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Restructuring and Related Charges | 12 Months Ended
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Aug. 31, 2019
Restructuring and Related Activities [Abstract] |
Restructuring and Related Charges | Restructuring and Related Charges Following is a summary of the Company’s restructuring and related charges (in thousands):
|  | Fiscal Year Ended August 31,
|  | 2019 |  | 2018 |  | 2017(2)
Employee severance and benefit costs |  | $ | 16,029 |  |  | $ | 16,269 |  |  | $ | 56,834 |
Lease costs |  | (41 | ) |  | 1,596 |  |  | 3,966 |
Asset write-off costs |  | (3,566 | ) |  | 16,264 |  |  | 94,346 |
Other costs |  | 13,492 |  |  | 2,773 |  |  | 5,249 |
Total restructuring and related charges(1) |  | $ | 25,914 |  |  | $ | 36,902 |  |  | $ | 160,395 |
(1) | Includes $21.5 million, $16.3 million and $51.3 million recorded in the EMS segment, $2.6 million, $16.6 million and $82.4 million recorded in the DMS segment and $1.8 million, $4.0 million and $26.7 million of non-allocated charges for the fiscal years ended August 31, 2019, 2018 and 2017, respectively. Except for asset write-off costs, all restructuring and related charges are cash settled.
(2) | Fiscal year ended August 31, 2017, includes expenses related to the 2017 and 2013 Restructuring Plans.
2017 Restructuring Plan On September 15, 2016, the Company’s Board of Directors formally approved a restructuring plan to better align the Company’s global capacity and administrative support infrastructure to further optimize organizational effectiveness. This action includes headcount reductions across the Company’s selling, general and administrative cost base and capacity realignment in higher cost locations (the “2017 Restructuring Plan”). The 2017 Restructuring Plan, totaling $195.0 million in restructuring and other related costs, is complete as of August 31, 2019. The table below sets forth the cumulative restructuring and related charges incurred through August 31, 2019 for the 2017 Restructuring Plan (in thousands):
|  | 2017 Restructuring Plan(1)
Employee severance and benefit costs |  | $ | 74,656 |
Lease costs |  | 5,521 |
Asset write-off costs |  | 106,974 |
Other related costs |  | 7,395 |
Total restructuring and related charges |  | $ | 194,546 |
(1) | Includes $62.3 million allocated to the EMS segment, $101.6 million allocated to the DMS segment and $30.7 million of unallocated costs.
The tables below summarize the Company’s liability activity, primarily associated with the 2017 Restructuring Plan (in thousands):
|  | Employee Severance and Benefit Costs |  | Lease Costs |  | Asset Write-off Costs |  | Other Related Costs |  | Total
Balance as of August 31, 2017 |  | $ | 33,580 |  |  | $ | 1,665 |  |  | $ | — |  |  | $ | 3,143 |  |  | $ | 38,388 |
Restructuring related charges |  | 16,269 |  |  | 1,596 |  |  | 16,264 |  |  | 2,773 |  |  | 36,902 |
Asset write-off charge and other non-cash activity |  | (127 | ) |  | 525 |  |  | (16,264 | ) |  | 25 |  |  | (15,841 | )
Cash payments |  | (31,591 | ) |  | (1,102 | ) |  | — |  |  | (5,419 | ) |  | (38,112 | )
Balance as of August 31, 2018 |  | 18,131 |  |  | 2,684 |  |  | — |  |  | 522 |  |  | 21,337 |
Restructuring related charges |  | 16,029 |  |  | (41 | ) |  | (3,566 | ) |  | 2,071 |  |  | 14,493 |
Asset write-off charge and other non-cash activity |  | (494 | ) |  | — |  |  | 3,566 |  |  | (18 | ) |  | 3,054 |
Cash payments |  | (30,504 | ) |  | (663 | ) |  | — |  |  | (1,786 | ) |  | (32,953 | )
Balance as of August 31, 2019 |  | $ | 3,162 |  |  | $ | 1,980 |  |  | $ | — |  |  | $ | 789 |  |  | $ | 5,931 |
2020 Restructuring Plan On September 20, 2019, the Company’s Board of Directors formally approved a restructuring plan to realign the Company’s global capacity support infrastructure, particularly in the Company’s mobility footprint in China, in order to optimize organizational effectiveness. This action includes headcount reductions and capacity realignment (the “2020 Restructuring Plan”). The 2020 Restructuring Plan reflects the Company’s intention only and restructuring decisions, and the timing of such decisions, at certain locations are still subject to consultation with the Company’s employees and their representatives. The Company currently expects to recognize approximately $85.0 million in pre-tax restructuring and other related costs primarily over the course of the Company’s fiscal year 2020. This information will be subject to the finalization of timetables for the transition of functions, consultation with employees and their representatives as well as the statutory severance requirements of the particular jurisdictions impacted, and the amount and timing of the actual charges may vary due to a variety of factors. The Company’s estimates for the charges discussed above exclude any potential income tax effects.

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- Definition The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -URI http://asc.fasb.org/topic&trid=2175745 + Details
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