v3.5.0.2
Accrued Liabilities (Text Block)
 9 Months Ended
Sep. 30, 2016
Accrued Liabilities [Abstract]  
Accrued Liabilities Disclosure [Text Block]
Accrued Liabilities

Accrued liabilities in the Condensed Consolidated Balance Sheets consisted of the following:

 
September 30, 2016
 
December 31, 2015
 
(In thousands)
Accrued payroll
$
108,511

 
$
99,383

Advance payment from customers
52,921

 
45,590

Accrued taxes
44,504

 
51,834

Accrued asbestos-related liability
53,181

 
48,780

Warranty liability - current portion
34,923

 
36,128

Accrued restructuring liability - current portion
14,703

 
12,918

Accrued third-party commissions
9,455

 
10,275

Other
98,775

 
86,751

Accrued liabilities
$
416,973

 
$
391,659



Warranty Liability
 
The activity in the Company’s warranty liability consisted of the following:
 
Nine Months Ended
 
September 30, 2016
 
September 25, 2015
 
(In thousands)
Warranty liability, beginning of period
$
37,407

 
$
51,135

Accrued warranty expense
16,339

 
14,392

Changes in estimates related to pre-existing warranties
3,231

 
(2,467
)
Cost of warranty service work performed
(21,681
)
 
(18,657
)
Acquisitions
—

 
321

Foreign exchange translation effect
918

 
(3,142
)
Warranty liability, end of period
$
36,214

 
$
41,582



Accrued Restructuring Liability

The Company’s restructuring programs include a series of restructuring actions to reduce the structural costs of the Company.

A summary of the activity in the Company’s restructuring liability included in Accrued liabilities and Other liabilities in the Condensed Consolidated Balance Sheets is as follows:
 
Nine Months Ended September 30, 2016
 
Balance at Beginning of Period
 
Provisions
 
Payments
 
Foreign Currency Translation
 
Balance at End of Period(3)
 
(In thousands)
Restructuring and other related charges:
 
 
 
 
 
 
 
 
 
Gas and Fluid Handling:
 
 
 
 
 
 
 
 
 
Termination benefits(1)
$
3,979

 
$
18,882

 
$
(14,275
)
 
$
(10
)
 
$
8,576

Facility closure costs(2)
2,657

 
6,946

 
(9,190
)
 
74

 
487

 
6,636

 
25,828

 
(23,465
)
 
64

 
9,063

Non-cash charges
 
 
2,124

 
 
 
 
 
 
 
 
 
27,952

 
 
 
 
 
 
Fabrication Technology:
 
 
 
 
 
 
 
 
 
Termination benefits(1)
6,031

 
15,893

 
(17,495
)
 
(54
)
 
4,375

Facility closure costs(2)
426

 
4,149

 
(3,234
)
 
(39
)
 
1,302

 
6,457

 
20,042

 
(20,729
)
 
(93
)
 
5,677

Non-cash charges
 
 
1,323

 
 
 
 
 
 
 
 
 
21,365

 
 
 
 
 
 
Corporate and Other:
 
 
 
 
 
 
 
 
 
Facility closure costs(2)
625

 
—

 
(202
)
 
(61
)
 
362

 
625

 
—

 
(202
)
 
(61
)
 
362

 
$
13,718

 
45,870

 
$
(44,396
)
 
$
(90
)
 
$
15,102

Non-cash charges
 
 
3,447

 
 
 
 
 
 
 
 
 
$
49,317

 
 
 
 
 
 
 
(1) Includes severance and other termination benefits, including outplacement services. The Company recognizes the cost of involuntary termination benefits at the communication date or ratably over any remaining expected future service period. Voluntary termination benefits are recognized as a liability and an expense when employees accept the offer and the amount can be reasonably estimated.
(2) Includes the cost of relocating associates, relocating equipment and lease termination expense in connection with the closure of facilities.
(3) As of September 30, 2016, $14.7 million and $0.4 million of the Company’s restructuring liability was included in Accrued liabilities and Other liabilities, respectively.

The Company expects to incur charges of approximately $20 million during the remainder of 2016 related to its restructuring activities.