Restructuring Costs

6 Months Ended

Apr. 30, 2019

Restructuring and Related Activities [Abstract]

RESTRUCTURING COSTS

Ciena has undertaken a number of restructuring activities intended to reduce expense and to better align its workforce and costs with market opportunities, product development and business strategies. The following table sets forth the restructuring activity and balance of the restructuring liability accounts for the six months ended April 30, 2019 (in thousands):



	Workforce reduction				Consolidation of excess facilities				Total
Balance at October 31, 2018	$	2,108			$	1,739			$	3,847
Additional liability recorded	5,661			⁽¹⁾	680			⁽²⁾	6,341
Cash payments	(6,667		)		(847		)		(7,514		)
Balance at April 30, 2019	$	1,102			$	1,572			$	2,674
Current restructuring liabilities	$	1,102			$	347			$	1,449
Non-current restructuring liabilities	$	—			$	1,225			$	1,225


(1)	Reflects a global workforce reduction of approximately 95 employees during the six months ended April 30, 2019 as part of a business optimization strategy to improve gross margin, constrain operating expense and redesign certain business processes.


(2)	Reflects unfavorable lease commitments in connection with a portion of the facilities for certain locations in the United States and India where Ciena has vacated unused space.

The following table sets forth the restructuring activity and balance of the restructuring liability accounts for the six months ended April 30, 2018 (in thousands):



	Workforce reduction				Consolidation of excess facilities				Total
Balance at October 31, 2017	$	1,291			$	1,648			$	2,939
Additional liability recorded	8,232			⁽¹⁾	2,088			⁽²⁾	10,320
Cash payments	(8,211		)		(1,896		)		(10,107		)
Balance at April 30, 2018	$	1,312			$	1,840			$	3,152
Current restructuring liabilities	$	1,312			$	865			$	2,177
Non-current restructuring liabilities	$	—			$	975			$	975


(1)	Reflects a global workforce reduction of approximately 150 employees during fiscal 2018 as part of a business optimization strategy to improve gross margin, constrain operating expense and redesign certain business processes.

(2)

Reflects unfavorable lease commitments in connection with a portion of facilities located in Petaluma, California where Ciena has vacated unused space.