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RESTRUCTURING CHARGES
12 Months Ended
Dec. 31, 2019
Restructuring and Related Activities [Abstract]  
RESTRUCTURING CHARGES
RESTRUCTURING CHARGES
 
The Company continually evaluates its operations to identify opportunities to streamline operations and optimize operating efficiencies as an anticipation to changes in the business environment. In November 2019, the Company announced an acceleration of cost-saving initiatives that included a decision to discontinue its relationship with its contract sales organization, a reduction in the use of certain outside vendors and consultants, and the reorganization of certain functions resulting in a reduction of staff at its headquarters office and remote positions during the fourth quarter of 2019. The 2019 cost-saving initiative was substantially complete as of December 31, 2019. As a result, $3.9 million of severance and benefits costs for the reduction of staff were recognized during the year ended December 31, 2019. The Company does not expect to incur future costs related to the 2019 cost-saving initiative.

In June 2017, the Company announced a limited reduction-in-force in order to streamline operations that was completed during the third quarter of 2017. In December 2017, the Company initiated a company-wide restructuring plan following the entry into the Commercialization Agreement with Collegium. This plan focused on a reduction of the Company’s pain sales force during the first quarter of 2018, a reduction of the staff at its headquarters office during the second quarter of 2018 and a move from its headquarters facility in Newark, California to Lake Forest, Illinois in the third quarter of 2018. The 2017 restructuring plan activities were substantially completed as of December 31, 2018 and no additional charges were incurred during the year ended December 31, 2019.
 
The following table summarizes the total expenses related to restructuring activities by type (in thousands):

 
Year ended December 31,
 
2019
 
2018
 
2017
Employee compensation costs
$
3,891

 
$
16,852

 
$
13,247

Fixed Asset disposals and accelerated depreciation of leasehold improvements

 
3,511

 

Other exit costs

 
238

 

Total restructuring costs
$
3,891

 
$
20,601

 
$
13,247


    
Cash activity related to accrued restructuring is as follows (in thousands):

 
Employee separation costs
 
Other exit costs
 
Total
Net accruals
13,247

 

 
13,247

Non-cash additions/(reductions)

 

 

Cash paid
(3,764
)
 

 
(3,764
)
Balance at December 31, 2017
$
9,483

 
$

 
$
9,483

Net accruals
16,852

 
3,749

 
20,601

Non-cash additions/(reductions)
(2,146
)
 
(3,511
)
 
(5,657
)
Cash paid
(22,611
)
 
(238
)
 
(22,849
)
Balance at December 31, 2018
$
1,578

 
$

 
$
1,578

Net accruals
$
3,891

 
$

 
$
3,891

Non-cash additions/(reductions)
$

 
$

 
$

Cash paid
$
(1,706
)
 
$

 
$
(1,706
)
Balance at December 31, 2019
$
3,763

 
$

 
$
3,763



The December 31, 2018 restructuring liability of $1.6 million related to the 2017 restructuring plan and was entirely settled during the year ended December 31, 2019. As of December 31, 2019, the remaining accrued restructuring liability balance of $3.8 million related to the 2019 cost-saving initiative and was classified as a current liability in the consolidated balance sheet. Non-cash charges during 2018 related to stock based compensation and accelerated amortization of leasehold improvements at the Newark, CA headquarters in connection with the 2017 restructuring plan.