Restructuring

Since the first quarter of 2017, we have been taking steps to reduce our overall employee headcount in an effort to minimize job duplication or evaluate where we should shift and centralize activities, improve efficiencies, and rebalance our resources on higher return activities. The timing and scope of our headcount reductions will vary.

A summary of the charges in the consolidated statement of operations resulting from our restructuring activities is shown below:



	Three Months Ended March 31,
(In thousands)	(Unaudited)
	2018		2017
Cost of sales	$	28	333
Research and development	146		254
Sales and marketing	1,645		2,355
General and Administration	612		175
Total restructuring and other related costs	$	2,431	3,117

A summary of balance sheet activity related to the restructuring activity is shown below:



	Restructuring Liability
	(in thousands)
Balance as of December 31, 2017	$	5,408
Income statement expense	2,431
Cash payments	(3,940		)
Balance as of March 31, 2018	$	3,899

The restructuring liability of $3.9 million at March 31, 2018 relating to this restructuring activity is recorded in the “accrued compensation” line item of the consolidated balance sheet.

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