Restructuring and Other Charges

During the fourth fiscal quarter of 2017, the Company implemented certain restructuring and pre-integration plans associated with the pending acquisition of CH2M, which closed on December 15, 2017. The restructuring activities and related costs under these plans were comprised mainly of severance and lease abandonment programs, while the pre-integration activities and costs were mainly related to the engagement of consulting services and internal personnel and other related costs dedicated to the Company’s acquisition integration management efforts. Following the closing of the CH2M acquisition, these activities have continued into the first three quarters of 2018 and include restructuring activities amounting to approximately $33.9 million and $94.6 million in pre-tax charges during the three and nine month periods ended June 29, 2018, respectively. The integration activities for the same periods amounted to approximately $12.6 million and $40.6 million in pre-tax charges for the three and nine months ended June 29, 2018, respectively. These activities are expected to continue through fiscal 2019 and are not expected to involve the exit of any service types or client end-markets.

During the second fiscal quarter of 2017, the Company entered into strategic business restructuring activities associated with realignment of its Europe, United Kingdom ("U.K.") and Middle East regional operations in our BIAF segment. Pre-tax net charges of $22.6 million were recorded associated mainly with net realizable value write-offs on contract accounts receivable of $16.5 million, with additional charges recorded for statutory redundancy and severance costs of $1.4 million and other liabilities of $4.7 million which are both expected to be paid or settled within the next twelve months.

During the second fiscal quarter of 2015, the Company began implementing a series of initiatives intended to improve operational efficiency, reduce costs, and better position itself to drive growth of the business in the future. We refer to these initiatives, in the aggregate, as the “2015 Restructuring”. These activities evolved and developed over time as management identified and evaluated opportunities for changes in the Company’s operations (and related areas of potential cost savings), as economic conditions changed and as the realignment of the Company’s operations into its four global LOBs was implemented. Actions related to the 2015 Restructuring included involuntary terminations, the abandonment of certain leased offices, combining operational organizations, and the colocation of employees into other existing offices. These activities did not involve the exit of any service types or client end-markets. The 2015 Restructuring was completed in fiscal 2017, although related cash payments continue to be made under the related accruals recorded in connection with these activities.

Collectively, the above mentioned restructuring activities are referred to as “Restructuring and other charges.”

The following table summarizes the impacts of the Restructuring and other charges (or recoveries, which primarily relate to the reversals of lease abandonment accruals related to previously vacated facilities which are now planned to be utilized) by line of business in connection with the CH2M acquisition for the three and nine months ended June 29, 2018 and the 2015 Restructuring and realignment of the Company's Europe, U.K. and Middle East regional operations for the three and nine months ended June 30, 2017 (in thousands):



	Three Months Ended						Nine Months Ended
	June 29, 2018			June 30, 2017			June 29, 2018		June 30, 2017
Aerospace, Technology, Environmental and Nuclear	$	16,936		$	(18	)	$	18,655	$	1,628
Buildings, Infrastructure and Advanced Facilities	32,423			8,504			53,603		47,697
Energy, Chemicals and Resources	16,379			(652		)	12,412		35,790
Corporate(1)	(19,282		)	2,866			50,486		30,784
Total	$	46,456		$	10,700		$	135,156	$	115,899

(1) The three month ended June 29, 2018 amounts reflect certain reclassifications between corporate and the lines of businesses associated with the CH2M acquisition to conform with year to date presentations.

The activity in the Company’s accrual for the Restructuring and other charges for the nine-month period ended June 29, 2018 is as follows (in thousands):



Balance at September 29, 2017	$	142,767
CH2M acquisition assumed liabilities	31,576
CH2M charges	135,156
Payments and other	(133,324		)
Balance at June 29, 2018	$	176,175

The following table summarizes the Restructuring and other charges by major type of costs in connection with the CH2M acquisition for the three and nine month periods ended June 29, 2018, and the 2015 Restructuring and realignment of the Company's Europe, U.K. and Middle East regional operations for the three and nine months ended June 30, 2017 (in thousands):



	Three Months Ended				Nine Months Ended
	June 29, 2018		June 30, 2017		June 29, 2018		June 30, 2017
Lease Abandonments	$	14,678	$	2,712	$	55,114	$	47,313
Involuntary Terminations	10,215		4,120		29,335		34,006
Outside Services	11,418		684		28,176		4,236
Other	10,145		3,184		22,531		30,344
Total	$	46,456	$	10,700	$	135,156	$	115,899

Cumulative amounts incurred to date for Restructuring and other charges by each major type of cost as of June 29, 2018 are as follows (in thousands):



Lease Abandonments	$	293,973
Involuntary Terminations	213,914
Outside Services	52,545
Other	55,262
Total	$	615,694