Special Charges (Recoveries)

3 Months Ended

Sep. 30, 2018

Restructuring, Settlement and Impairment Provisions [Abstract]

Special charges (recoveries) include costs and recoveries that relate to certain restructuring initiatives that we have undertaken from time to time under our various restructuring plans, as well as acquisition-related costs and other charges.



	Three Months Ended September 30,
	2018			2017
Fiscal 2019 Restructuring Plan	$	20,246		$	—
Fiscal 2018 Restructuring Plan	535			6,389
Fiscal 2017 Restructuring Plan	1,057			4,364
Restructuring Plans prior to Fiscal 2017 Restructuring Plan	(503		)	(83		)
Acquisition-related costs	507			2,256
Other charges (recoveries)	1,469			5,105
Total	$	23,311		$	18,031

Fiscal 2019 Restructuring Plan

During Fiscal 2019, we began to implement restructuring activities to streamline our operations (Fiscal 2019 Restructuring Plan) to take further steps to improve our operational efficiency. The Fiscal 2019 Restructuring Plan charges relate to workforce reductions and facility consolidations. These charges require management to make certain judgments and estimates regarding the amount and timing of restructuring charges or recoveries. Our estimated liability could change subsequent to its recognition, requiring adjustments to the expense and the liability recorded. On a quarterly basis, we conduct an evaluation of the related liabilities and expenses and revise our assumptions and estimates as appropriate.

As of September 30, 2018, we expect total costs to be incurred in conjunction with the Fiscal 2019 Restructuring Plan to be approximately $29.0 million, of which $20.3 million has already been recorded within "Special charges (recoveries)" to date.

A reconciliation of the beginning and ending liability for the three months ended September 30, 2018 is shown below.



Fiscal 2019 Restructuring Plan	Workforce reduction			Facility costs			Total
Balance payable as at June 30, 2018	$	—		$	—		$	—
Accruals and adjustments	10,110			10,136			20,246
Cash payments	(2,594		)	(621		)	(3,215		)
Foreign exchange and other non-cash adjustments	(15		)	(2,770		)	(2,785		)
Balance payable as at September 30, 2018	$	7,501		$	6,745		$	14,246

Fiscal 2018 Restructuring Plan

During Fiscal 2018 and in the context of our acquisitions of Covisint, Guidance and Hightail (each defined below), we began to implement restructuring activities to streamline our operations (collectively referred to as the Fiscal 2018 Restructuring Plan). The Fiscal 2018 Restructuring Plan charges relate to workforce reductions and facility consolidations. These charges require management to make certain judgments and estimates regarding the amount and timing of restructuring charges or recoveries. Our estimated liability could change subsequent to its recognition, requiring adjustments to the expense and the liability recorded. On a quarterly basis, we conduct an evaluation of the related liabilities and expenses and revise our assumptions and estimates as appropriate.

Since the inception of the plan, approximately $10.7 million has been recorded within "Special charges (recoveries)" to date. We do not expect to incur any further significant charges relating to this plan.

A reconciliation of the beginning and ending liability for the three months ended September 30, 2018 is shown below.



Fiscal 2018 Restructuring Plan	Workforce reduction			Facility costs			Total
Balance payable as at June 30, 2018	$	558		$	1,165		$	1,723
Accruals and adjustments	—			535			535
Cash payments	(240		)	(375		)	(615		)
Foreign exchange and other non-cash adjustments	11			(355		)	(344		)
Balance payable as at September 30, 2018	$	329		$	970		$	1,299

Fiscal 2017 Restructuring Plan

During Fiscal 2017 and in the context of acquisitions made in Fiscal 2017, we began to implement restructuring activities to streamline our operations (collectively referred to as the Fiscal 2017 Restructuring Plan). The Fiscal 2017 Restructuring Plan charges relate to workforce reductions and facility consolidations. These charges require management to make certain judgments and estimates regarding the amount and timing of restructuring charges or recoveries. Our estimated liability could change subsequent to its recognition, requiring adjustments to the expense and the liability recorded. On a quarterly basis, we conduct an evaluation of the related liabilities and expenses and revise our assumptions and estimates as appropriate.

Since the inception of the plan, $42.1 million has been recorded within "Special charges (recoveries)". We do not expect to incur any further significant charges relating to this plan.

A reconciliation of the beginning and ending liability for the three months ended September 30, 2018 is shown below.



Fiscal 2017 Restructuring Plan	Workforce reduction			Facility costs			Total
Balance payable as at June 30, 2018	$	1,590		$	3,431		$	5,021
Accruals and adjustments	—			1,057			1,057
Cash payments	(108		)	(196		)	(304		)
Foreign exchange and other non-cash adjustments	(3		)	(226		)	(229		)
Balance payable as at September 30, 2018	$	1,479		$	4,066		$	5,545

Acquisition-related costs

Included within "Special charges (recoveries)" for the three months ended September 30, 2018 are costs incurred directly in relation to acquisitions in the amount of $0.5 million (three months ended September 30, 2017—$2.3 million).

Other charges (recoveries)

For the three months ended September 30, 2018, "Other charges" include (i) $1.1 million relating to one-time system implementation costs and (ii) $0.3 million relating to other miscellaneous charges.

For the three months ended September 30, 2017, "Other charges" primarily include (i) $3.7 million relating to the implementation of a broad ERP system and (ii) $1.4 million relating to miscellaneous other charges.