The Company incurs restructuring charges related to strategic initiatives and cost optimization of business activities, primarily related to severance and employee-related benefits. During the three and six months ended September 2022, VF recognized $45.8 million and $51.9 million, respectively, of restructuring charges, related to approved initiatives. Of the restructuring charges recognized in the three and six months ended September 2022, $43.8 million and $48.5 million were reflected in selling, general and administrative expenses and $2.0 million

and $3.4 million in cost of goods sold, respectively. The Company has not recognized any significant incremental costs related to accruals for the year ended March 2022 or prior periods.

Of the $50.4 million total restructuring accrual at September 2022, $47.8 million is expected to be paid out within the next 12 months and is classified within accrued liabilities. The remaining $2.6 million will be paid out beyond the next 12 months and thus is classified within other liabilities.

The components of the restructuring charges are as follows:


	Three Months Ended September				Six Months Ended September

(In thousands)	2022		2021		2022		2021
Severance and employee-related benefits	$	37,464	$	1,422	$	39,558	$	4,296

Accelerated depreciation	3,583		2,036		7,251		3,467

Contract termination and other	4,759		—		5,103		—
Total restructuring charges	$	45,806	$	3,458	$	51,912	$	7,763

Restructuring costs by business segment are as follows:


	Three Months Ended September				Six Months Ended September

(In thousands)	2022		2021		2022		2021
Outdoor	$	496	$	454	$	496	$	2,677
Active	1,478		276		1,478		1,008
Work	9		788		9		788
Corporate and other	43,823		1,940		49,929		3,290
Total	$	45,806	$	3,458	$	51,912	$	7,763

The activity in the restructuring accrual for the six-month period ended September 2022 was as follows:


(In thousands)	Severance		Other		Total
Accrual at March 2022	$	25,640	$	1,211	$	26,851
Charges	39,558		5,103		44,661
Cash payments and settlements	(17,938)		(84)		(18,022)
Adjustments to accruals	(2,777)		53		(2,724)
Impact of foreign currency	(260)		(140)		(400)
Accrual at September 2022	$	44,223	$	6,143	$	50,366