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Restructuring and Related Charges | 3 Months Ended
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Sep. 29, 2018
Restructuring and Related Activities [Abstract] |
Restructuring and Related Charges | Note 12. Restructuring and Related Charges The Company has initiated restructuring events primarily intended to reduce its costs, consolidate its operations, streamline product manufacturing and address market conditions. The Company’s restructuring charges primarily include severance and benefit costs to eliminate a specific number of positions, facilities and equipment costs to vacate facilities and consolidate operations, and lease termination costs. The timing of associated cash payments is dependent upon the type of restructuring charge and can extend over multiple periods. As of September 29, 2018 and June 30, 2018, the Company’s total restructuring accrual was $14.6 million and $7.5 million, respectively. During the three months ended September 29, 2018 and September 30, 2017, the Company recorded restructuring and related charges of $14.8 million and $1.5 million, respectively. Summary of Restructuring Plans The adjustments to the accrued restructuring expenses related to all of the Company’s restructuring plans described below for the three months ended September 29, 2018 were as follows (in millions):
| Balance June 30, 2018 |  | Three Months Ended September 29, 2018 Charges (Benefits) |  | Cash Settlements |  | Non-cash Settlements and Other Adjustments |  | Balance September 29, 2018
Fiscal 2019 Plan |  |  |  |  |  |  |  |  |
NSE, including AW Restructuring Plan | $ | — |  |  | $ | 14.5 |  |  | $ | (2.0 | ) |  | $ | — |  |  | $ | 12.5 |
Fiscal 2018 Plan |  |  |  |  |  |  |  |  |
Trilithic Restructuring Plan (1) (2) | 2.9 |  |  | — |  |  | (2.9 | ) |  | — |  |  | — |
Fiscal 2017 Plan |  |  |  |  |  |  |  |  |
Focused NSE Restructuring Plan (1) (2) | 1.9 |  |  | 0.4 |  |  | (2.0 | ) |  | 0.1 |  |  | 0.4 |
Plans Prior to Fiscal 2017 |  |  |  |  |  |  |  |  |  |
NE Lease Restructuring Plan (2) | 1.2 |  |  | — |  |  | (0.3 | ) |  | — |  |  | 0.9 |
Other Plans (1)(2) | 1.5 |  |  | (0.1 | ) |  | (0.6 | ) |  | — |  |  | 0.8 |
Total | $ | 7.5 |  |  | $ | 14.8 |  |  | $ | (7.8 | ) |  | $ | 0.1 |  |  | $ | 14.6 |
(1) Plan type includes workforce reduction cost. (2) Plan type includes lease exit cost. The long-term portion of our total restructuring liability for the September 29, 2018 and June 30, 2018 periods is $3.2 million and $0.1 million, respectively. The remaining portion has been included as a component of Other current liabilities on the Consolidated Balance Sheets. Fiscal 2019 Plans NSE, including AW Restructuring Plan In July 2018, Management approved restructuring and global workforce reduction plans within its Network Service and Enablement (“NSE”) business, including actions related to the recently acquired AW business. These actions further drive the Company’s strategy for organizational alignment and consolidation as part of its continued commitment to a more cost effective and agile organization and to improve overall profitability in the Company’s NSE business. Included in these restructuring plans are specific actions to consolidate and integrate the newly acquired AW business within the NSE business segment. As a result, a restructuring charge of $14.5 million was recorded for severance and employee benefits for approximately 240 employees primarily in manufacturing, R&D and SG&A functions located in North America, Latin America, Europe and Asia. Payments related to the severance and benefits accrual are expected to be paid by the end of the fourth quarter of fiscal 2020. Fiscal 2018 Plans Trilithic Restructuring Plan During the second quarter of fiscal 2018, Management approved a plan within the NE business segment to consolidate and integrate the Trilithic acquisition. As a result, approximately 40 employees primarily in manufacturing, and SG&A functions located in the United States were impacted. Payments related to the severance and benefits accrual were paid by the end of the first quarter of fiscal 2019. Fiscal 2017 Plans Focused NSE Restructuring Plan During fiscal 2017, Management approved a plan within the NE and SE business segments as part of VIAVI’s continued strategy to improve profitability in the Company’s NSE business by narrowing the scope of the Service Enablement business and reducing costs by streamlining NSE operations. In total, approximately 360 employees in manufacturing, R&D and SG&A functions located in North America, Latin America, Europe and Asia were impacted. Payments related to the severance and benefits accrual were paid by the end of the first quarter of fiscal 2019. In the first quarter of fiscal 2019, the Company exited the workspace in Vancouver, Canada under the plan. The fair value of the remaining contractual obligations as of September 29, 2018 was $0.4 million. Payments related to the Vancouver lease costs are expected to be paid by the end of the fourth quarter of fiscal 2019. Plans Prior to Fiscal 2017 NE Lease Restructuring Plan During the second quarter of fiscal 2014, Management approved a NE plan to exit the remaining space in Germantown, Maryland. As of June 28, 2014, the Company exited the space in Germantown under the plan. The fair value of the remaining contractual obligations, net of sublease income, as of September 29, 2018 was $0.9 million. Payments related to the Germantown lease costs are expected to be paid by the end of the second quarter of fiscal 2019. As of September 29, 2018, the restructuring accrual for other plans that commenced prior to fiscal year 2017 was $0.8 million, which consists of immaterial accruals from various restructuring plans.

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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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