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Restructuring | 12 Months Ended
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Dec. 31, 2018
Restructuring and Related Activities [Abstract] |
Restructuring | 5. Restructuring In 2017, the Company announced a proposal to discontinue operations at its MC production facility in Sélestat, France. The restructuring program was driven by the Company’s need to balance manufacturing capacity with demand. During 2017, we incurred $1.1 million of restructuring expense associated with this proposal but were unable to reasonably estimate the total costs for severance and other charges associated with the proposal as there was no assurance, at that time, that approval for the proposal would be obtained. In 2018, the plan was approved by the French Labor Ministry which led to restructuring expense of $10.7 million in 2018, which includes severance and outplacement costs for the approximately 50 positions that were terminated under this plan. Since 2017, we have recorded $11.8 million of restructuring charges related to this action. As a result of this action, we recorded a pension plan curtailment gain of $0.7 million which is recorded in Other expense, net. In 2016, the Company discontinued research and development activities at its MC facility in Sélestat, France as part of a plan to reduce research and development costs. This initiative resulted in 2016 expense of $2.2 million for severance, outplacement, and the write-off of equipment. In 2017 and 2018, we recorded additional restructuring charges of $1.6 million and $1.0 million respectively, principally related to additional termination benefits paid to former employees. Since 2016, we have recorded $4.8 million of restructuring charges related to this action. In 2017, the Company initiated work force reductions in AEC locations in Salt Lake City, Utah and Rochester, New Hampshire. The 2017 and 2018 restructuring charges include expenses of $5.0 million and $1.1 million, respectively. To date, we have recorded $6.1 million of restructuring charges related to these actions. AEC restructuring charges in 2018 included expenses related to the discontinuation of certain manufacturing processes in Salt Lake City, resulting in a non-cash restructuring charge of $1.7 million, and an additional $0.2 million for severance. The non-cash restructuring charge results from an impairment of related manufacturing equipment. The Company has decided to dispose of that equipment by sale and the impairment charge reflects management’s estimate of proceeds that may be recovered in the sale. As of December 31, 2018, the asset value, net of the impairment charge, is included in Prepaid expenses and other current assets in the accompanying Consolidated Balance Sheets. To date, we have recorded $1.9 million of restructuring charges related to these actions. In 2017, the Company decided to discontinue the Bear Claw® line of hydraulic fracturing components used in the oil and gas industry, which was part of the Harris aerostructures business acquired by AEC in 2016. This decision resulted in a non-cash restructuring charge of $4.5 million for the write-off of intangible assets and equipment, and a $2.8 million charge to Cost of goods sold for the write-off of inventory. AEC restructuring expenses in 2016 were principally related to the consolidation of legacy programs into Boerne, Texas. In 2015, the Company announced a plan to discontinue manufacturing operations at its press fabric manufacturing facility in Göppingen, Germany which led to total restructuring charges of $14.8 million from 2015 to 2017, including $11.4 million in 2015. The restructuring program was driven by the Company’s need to balance manufacturing capacity with demand. In 2016 and 2017, we recorded additional restructuring charges of $2.6 million and $0.8 million, respectively, principally related to the final closure of the plant in Germany. The following table summarizes charges reported in the Consolidated Statements of Income under “Restructuring expenses, net”:
Year ended December 31, 2018 (in thousands) | Total restructuring costs incurred | Termination and other costs | Impairment of assets
Machine Clothing | $12,278 | $11,890 | $388
Albany Engineered Composites | 3,048 | 1,286 | 1,762
Corporate expenses | 244 | 244 | -
Total | $15,570 | $13,420 | $2,150
Year ended December 31, 2017 (in thousands) | Total restructuring costs incurred | Termination and other costs | Impairment of assets
Machine Clothing | $3,429 | $2,945 | $484
Albany Engineered Composites | 10,062 | 5,004 | 5,058
Corporate expenses | - | - | -
Total | $13,491 | $7,949 | $5,542
Year ended December 31, 2016 (in thousands) | Total restructuring costs incurred |  | Termination and other costs |  | Impairment of assets
Machine Clothing | $6,181 |  | $5,756 |  | $425
Albany Engineered Composites | 2,314 |  | 1,502 |  | 812
Corporate expenses | (7 | ) | (7 | ) | -
Total | $8,488 |  | $7,251 |  | $1,237
We expect that approximately $5.5 million of Accrued liabilities for restructuring at December 31, 2018 will be paid within one year and approximately $0.1 million will be paid the following year. The table below presents the changes in restructuring liabilities for 2018 and 2017, all of which related to termination costs:
(in thousands) | December 31, 2017 | Restructuring charges accrued | Payments |  | Currency translation/other |  | December 31, 2018
Total termination and other costs | $3,326 | $13,420 | $(10,696 | ) | $(480 | ) | $5,570
(in thousands) | December 31, 2016 | Restructuring charges accrued | Payments |  | Currency translation/other | December 31, 2017
Total termination and other costs | $5,559 | $7,949 | $(10,351 | ) | $169 | $3,326

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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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