Restructuring and Other	9 Months Ended
Oct. 02, 2016
Restructuring and Other	N. Restructuring and Other *Other* On April 16, 2016, an earthquake in Kumamoto, Japan damaged Teradyne’s main building at that location. The Teradyne owned building, which was used for engineering, production, and support operations, was damaged beyond repair and has no remaining utility to Teradyne. During the nine months ended October 2, 2016, Teradyne wrote off the building’s carrying value of $4.2 million. In the three and nine months ended October 2, 2016, Teradyne recorded $0.3 million and $1.2 million, respectively, of earthquake related expenses. Teradyne has $10 million of earthquake insurance with a deductible of approximately $2.5 million for the location. The $5.4 million of total charges were offset by $5.4 million of property insurance recovery. The charges and property insurance recovery were recognized in restructuring and other in the statement of operations. Teradyne has temporarily transferred some operations to other facilities in Japan and elsewhere while its Kumamoto operations are restored. During the three months ended October 2, 2016, Teradyne recorded an expense of $8.0 million for the increase in the fair value of contingent consideration liability related to Universal Robots. During the nine months ended October 2, 2016, Teradyne recorded an expense of $10.5 million for the increase in the fair value of contingent consideration liability, of which $9.9 million was related to Universal Robots and $0.6 million was related to AIT. During the three months ended October 4, 2015, Teradyne recorded a $1.0 million gain from the decrease in the fair value of the AIT contingent consideration liability, partially offset by $0.1 million of acquisition costs related to Universal Robots. During the nine months ended October 4, 2015, Teradyne recorded a $2.6 million gain from the decrease in the fair value of contingent consideration liability, of which $1.6 million was related to the ZTEC acquisition and $1.0 million was related to the AIT acquisition, partially offset by $1.1 million of acquisition costs related to Universal Robots. *Restructuring* During the three months ended October 2, 2016, Teradyne recorded $4.2 million of severance charges related to headcount reductions of 72 people, of which 55 people were in Wireless Test and 17 people were in Semiconductor Test. During the nine months ended October 2, 2016, Teradyne recorded $5.9 million of severance charges related to headcount reductions of 146 people, of which 102 people were in Wireless Test and 44 people were in Semiconductor Test. During the three and nine months ended October 4, 2015, Teradyne recorded $1.1 million and $1.4 million, respectively, of severance charges related to headcount reductions of 18 and 22 people, respectively, primarily in System Test.

Restructuring and Other

9 Months Ended

Oct. 02, 2016

N. Restructuring and Other

Other

On April 16, 2016, an earthquake in Kumamoto, Japan damaged Teradyne’s main building at that location. The Teradyne owned building, which was used for engineering, production, and support operations, was damaged beyond repair and has no remaining utility to Teradyne. During the nine months ended October 2, 2016, Teradyne wrote off the building’s carrying value of $4.2 million. In the three and nine months ended October 2, 2016, Teradyne recorded $0.3 million and $1.2 million, respectively, of earthquake related expenses. Teradyne has $10 million of earthquake insurance with a deductible of approximately $2.5 million for the location. The $5.4 million of total charges were offset by $5.4 million of property insurance recovery. The charges and property insurance recovery were recognized in restructuring and other in the statement of operations. Teradyne has temporarily transferred some operations to other facilities in Japan and elsewhere while its Kumamoto operations are restored.

During the three months ended October 2, 2016, Teradyne recorded an expense of $8.0 million for the increase in the fair value of contingent consideration liability related to Universal Robots.

During the nine months ended October 2, 2016, Teradyne recorded an expense of $10.5 million for the increase in the fair value of contingent consideration liability, of which $9.9 million was related to Universal Robots and $0.6 million was related to AIT.

During the three months ended October 4, 2015, Teradyne recorded a $1.0 million gain from the decrease in the fair value of the AIT contingent consideration liability, partially offset by $0.1 million of acquisition costs related to Universal Robots.

During the nine months ended October 4, 2015, Teradyne recorded a $2.6 million gain from the decrease in the fair value of contingent consideration liability, of which $1.6 million was related to the ZTEC acquisition and $1.0 million was related to the AIT acquisition, partially offset by $1.1 million of acquisition costs related to Universal Robots.

Restructuring

During the three months ended October 2, 2016, Teradyne recorded $4.2 million of severance charges related to headcount reductions of 72 people, of which 55 people were in Wireless Test and 17 people were in Semiconductor Test.

During the nine months ended October 2, 2016, Teradyne recorded $5.9 million of severance charges related to headcount reductions of 146 people, of which 102 people were in Wireless Test and 44 people were in Semiconductor Test.

During the three and nine months ended October 4, 2015, Teradyne recorded $1.1 million and $1.4 million, respectively, of severance charges related to headcount reductions of 18 and 22 people, respectively, primarily in System Test.