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Restructuring | 6 Months Ended
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Jun. 30, 2018
Restructuring and Related Activities [Abstract] |
Restructuring | Note 5. Restructuring Our 2015 and 2016 Reorganization Plans (the “Plans”) were initiated October 2015 and March 2016, respectively, in conjunction with the completion of the merger of Cyberonics, Inc. and Sorin S.p.A. in October 2015. We initiated these plans to leverage economies of scale, streamline distribution and logistics and strengthen operational and administrative effectiveness in order to reduce overall costs. Costs associated with these plans are reported as ‘Restructuring expenses’ in our operating results in the condensed consolidated statements of income. In March 2017, we committed to a plan to sell our Suzhou Industrial Park facility in Shanghai, China. As a result of this exit plan we recorded an impairment of the building and equipment of $4.6 million and accrued $0.5 million of additional costs, primarily related to employee severance, during the six months ended June 30, 2017. The land, building and equipment were recorded as Assets held for sale on the condensed consolidated balance sheet as of December 31, 2017. We completed the sale of the Suzhou facility in April 2018 and received cash proceeds from the sale of $13.3 million. The following table presents the Plans’ accruals, inventory obsolescence and other reserves, recorded in connection with the Reorganization Plans including the balances and activity related to the discontinued operations, (in thousands):
|  | Employee Severance and Other Termination Costs |  | Other |  | Total
Balance at December 31, 2017 |  | $ | 3,889 |  |  | $ | 2,625 |  |  | $ | 6,514 |
Charges |  | 2,544 |  |  | 464 |  |  | 3,008 |
Cash payments and adjustments |  | (5,431 | ) |  | (470 | ) |  | (5,901 | )
Balance at June 30, 2018 |  | $ | 1,002 |  |  | $ | 2,619 |  |  | $ | 3,621 |
The following table presents restructuring expense by reportable segment, with discontinued operations included (in thousands):
|  | Three Months Ended June 30, |  | Six Months Ended June 30,
|  | 2018 |  | 2017 |  | 2018 |  | 2017
Cardiac Surgery (1) |  | $ | 398 |  |  | $ | 501 |  |  | $ | 1,739 |  |  | $ | 6,503 |
Neuromodulation |  | 11 |  |  | (233 | ) |  | 17 |  |  | 439 |
Other |  | 67 |  |  | 2,329 |  |  | 601 |  |  | 5,685 |
Restructuring expense from continuing operations |  | 476 |  |  | 2,597 |  |  | 2,357 |  |  | 12,627 |
Discontinued operations |  | — |  |  | (1,479 | ) |  | 651 |  |  | (1,359 | )
Total |  | $ | 476 |  |  | $ | 1,118 |  |  | $ | 3,008 |  |  | $ | 11,268 |
(1) | Cardiac Surgery restructuring expense for the six months ended June 30, 2017 included building and equipment impairment and additional costs of $5.1 million related to the Suzhou, China facility exit plan.

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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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -URI http://asc.fasb.org/topic&trid=2175745 + Details
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