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Restructuring Charges
12 Months Ended
Dec. 31, 2012
Restructuring and Related Activities [Abstract]  
Restructuring Charges

12. Restructuring Charges

 

On December 11, 2012, we adopted a restructuring plan to improve organizational efficiency and conserve working capital needed to support the growth of our GenDrive business. In doing so, 22 full-time positions were eliminated at our U.S. facilities. This workforce reduction was substantially completed on December 13, 2012. As a result of the overall restructuring, we expect to reduce annual expenses by $3.0 to $4.0 million. The Company recorded restructuring charges of $286,000 within selling, general and administrative expenses in the consolidated statement of operations for the year ended December 31, 2012 related to this restructuring.  At December 31, 2012, approximately $136,000 remains in accrued expenses on the consolidated balance sheets.

During 2010 and 2008, the Company adopted three separate restructuring plans to focus and align the Company on its objectives, including:  a plan to focus and align the Company on its GenDrive business, and two plans to focus the Company on becoming a market and sales driven organization. As part of these plans, the Company implemented reductions in workforce, terminated purchase commitments, cut back discretionary spending, deferred non-strategic projects, and consolidated all operations to its Latham, New York headquarters. The Company recorded restructuring charges and revisions to previous estimates in the amount of $0, $232,054 and $7,592,021 within selling, general and administrative expenses in the consolidated statement of operations for the years ended December 31, 2012, December 31, 2011 and December 31, 2010, respectively, related to these restructurings.   At December 31, 2012, $10,550 remains in accrued expenses on the consolidated balance sheets.