XML 34 R24.htm IDEA: XBRL DOCUMENT
v3.23.2

Restructuring and Other Charges | 9 Months Ended
--- | ---
Jun. 30, 2023
Restructuring and Related Activities [Abstract] |
Restructuring and Other Charges | Restructuring and Other Charges During fiscal 2023, the Company implemented certain initiatives relating to the CMS separation, the activities of which are expected to continue through fiscal 2024, and restructuring related to the DVS segment reorganization and our investment in PA Consulting, the activities of which are expected to continue through fiscal 2023. During fiscal 2022, the Company implemented certain restructuring and integration initiatives relating to the StreetLight and BlackLynx acquisitions, the activities of which are expected to be substantially completed before the end of fiscal 2023. Also, during fiscal 2022 and continuing into fiscal 2023, the Company implemented further real estate rescaling efforts that were associated with its fiscal 2020 transformation program relating to real estate and other staffing initiatives. These initiatives are expected to continue through the remainder of fiscal 2023. During fiscal 2021, the Company implemented certain restructuring and integration initiatives relating to the acquisition of Buffalo Group LLC ("Buffalo Group") as well as integration related activities associated with our PA Consulting investment. The activities of the Buffalo Group initiative are substantially completed and the activities of the PA Consulting initiative are expected to end before the end of fiscal 2025. During fiscal 2019 and continuing into fiscal 2020, the Company implemented certain restructuring, separation and integration initiatives associated with the ECR sale, the acquisition of KeyW Holding Corporation ('KeyW"), and other related cost reduction initiatives. Additionally, in fiscal 2020, the Company implemented certain restructuring and integration initiatives associated with the acquisition of John Wood Group's nuclear business. The restructuring activities and related costs were comprised mainly of separation and lease abandonment and sublease programs, while the separation and 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 ECR-business separation. The activities of these initiatives have been substantially completed. As part of the Company's acquisition of CH2M Hill Companies, Ltd. ("CH2M") during fiscal 2018, the Company implemented certain restructuring plans that were comprised mainly of severance and lease abandonment programs as well as integration activities involving the engagement of professional services and internal personnel dedicated to the Company's integration management efforts. The activities of these initiatives have been substantially completed. 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 by reportable segment in connection with the CH2M, KeyW, John Wood Group's nuclear business, Buffalo Group, StreetLight and BlackLynx acquisitions, the PA Consulting investment, the ECR sale, the CMS separation, the DVS segment reorganization and the Company's transformation initiatives relating to real estate and other staffing programs for the three and nine months ended June 30, 2023 and July 1, 2022 (in thousands):
| Three Months Ended |  | Nine Months Ended
| June 30, 2023 |  | July 1, 2022 |  | June 30, 2023 |  | July 1, 2022
Critical Mission Solutions | $ | (1,128) |  |  | $ | (255) |  |  | $ | 2,136 |  |  | $ | 4,361 |
People & Places Solutions | 703 |  |  | 25 |  |  | 33,889 |  |  | 61,865 |
Divergent Solutions | 100 |  |  | — |  |  | 5,312 |  |  | — |
PA Consulting | 17,128 |  |  | 759 |  |  | 17,128 |  |  | 2,475 |
Corporate | 14,109 |  |  | 4,048 |  |  | 19,731 |  |  | 113,399 |
Total | $ | 30,912 |  |  | $ | 4,577 |  |  | $ | 78,196 |  |  | $ | 182,100 |
Amounts included in: |  |  |  |  |  |  |
Operating profit (mainly SG&A) (1) | $ | 31,184 |  |  | $ | 4,707 |  |  | $ | 79,129 |  |  | $ | 192,782 |
Other Income, net (2) | (272) |  |  | (130) |  |  | (933) |  |  | (10,682) |
| $ | 30,912 |  |  | $ | 4,577 |  |  | $ | 78,196 |  |  | $ | 182,100 |
(1)The three and nine months ended June 30, 2023 included $17.2 million in restructuring and other charges relating to the Company's investment in PA Consulting (primarily employee separation costs) and $13.4 million relating to the separation activities (mainly professional services) around the CMS separation. Included in the nine month period ended June 30, 2023 and July 1, 2022 were approximately $40.0 million and $77.0 million, respectively, in charges associated mainly with real estate impairments and related charges. Also included in the nine month period ended July 1, 2022 was $91.3 million related to the final pre-tax settlement of the Legacy CH2M Matter (defined below), net of previously recorded reserves and $24.5 million in transformation and other charges, the majority of which related to People and Places Solutions. (2)The nine month periods ended June 30, 2023 and July 1, 2022 included gains of $0.9 million and $7.1 million, respectively, related to lease terminations. The activity in the Company’s accruals for Restructuring and other charges for the nine months ended June 30, 2023 is as follows (in thousands):
Balance at September 30, 2022 | $ | 4,137 |
Net Charges (Credits) (1) | 39,088 |
Payments and other | (17,127) |
Balance at June 30, 2023 | $ | 26,098 |
(1) Excludes $39.1 million in charges associated mainly with real estate related impairments and other transformation activities described above during the nine months ended June 30, 2023. The following table summarizes the Restructuring and other charges by major type of costs for the three and nine months ended June 30, 2023 and July 1, 2022 (in thousands):
| Three Months Ended |  | Nine Months Ended
| June 30, 2023 |  | July 1, 2022 |  | June 30, 2023 |  | July 1, 2022
Lease Abandonments and Impairments | $ | 803 |  |  | $ | (32) |  |  | $ | 38,076 |  |  | $ | 67,805 |
Voluntary and Involuntary Terminations | 17,925 |  |  | (76) |  |  | 26,434 |  |  | 5,035 |
Outside Services | 12,168 |  |  | 4,337 |  |  | 13,646 |  |  | 20,513 |
Other (1) | 16 |  |  | 348 |  |  | 40 |  |  | 88,747 |
Total | $ | 30,912 |  |  | $ | 4,577 |  |  | $ | 78,196 |  |  | $ | 182,100 |
(1) The nine month period ended July 1, 2022 amounts are comprised mainly of $91.3 million in other charges related to the final pre-tax settlement of the Legacy CH2M Matter, net of previously recorded reserves. Cumulative amounts incurred to date under our various Restructuring and other activities described above by each major type of cost as of June 30, 2023 are as follows (in thousands):
Lease Abandonments and Impairments | $ | 425,678 |
Voluntary and Involuntary Terminations | 176,811 |
Outside Services | 329,979 |
Other | 208,305 |
Total | $ | 1,140,773 |

X
- References No definition available. + Details
Name: | us-gaap_RestructuringAndRelatedActivitiesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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://www.xbrl.org/2003/role/disclosureRef -Topic 420 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (b)(2) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482017/420-10-50-1 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482017/420-10-50-1 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//420/tableOfContent Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482017/420-10-50-1 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 5.P.4(e)) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479823/420-10-S99-2 + Details
Name: | us-gaap_RestructuringAndRelatedActivitiesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration