Restructuring Charges and Exit Activities

6 Months Ended

Jun. 30, 2011

Restructuring Charges and Exit Activities

Restructuring Charges and Exit Activities

5.  Restructuring Charges and Exit Activities

 Restructuring charges and exit activities includes employee termination costs, lease contracts executed for branch expansion and impairment of real estate acquired for branch expansion.  The following table provides information regarding liabilities associated with restructuring charges and exit activities (in thousands):

		Termination
		Benefits	Contract	Total
		Liability	Liability	Liability
Balance at January 1, 2010	$	10	3,681	3,691
Expenses incurred		-	216	216
Amounts paid or amortized		(10)	(330)	(340)
Balance at June 30, 2010	$	-	3,567	3,567
Balance at January 1, 2011	$	2,438	5,876	8,314
Expense reversals		(193)	(1,442)	(1,635)
Amounts paid or amortized		(2,059)	(2,814)	(4,873)
Balance at June 30, 2011	$	186	1,620	1,806

Beginning in December 2007, BankAtlantic terminated leases or sought to sublease properties that it had previously leased for future branch expansion. Liabilities were recorded for costs associated with these operating leases. These liabilities were measured at fair value and are accreted to rent expense until the leases are terminated or subleased.  BankAtlantic is actively seeking tenants for potential sub-leases or unrelated third parties to assume the lease obligations.  During the three months ended June 30, 2011, BankAtlantic terminated one operating lease and recovered $0.3 million of prior period lease termination costs. During the six months ended June 30, 2011, BankAtlantic terminated four operating leases and recovered $1.4 million of prior period lease termination costs. There were no lease terminations during the six months ended June 30, 2010.

                During the three and six months ended June 30, 2011 and 2010, BankAtlantic recognized impairments on real estate acquired for branch expansion of $0.4 million and $1.5 million, respectively.