Restructuring and Other Charges

9 Months Ended

Oct. 03, 2021

Note 13. Restructuring and Other Charges

The Company accounts for its restructuring plans under the authoritative guidance for exit or disposal activities. The Company includes expenses related to restructuring and other charges in Other operating expenses (income), net in the unaudited condensed consolidated statements of operations. Accrued restructuring and other charges are classified within Accrued employee compensation and Other accrued liabilities on the unaudited condensed consolidated balance sheets.

Restructuring and other charges recognized in the nine months ended October 3, 2021 were primarily for severance, and other costs in relation to the consolidation of offices in the APAC region and the reorganization of our supply chain

function to gain some cost efficiencies. The remaining liabilities as of October 3, 2021 are expected to be settled in the fourth fiscal quarter of 2021.

The following table provides a summary of the activity related to accrued restructuring and other charges for the nine months ended October 3, 2021:

	Accrued Restructuring and Other Charges at December 31, 2020		Additions ⁽¹⁾		Cash Payments			Adjustments			Accrued Restructuring and Other Charges at October 3, 2021
	(In thousands)
Restructuring
Employee termination charges	$	87	$	2,900	$	(2,793	)	$	(39	)	$	155
Lease contract termination and other charges		227		513		(559	)		(135	)		46
Total Restructuring and other charges	$	314	$	3,413	$	(3,352	)	$	(174	)	$	201

⁽¹⁾Total restructuring and other charges recognized in the Company's unaudited condensed consolidated statements of operations for the period presented included non-cash charges and adjustments, net of $0.1 million, which were excluded from the table above.