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Restructuring and Other (Tables)
 6 Months Ended
Sep. 30, 2022
Restructuring and Related Activities [Abstract]  
Restructuring and Other
Restructuring and other includes restructuring and severance costs, certain transaction and related costs, and certain unusual items, when applicable. During the three and six months ended September 30, 2022 and 2021, the Company also incurred certain other unusual charges, which are included in direct operating expense and distribution and marketing expense in the consolidated statements of operations as described below. The following table sets forth restructuring and other and these other unusual charges and the statement of operations line items they are included in for the three and six months ended September 30, 2022 and 2021:
Three Months EndedSix Months Ended
September 30,September 30,
2022202120222021
 (Amounts in millions)
Restructuring and other:
Content and other impairments(1)
$218.8 $— $218.8 $— 
Severance(2)
Cash9.6 1.3 12.4 3.8 
Accelerated vesting on equity awards (see Note 12)
— — 0.6 — 
Total severance costs9.6 1.3 $13.0 $3.8 
COVID-19 related charges included in restructuring and other(3)
— 0.5 0.1 0.8 
Transaction and related costs(4)
4.8 1.7 9.4 2.1 
Total Restructuring and Other233.2 3.5 241.3 6.7 
Other unusual charges not included in restructuring and other or the Company's operating segments:
Content charges included in direct operating expense(5)
7.2 — 7.2 — 
COVID-19 related charges (benefit) included in:
Direct operating expense(6)
(6.1)(1.0)(7.1)0.5 
Distribution and marketing expense— 0.2 — 0.3 
Total restructuring and other and other unusual charges not included in restructuring and other$234.3 $2.7 $241.4 $7.5 
_______________________
(1)For the three months ended September 30, 2022, due to the macro and microeconomic conditions, including the competitive environment, continued inflationary trends and recessionary economies worldwide and its impact on the Company's growth in subscribers worldwide, the Company began a plan to restructure its LIONSGATE+ business (formerly STARZPLAY International). This restructuring includes exiting the business in seven international territories (France, Germany, Italy, Spain, Benelux, the Nordics and Japan). As a result of this restructuring, the Company has recorded charges of $213.0 million in the three months ended September 30, 2022 for content impairment of its film group assets in certain international territories. These charges are excluded from segment results and included in restructuring and other in the unaudited condensed consolidated statement of operations. The Company expects to incur additional charges ranging from approximately $75 million to $100 million in the next six months primarily related to certain contractual content commitments and other items as we fully implement the plan. These amounts also reflect the estimated net future cash expenditures for these charges. In addition, the Company expects future cash expenditures of approximately $75 million related to the content charges recorded in the three months ended September 30, 2022.

Amounts in the three and six months ended September 30, 2022 also include an impairment of an operating lease right-of-use asset amounting to $5.8 million associated with a portion of a facility lease that will no longer be utilized by the Company. The impairment reflects a decline in market conditions since the inception of the lease impacting potential sublease opportunities, and represents the difference between the estimated fair value, which was determined based on the expected discounted future cash flows of the lease asset, and the carrying value.
(2)In connection with the international restructuring described above, the Company has implemented certain cost-saving initiatives both domestically and internationally, and has recorded severance charges of $5.9 million in the three months ended September 30, 2022 related to the Media Networks segment. In addition, due to the changes in the marketplace and certain management, and the implementation of certain cost-saving initiatives and the streamlining of operations, the Company recorded additional severance charges of $3.7 million primarily related to the Motion Picture segment.
(3)Amounts represent certain incremental general and administrative costs associated with the COVID-19 global pandemic, such as costs related to transitioning the Company to a remote-work environment, costs associated with return-to-office safety protocols, and other incremental general and administrative costs associated with the COVID-19 global pandemic.
(4)Transaction and related costs in the three and six months ended September 30, 2022 and 2021 reflect transaction, integration and legal costs associated with certain strategic transactions, restructuring activities and legal matters.
(5)In connection with certain management changes and changes in the theatrical marketplace in the Motion Picture segment, the Company wrote off approximately $7.2 million of development costs as a result of changes in strategy across its theatrical slate. These charges are excluded from segment results and included in amortization of investment in film and television programs in direct operating expense on the unaudited condensed consolidated statement of operations.
(6)Amounts reflected in direct operating expense include incremental costs associated with the pausing and restarting of productions including paying/hiring certain cast and crew, maintaining idle facilities and equipment costs resulting from circumstances associated with the COVID-19 global pandemic, net of insurance recoveries of $6.9 million and $7.9 million, respectively, in the three and six months ended September 30, 2022 (three and six months ended September 30, 2021 - insurance recoveries of $2.8 million and $8.7 million, respectively). In the three and six months ended September 30, 2022, and the three months ended September 30, 2021, insurance recoveries exceeded the incremental costs expensed in the period, resulting in a net benefit included in direct operating expense. The Company is in the process of seeking additional insurance recovery for some of these costs. The ultimate amount of insurance recovery cannot be estimated at this time.


Changes in the restructuring and other severance liability were as follows for the six months ended September 30, 2022 and 2021:
Six Months Ended
September 30,
20222021
 (Amounts in millions)
Severance liability
Beginning balance$1.5 $5.7 
Accruals12.4 3.8 
Severance payments(3.8)(6.5)
Ending balance(1)
$10.1 $3.0 
_______________________
(1)As of September 30, 2022, the remaining severance liability of approximately $10.1 million is expected to be paid in the next 12 months.