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SPECIAL CHARGES (RECOVERIES) | 6 Months Ended
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Dec. 31, 2020
Restructuring, Settlement and Impairment Provisions [Abstract] |
SPECIAL CHARGES (RECOVERIES) | SPECIAL CHARGES (RECOVERIES) 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 December 31, |  | Six Months Ended December 31,
| 2020 |  | 2019 |  | 2020 |  | 2019
COVID-19 Restructuring Plan | $ | (11,285) |  |  | $ | — |  |  | $ | (7,734) |  |  | $ | — |
Fiscal 2020 Restructuring Plan | (7,523) |  |  | — |  |  | 1,202 |  |  | — |
Restructuring Plans prior to Fiscal 2020 Restructuring Plan | (88) |  |  | (393) |  |  | 1 |  |  | 1,483 |
Acquisition-related costs | 659 |  |  | 7,779 |  |  | 1,448 |  |  | 10,445 |
Other charges (recoveries) | 743 |  |  | 2,686 |  |  | 833 |  |  | 3,245 |
Total | $ | (17,494) |  |  | $ | 10,072 |  |  | $ | (4,250) |  |  | $ | 15,173 |
During Fiscal 2020, we entered into the COVID-19 and Fiscal 2020 Restructuring Plans (as defined below), which included the abandonment of certain leased facilities. As a result of the COVID-19 pandemic, at the time of the initial abandonment of leased facilities during the fourth quarter of Fiscal 2020, we anticipated that we would not be able to early terminate any of our lease obligations. During the three and six months ended December 31, 2020, we recorded net recoveries of $26.5 million and $26.9 million, respectively, within "Special charges (recoveries)" relating to early lease terminations and assignments of previously abandoned office space. These recoveries were recorded under the COVID-19 and Fiscal 2020 Restructuring Plans, consistent with the initial abandonment. COVID-19 Restructuring Plan During the fourth quarter of Fiscal 2020, in response to the COVID-19 pandemic, we made a strategic decision to move towards a significant work from home model. We began to implement restructuring activities to streamline our operations and significantly reduce our real estate footprint around the world (COVID-19 Restructuring Plan). The COVID-19 Restructuring Plan charges relate to workforce reductions and facility costs, including the accelerated amortization associated with the abandonment of ROU assets, the write-off of fixed assets and other related variable lease and exit costs. 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. With respect to the COVID-19 Restructuring Plan, at the time of initial abandonment we assumed there would be no additional sublease income, lease assignments or early terminations from vacated facilities. During the three and six months ended December 31, 2020, we recognized net recoveries of $13.6 million and $13.9 million, respectively, relating to office space that was abandoned during the fourth quarter of Fiscal 2020 and has since been early terminated or assigned to a third party, as discussed above. Included in these recoveries are $9.7 million and $10.1 million, respectively, relating to the reversal of lease liabilities (see note 6 "Leases"), with the remainder relating to the reversal of other facility charges. Additionally, during the three and six months ended December 31, 2020, we incurred $2.3 million and $6.2 million, respectively, of charges related to abandoned facilities, workforce reductions and the write-off of fixed assets. As of December 31, 2020, we expect total costs to be incurred in connection with the COVID-19 Restructuring Plan to be approximately $47 million to $53 million, of which $45.9 million has been recorded within "Special charges (recoveries)" to date. A reconciliation of the beginning and ending restructuring liability, which is included within "Accounts payable and accrued liabilities" in our Condensed Consolidated Balance Sheets, for the six months ended December 31, 2020 is shown below.
COVID-19 Restructuring Plan | Workforce reduction |  | Facility charges |  | Total
Balance payable as of June 30, 2020 | $ | 5,172 |  |  | $ | 12,276 |  |  | $ | 17,448 |
Accruals and adjustments | 2,025 |  |  | (3,058) |  |  | (1,033) |
Cash payments | (5,308) |  |  | (1,659) |  |  | (6,967) |
Foreign exchange and other non-cash adjustments | 306 |  |  | 153 |  |  | 459 |
Balance payable as of December 31, 2020 | $ | 2,195 |  |  | $ | 7,712 |  |  | $ | 9,907 |
Fiscal 2020 Restructuring Plan During Fiscal 2020, we began to implement restructuring activities to streamline our operations (Fiscal 2020 Restructuring Plan), including in connection with our acquisitions of Carbonite and XMedius, to take further steps to improve our operational efficiency. The Fiscal 2020 Restructuring Plan charges relate to workforce reductions and facility costs, including the accelerated amortization associated with the abandonment of ROU assets, the write-off of fixed assets and other related variable lease and exit costs. 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. With respect to the Fiscal 2020 Restructuring Plan, at the time of the initial abandonment we assumed there would be no additional sublease income, lease assignments or early terminations from vacated facilities. During the three and six months ended December 31, 2020, we recognized net recoveries of $12.9 million and $13.0 million, respectively, relating to office space that was abandoned during the fourth quarter of Fiscal 2020 and have since been early terminated or assigned to a third party, as discussed above. Included in these recoveries are $8.8 million and $9.0 million, respectively, relating to the reversal of lease liabilities (see note 6 "Leases"), with the remainder relating to the reversal of other facility charges. Additionally, during the three and six months ended December 31, 2020, we incurred $5.4 million and $14.2 million, respectively, of charges related to abandoned facilities, workforce reductions and the write-off of fixed assets. As of December 31, 2020, we expect total costs to be incurred in connection with the Fiscal 2020 Restructuring Plan to be approximately $30 million to $35 million, of which $27.9 million has been recorded within "Special charges (recoveries)" to date. A reconciliation of the beginning and ending restructuring liability, which is included within "Accounts payable and accrued liabilities" in our Condensed Consolidated Balance Sheets, for the six months ended December 31, 2020 is shown below.
Fiscal 2020 Restructuring Plan | Workforce reduction |  | Facility charges |  | Total
Balance payable as of June 30, 2020 | $ | 1,576 |  |  | $ | 6,442 |  |  | $ | 8,018 |
Accruals and adjustments | 9,400 |  |  | (1,201) |  |  | 8,199 |
Cash payments | (7,538) |  |  | (870) |  |  | (8,408) |
Foreign exchange and other non-cash adjustments | 68 |  |  | (392) |  |  | (324) |
Balance payable as of December 31, 2020 | $ | 3,506 |  |  | $ | 3,979 |  |  | $ | 7,485 |
Acquisition-related costs Included within "Special charges (recoveries)" for the three and six months ended December 31, 2020 are costs incurred directly in relation to acquisitions in the amount of $0.7 million and $1.4 million, respectively (three and six months ended December 31, 2019—$7.8 million and $10.4 million, respectively). Other charges (recoveries) For the three months ended December 31, 2020, "Other charges" includes $0.7 million relating to other miscellaneous charges. For the six months ended December 31, 2020, "Other charges" includes $0.8 million relating to other miscellaneous charges. For the three months ended December 31, 2019, "Other charges" includes $0.1 million relating to accelerated amortization associated with the abandonment of ROU assets and $2.6 million relating to other miscellaneous charges. For the six months ended December 31, 2019, "Other charges" includes $0.7 million relating to accelerated amortization associated with the abandonment of ROU assets and $2.6 million relating to other miscellaneous charges.

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- Definition The entire disclosure of costs incurred for restructuring including, but not limited to, exit and disposal activities, remediation, implementation, integration, asset impairment, and charges against earnings from the write-down of assets. + References No definition available. + Details
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