064		)
Liability as of March 31, 2017	4,572			—			2,555			—			3,953			11,080
Additional charges	149			—			—			—			1,518			1,667
Paid in cash	(1,076		)	—			(2,555		)	—			(4,388		)	(8,019		)
Liability as of March 31, 2018	$	3,645		$	—		$	—		$	—		$	1,083		$	4,728

*Includes restructuring charges for costs related to office consolidations, termination of various contracts and other services.

The Company currently does not anticipate incurring material restructuring charges in future periods, though optimization of Company-owned retail stores remains a focus.

As a result of the implementation of this restructuring plan, the Company expects to realize additional annualized SG&A expense savings by the end of fiscal year 2020. Refer to the section entitled "Recent Developments," in "Management's Discussion and Analysis of Financial Condition and Results of Operations," in Part II, Item 7 of this Annual Report on Form 10-K for further information.