XML 65 R23.htm IDEA: XBRL DOCUMENT

Note 17 - Restructuring

9 Months Ended

Mar. 31, 2015

Restructuring and Related Activities [Abstract]

Restructuring and Related Activities Disclosure [Text Block]

17) Restructuring

The Company has undertaken cost reduction and facility consolidation initiatives that have resulted in severance, restructuring, and related charges. A summary of charges by initiative is as follows (in thousands):

	Three Months Ended						Nine Months Ended
	March 31, 2015						March 31, 2015
Fiscal 2015	Involuntary Employee Severance and Benefit Costs		Other		Total		Involuntary Employee Severance and Benefit Costs		Other		Total
Restructuring initiatives	$	243	$	155	$	398	$	576	$	953	$	1,529
Prior year initiatives		-		-		-		125		700		825
	$	243	$	155	$	398	$	701	$	1,653	$	2,354

	Three Months Ended						Nine Months Ended
	March 31, 2014						March 31, 2014
Fiscal 2014	Involuntary Employee Severance and Benefit Costs		Other		Total		Involuntary Employee Severance and Benefit Costs		Other		Total
Restructuring initiatives	$	637	$	744	$	1,381	$	1,172	$	4,587	$	5,759
Prior year initiatives		-		-		-		72				72
	$	637	$	744	$	1,381	$	1,244	$	4,587	$	5,831

2015 Restructuring Initiatives

The Company continues to focus on our efforts to reduce cost and improve productivity across our businesses, particularly through headcount reductions and facility closures. During the prior quarter, the Company announced the closure of our Food Service Equipment U.K. facility and entered into a distribution agreement with a U.K. based partner to reduce channel costs and enhance profitability, expand and strengthen, our U.K. Food Service Equipment group’s presence for all of our brands. We incurred severance and non-cash lease impairment costs of $0.7 million associated with these activities during the nine months ended March 31, 2015 Restructuring expense related to the 2015 initiatives is expected to be $2.3 million, of which $1.5 million was incurred for the period ending March 31, 2015.

	Involuntary Employee Severance and Benefit Costs			Other			Total
Restructuring liabilities at July 1, 2014	$	-		$	-		$	-
Additions and adjustments		528			1,802			2,330
Payments		(528	)		(1,462	)		(1,990	)
Restructuring liabilities at March 31, 2015	$	-		$	340		$	340

Prior Year Initiatives

The Company previously announced a consolidation of our Food Service Equipment Group Cheyenne, Wyoming plant into its Mexico facility and other manufacturing consolidation efforts. During the first quarter of fiscal year 2014 we recorded a non-cash expense of $3.3 million related to the impairment of long-lived assets in Cheyenne. Expenses totaling $0.8 million were recorded during the nine months of fiscal year 2015. Restructuring activities related to all prior year initiatives are substantially complete. The cumulative expense related to all activities making up this initiative is expected to be $10.8 million.

Activity in the reserve related to the prior year restructuring initiatives is as follows (in thousands):

	Involuntary Employee Severance and Benefit Costs			Other		Total
Restructuring liabilities at June 30, 2014	$	555		$	-	$	555
Additions and adjustments		24			-		24
Payments		(579	)		-		(579	)
Restructuring liabilities at March 31, 2015	$	-		$	-	$	-

The Company’s total restructuring expenses by segment are as follows (in thousands):

	Three Months Ended							Nine Months Ended
	March 31, 2015							March 31, 2015
	Involuntary Employee Severance and Benefit Costs		Other			Total		Involuntary Employee Severance and Benefit Costs		Other		Total
Food Service Equipment Group	$	52	$	134		$	186	$	219	$	1,431	$	1,650
Engraving Group		18		(3	)		15		79		-		79
Engineering Technologies Group		55		-			55		55		-		55
Electronics Products Group		118		24			142		348		222		570
	$	243	$	155		$	398	$	701	$	1,653	$	2,354

	Three Months Ended						Nine Months Ended
	March 31, 2014						March 31, 2014
	Involuntary Employee Severance and Benefit Costs		Other		Total		Involuntary Employee Severance and Benefit Costs		Other		Total
Food Service Equipment Group	$	178	$	722	$	900	$	452	$	4,518	$	4,970
Engraving Group		460		21		481		606		20		626
Engineering Technologies Group		-		-		-		-		-		-
Electronics Products Group		-		-		-		187		48		235
	$	638	$	743	$	1,381	$	1,245	$	4,586	$	5,831

- 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+ Details