Reserve for Severance

Severance costs are primarily related to management realignment and reorganization in the MRO segment. The table below reflects the activity in the Company’s reserve for severance and related payments.



	(Dollars in thousands)
	Year Ended December 31,
	2012			2011			2010
Beginning balance	$	1,282		$	3,062		$	4,086
Charged to earnings current year	8,021			1,614			3,629
Cash paid and exchange rate variance	(4,886		)	(3,394		)	(4,653		)
Ending balance	$	4,417		$	1,282		$	3,062

Accrued severance charges were included in the line items of the Consolidated Balance Sheets at December 31, 2012 and 2011 as follows:



	(Dollars in thousands)
	December 31,
	2012		2011
Accrued severance included in:
Accrued expenses and other liabilities	$	3,467	$	1,187
Noncurrent other	950		95
Total accrued severance	$	4,417	$	1,282

The remaining benefits outstanding as of December 31, 2012 will be fully paid by the end of 2014.