Restructuring and Related Charges

3 Months Ended

Mar. 31, 2024

Restructuring and Related Activities [Abstract]

The Company incurs severance and other employee separation costs related to voluntary and involuntary employee terminations that are not tied to a formal restructuring plan. During the three months ended March 31, 2023 and 2024, the Company incurred $2.3 million and $0.3 million, respectively, of severance and other employee separation charges related to the elimination of certain positions. These severance and other employee separation charges are included in Restructuring costs on the unaudited condensed consolidated statements of income (loss).

The following details the changes in the Company's severance and other employee separation costs restructuring liabilities during the three months ended March 31, 2023 and 2024 (in thousands):


	Severance Restructuring Liability
Balance at December 31, 2022	$	—
Restructuring and other charges	2,315
Payments	(1,944)
Balance at March 31, 2023	$	371

Balance at December 31, 2023(1)	$	795
Restructuring and other charges	259
Payments	(937)
Balance at March 31, 2024(1)	$	117

____________________________________

(1)Restructuring liabilities are included in accounts payable and accrued expenses in the unaudited condensed consolidated balance sheets.

The Company evaluates its owned and leased real estate portfolio on an ongoing basis, which has resulted in the consolidation and sale of underutilized facilities. The Company recorded approximately $3.6 million of right-of-use lease asset charges during the three months ended March 31, 2023 related to facilities that were consolidated during the period. There were no right-of-use lease asset charges during the three months ended March 31, 2024. The Company recorded a net benefit related to the early termination and related extinguishment of lease liabilities of approximately $6.2 million during the three months ended March 31, 2024. These right-of-use lease asset charges and net benefits from early lease terminations are included in Restructuring costs on the unaudited condensed consolidated statements of income (loss).