L.	Restructuring of Operations

In response to challenging global market conditions within the Company’s oil and gas, global pleasure craft and commercial marine markets, the Company undertook a series of restructuring actions starting in late fiscal

2015,

and continuing into the current fiscal quarter. It primarily reduced its workforce in its U.S., Belgian, and Italian manufacturing operations under a combination of voluntary and involuntary separation programs. The restructuring charges pertained to the elimination of

141

full-time employees in the manufacturing segment since

June

2015.

The restructuring expense for the quarter and for the

two

quarters ended

December

30,

2016

were

$816

and

$1,074,

respectively, and for the quarter and

two

quarters ended

December

25,

2015

was

515

Accumulated costs to date under these programs are

$5,156.

The Company continues to evaluate restructuring actions as part of its cost reduction efforts and additional charges are expected to be incurred through the end of

December

2017.

The following is a roll-forward of restructuring activity:

Accrued restructuring liability, June 30, 2016	$	801
Additions during the year		1,074
Payments and adjustments		(1,290	)
Accrued restructuring liability, December 30, 2016	$	585

Other operating expense (income) included in the fiscal

2016

results pertain to the gain on sale of

one

of the Company’s distribution entities. The gain on sale recorded in the

first

quarter was subject to a post-closing adjustment of

$56

which was recorded in the

second

quarter, resulting in a net gain of

$445.

The sale of this business was part of the Company’s initiative to focus its resources on core manufacturing and product development aimed at improving profitability.