Restructuring and Other Charges (Tables)

6 Months Ended

Jun. 30, 2016

Restructuring and Related Activities [Abstract]

Schedule of components of charges included in restructuring and other charges

The following table summarizes the components of charges included in restructuring and other charges in our condensed consolidated statements of operations for the three and six months ended June 30, 2016 and 2015 (in thousands):



	Three Months Ended June 30,				Six Months Ended June 30,
	2016		2015		2016		2015
Retention and severance benefits	$	2,070	$	193	$	7,394	$	193
Consulting services	934		—		3,675		—
Non-cash inventory write-downs	—		1,000		—		1,000
Total restructuring and other charges	$	3,004	$	1,193	$	11,069	$	1,193

The following table presents the expense incurred under this plan by reportable segment (in thousands):



	Contract Operations		Aftermarket Services		Other ⁽¹⁾		Total
Three months ended June 30, 2016	$	675	$	432	$	1,161	$	2,268
Six months ended June 30, 2016	2,916		801		5,552		9,269
Estimated additional charges	508		312		3,239		4,059


⁽¹⁾	Represents expense incurred under this plan that is not directly attributable to our reportable segments because it represents severance benefits and consulting fees incurred within the corporate function.

Summary of changes to accrued liability balance related to restructuring and other charges

The following table summarizes the changes to our accrued liability balance related to restructuring and other charges for the six months ended June 30, 2015 and 2016 (in thousands):



	Spin-off			Cost Reduction Plan			Total
Beginning balance at January 1, 2015	$	—		$	—		$	—
Additions for costs expensed	1,000			193			1,193
Less non-cash expense ⁽¹⁾	(1,000		)	—			(1,000		)
Reductions for payments	—			(193		)	(193		)
Ending balance at June 30, 2015	$	—		$	—		$	—

Beginning balance at January 1, 2016	$	855		$	—		$	855
Additions for costs expensed	1,800			9,269			11,069
Less non-cash expense⁽²⁾	(660		)	—			(660		)
Reductions for payments	(1,333		)	(9,269		)	(10,602		)
Ending balance at June 30, 2016	$	662		$	—		$	662


⁽¹⁾	Represents non-cash inventory write-downs, which primarily related to the decentralization of shared inventory components between our contract operations business and the international contract operations business of Exterran Corporation.


⁽²⁾	Represents non-cash retention benefits associated with the Spin-off to be settled in Archrock stock.