Exit Activity Costs And Asset Impairments

3 Months Ended

Mar. 31, 2013

Exit Activity Costs And Asset Impairments [Abstract]

Exit Activity Costs And Asset Impairments

12. EXIT ACTIVITY COSTS AND ASSET IMPAIRMENTS

The Company focuses on being the low-cost provider of its products by reducing operating costs and implementing lean manufacturing initiatives, which have in part led to the consolidation of facilities and product lines. The Company consolidated two facilities during 2012 in this effort. During this process, the Company has incurred exit activity costs, including contract termination costs, severance costs, and other moving and closing costs. These restructuring activities also resulted in $1,037,000 of asset impairment charges related to the facility consolidations during the three months ended March 31, 2012.

The following table provides a summary of where the exit activity costs and asset impairments were recorded in the statement of operations for the three months ended March 31 (in thousands):

		2013		2012
Cost of sales	$	29	$	1,766
Selling, general, and administrative expense		–		14
Total exit activity costs and asset impairments	$	29	$	1,780

The following table reconciles the beginning and ending liability for exit activity costs relating to the Company's facility consolidation efforts (in thousands):

		2013			2012
Balance as of January 1	$	1,323		$	2,315
Exit activity costs recognized		29			743
Cash payments		(315	)		(1,294	)
Balance as of March 31	$	1,037		$	1,764