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Restructuring and Other Cost Reduction Initiatives
3 Months Ended
Mar. 31, 2024
Restructuring and Related Activities [Abstract]  
Restructuring and Other Cost Reduction Initiatives

13. Restructuring and Other Cost Reduction Initiatives

 

In January 2024, we initiated restructuring activities to better structure the organization to support our dental segment after the disposal of the spine segment. During the three months ended March 31, 2024, we recorded pre-tax charges of $2.4 million related to these activities. The restructuring charges incurred under this plan were primarily related to employee termination benefits. We anticipate total charges of approximately $7.0 million related to this plan.

 

In April and July 2023, we initiated restructuring activities to better position our organization for future success based on the then-current business environment. These activities had the objective of reducing our global cost structure and streamlining our organizational infrastructure across all regions, functions and levels. During the three months ended March 31, 2024 and 2023, the pre-tax charges recorded under this plan were negligible and $1.2 million , respectively, primarily related to professional fees. We have incurred pre-tax charges of $4.1 million from inception through March 31, 2024 and no future charges are expected under this plan.

 

In June 2022, we initiated a restructuring plan with the objective of reducing costs and optimizing our global footprint. During the three months ended March 31, 2024, we recorded pre-tax charges of $0.2 million related to the actions under this plan, primarily related to employee termination benefits. During the three months ended March 31, 2023, actions under this plan resulted in pre-tax charges that were negligible. We have incurred pre-tax charges of $3.0 million from inception through March 31, 2024, and we anticipate total charges of approximately $3.8 million related to this plan. We anticipate incurring the remaining charges throughout the remainder of 2024.

 

The following table summarizes the liabilities directly attributable to us that were recognized under the plans discussed above and excludes non-cash charges (in thousands):

 

 

 

Three Months Ended March 31,

 

 

Employee
Termination
Benefits

 

 

Other

 

 

Total

 

Balance, December 31, 2023

 

$

947

 

 

$

 

 

$

947

 

Additions

 

 

2,507

 

 

 

71

 

 

 

2,578

 

Cash payments

 

 

(1,613

)

 

 

(71

)

 

 

(1,684

)

Balance, March 31, 2024

 

$

1,841

 

 

$

 

 

$

1,841