IMPAIRMENT, RESTRUCTURING AND OTHER

3 Months Ended

Dec. 31, 2022

Restructuring and Related Activities [Abstract]

Activity described herein is classified within the “Cost of sales—impairment, restructuring and other” and “Impairment, restructuring and other” lines in the Condensed Consolidated Statements of Operations. The following table details impairment, restructuring and other charges for each of the periods presented:


	Three Months Ended
		December 31, 2022		January 1, 2022

Cost of sales—impairment, restructuring and other:

Restructuring and other charges, net		$	7.1	$	—
Property, plant and equipment impairments		3.2		—
Operating expenses:

Restructuring and other charges, net		8.5		1.8




Total impairment, restructuring and other charges		$	18.8	$	1.8

The following table summarizes the activity related to liabilities associated with restructuring activities during the three months ended December 31, 2022:


Amounts accrued at September 30, 2022	$	31.5
Restructuring charges	10.1

Payments	(12.3)
Amounts accrued at December 31, 2022	$	29.3

As of December 31, 2022, restructuring accruals include $4.5 that is classified as long-term.

During fiscal 2022, the Company began implementing a series of organizational changes and initiatives intended to create operational and management-level efficiencies. As part of this restructuring initiative, the Company is reducing the size of its supply chain network, reducing staffing levels and implementing other cost-reduction initiatives. During the three months ended December 31, 2022, the Company incurred costs of $14.5 associated with this restructuring initiative primarily related to employee termination benefits, facility closure costs and impairment of property, plant and equipment. The Company incurred costs of $1.0 in its U.S. Consumer segment and $8.4 in its Hawthorne segment in the “Cost of sales—impairment, restructuring and other” line in the Condensed Consolidated Statements of Operations during the three months ended December 31, 2022. The Company incurred costs of $0.2 in its U.S. Consumer segment, $1.0 in its Hawthorne segment, $0.1 in its Other segment and $3.8 at Corporate in the “Impairment, restructuring and other” line in the Condensed Consolidated Statements of Operations during the three months ended December 31, 2022. Costs incurred from the inception of this restructuring initiative through December 31, 2022 were $44.7 for the Hawthorne segment, $22.8 for the U.S. Consumer segment, $0.8 for the Other segment and $11.5 for Corporate.