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Impairment, Restructuring and Other Charges
 9 Months Ended
Sep. 30, 2022
Restructuring and Related Activities [Abstract]  
Impairment, Restructuring and Other Charges

7. Impairment, Restructuring and Other Charges

Restructuring and Other Charges

During the three and nine months ended September 30, 2022, the Company incurred additional costs of approximately $2.2 million and $8.0 million, respectively, under the 2021 global strategic plan. The year-to-date charges were primarily related to the write-downs of long-lived assets and other charges of approximately $5.1 million and $2.9 million, respectively. Other charges consisted of office moves, site cleanup, preparation costs, consulting and legal fees.

During the nine months ended September 30, 2021, the Company incurred additional costs under the former 2018 global strategic plan to realign manufacturing facilities globally. These charges were primarily related to the restructuring of our downhole tools business where we exited certain underperforming countries and markets and shifted from manufacturing in-house to a vendor sourcing model. The Company did not incur any additional costs during the three months ended September 30, 2021.

The following table summarizes the components of charges included in "Restructuring and other charges" in our condensed consolidated statements of income (loss) for the three and nine months ended September 30, 2022 and 2021 (in thousands):

 

 

 

Three months ended September 30,

 

 

Nine months ended September 30,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Inventory write-down

 

$

-

 

 

$

-

 

 

$

-

 

 

$

19,251

 

Severance

 

 

-

 

 

 

-

 

 

 

32

 

 

 

2,745

 

Long-lived asset write-down

 

 

-

 

 

 

-

 

 

 

5,055

 

 

 

-

 

Other

 

 

2,180

 

 

 

-

 

 

 

2,890

 

 

 

4,024

 

 

 

$

2,180

 

 

$

-

 

 

$

7,977

 

 

$

26,020

 

 

The following table summarizes the changes to our accrued liability balance related to restructuring and other charges as of September 30, 2022 (in thousands):

 

 

Total

 

Beginning balance at January 1, 2022

 

$

4,000

 

Additions for costs expensed

 

 

2,901

 

Reductions for payments

 

 

(3,347

)

Other

 

 

4

 

Ending balance at September 30, 2022

 

$

3,558