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RESTRUCTURING CHARGES | 6 Months Ended
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Mar. 31, 2025
Restructuring and Related Activities [Abstract] |
RESTRUCTURING CHARGES | RESTRUCTURING CHARGES Griffon announced in May 2023 that CPP was expanding its global sourcing strategy to include long handled tools, material handling, and wood storage and organization product lines for the U.S. market. This initiative was successfully completed as of September 30, 2024, ahead of the previously announced date of December 31, 2024. As a result of this global sourcing expansion initiative, manufacturing operations have concluded at four manufacturing sites and four wood mills, resulting in a total facility footprint reduction of approximately 1.2 million square feet, or approximately 15% of CPP's square footage, and a headcount reduction of approximately 600. The closed locations have met the held for sale criteria and have been classified as such on our Condensed Consolidated Balance Sheets as of March 31, 2025 and September 30, 2024. The net book value of these properties as of March 31, 2025 and September 30, 2024 totaled $5,450 and $14,532, respectively. The adoption of an asset-light business model for these U.S. products has positioned CPP to better serve customers with a more flexible and cost-effective sourcing model that leverages supplier relationships around the world, and improved its competitive positioning. Implementation of this strategy over the duration of the project resulted in charges of $133,777, which included $51,082 of cash charges for employee retention and severance, operational transition, and facility and lease exit costs, and $82,695 of non-cash charges primarily related to asset write-downs. In addition, there were $2,678 of capital investments to effectuate the project. This excludes cash proceeds from the sale of real estate and equipment, which at the conclusion of the project as of September 30, 2024 totaled $13,271, and excludes future proceeds from the sale of remaining real estate and equipment designated as held for sale on the condensed consolidated balance sheets. During the six months ended March 31, 2025, cash proceeds related to the sale of the remaining real estate and equipment held for sale totaled $17,445. In the quarter ended March 31, 2024, CPP incurred pre-tax restructuring and related exit costs comprised of cash charges totaling $2,401. The cash charges included $482 for one-time termination benefits and other personnel-related costs and $1,919 for facility exit costs. In the six months ended March 31, 2024, CPP incurred pre-tax restructuring and related exit costs approximating $14,801, comprised of cash charges totaling $6,319 and non-cash, asset-related charges totaling $8,482. The cash charges included $2,329 for one-time termination benefits and other personnel-related costs and $3,990 for facility exit costs. Non-cash charges of $8,482 were recorded to adjust inventory to its net realizable value. A summary of the restructuring and other related charges included in Cost of goods and services and SG&A expenses in the Company's Condensed Consolidated Statements of Operations were as follows:
|  |  | Three Months Ended March 31, |  |  |  | Six Months Ended March 31,
|  |  | 2024 |  |  |  | 2024
Cost of goods and services |  |  | $ | 1,334 |  |  |  |  | $ | 12,980 |
Selling, general and administrative expenses |  |  | 1,067 |  |  |  |  | 1,821 |
Total |  |  | $ | 2,401 |  |  |  |  | $ | 14,801 |
|  | For the Three Months Ended March 31, |  |  | For the Six Months Ended March 31, |
|  | 2024 |  |  | 2024 |
Personnel related costs |  | $ | 482 |  |  |  | $ | 2,329 |  |
Facilities, exit costs and other |  | 1,919 |  |  |  | 3,990 |  |
Non-cash facility and other |  | — |  |  |  | 8,482 |  |
Total |  | $ | 2,401 |  |  |  | $ | 14,801 |  |
The following tables summarizes the accrued liabilities of the Company's restructuring actions for the six months ended March 31, 2025 and 2024:
| Cash Charges |  | Non-Cash |  |
| Personnel related costs |  | Facilities & Exit Costs |  | Facility and Other Costs(1) |  | Total
Accrued liability at September 30, 2024 | $ | 8,182 |  |  | $ | 4,816 |  |  | $ | — |  |  | $ | 12,998 |
Q1 Cash payments | (5,009) |  |  | (1,064) |  |  | — |  |  | (6,073) |
Accrued liability at December 31, 2024 | $ | 3,173 |  |  | $ | 3,752 |  |  | $ | — |  |  | $ | 6,925 |
Q2 Cash payments | (83) |  |  | (1,649) |  |  | — |  |  | (1,732) |
Accrued Liability at March 31, 2025 | $ | 3,090 |  |  | $ | 2,103 |  |  | $ | — |  |  | $ | 5,193 |
| Cash Charges |  | Non-Cash |  |
| Personnel related costs |  | Facilities & Exit Costs |  | Facility and Other Costs(1) |  | Total
Accrued liability at September 30, 2023 | $ | 14,107 |  |  | $ | 5,551 |  |  | $ | — |  |  | $ | 19,658 |
Q1 Restructuring charges | 1,847 |  |  | 2,071 |  |  | 8,482 |  |  | 12,400 |
Q1 Cash payments | (7,215) |  |  | (3,362) |  |  | — |  |  | (10,577) |
Q1 Non-cash charges | — |  |  |  |  | (8,482) |  |  | (8,482) |
Accrued liability at December 31, 2023 | $ | 8,739 |  |  | $ | 4,260 |  |  | $ | — |  |  | $ | 12,999 |
Q2 Restructuring charges | 482 |  |  | 1,919 |  |  | — |  |  | 2,401 |
Q2 Cash payments | (608) |  |  | (1,919) |  |  | — |  |  | (2,527) |
Accrued liability at March 31, 2024 | $ | 8,613 |  |  | $ | 4,260 |  |  | $ | — |  |  | $ | 12,873 |
______________________ (1) Non-cash charges in Facility and Other Costs represent non-cash impairment charges to adjust inventory to its net realizable value.

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- 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 S99 -Paragraph 2 -Subparagraph (SAB Topic 5.P.4.e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479823/420-10-S99-2 Reference 2: 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 3: 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 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/420/tableOfContent Reference 5: 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 + Details
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