Restructuring Activities

4 Months Ended

Apr. 22, 2023

Restructuring and Related Activities [Abstract]

Restructuring Activities

3. RESTRUCTURING ACTIVITIES

In February 2023, to improve operational effectiveness, increase profitable sales, and better meet customer requirements, the company announced a restructuring of plant operation responsibilities from the sales function to the supply chain function. Employee termination benefits and other cash charges were primarily for the voluntary employee separation incentive plan (the "VSIP") and employee relocation costs. During the sixteen weeks ended April 22, 2023, we recorded VSIP-related charges of $3.9 million of which $0.5 million were paid during the quarter. Relocation costs incurred during the current year quarter were $0.3 million and these and the VSIP costs are recorded in the restructuring charges line item of the Condensed Consolidated Statements of Income.

The table below presents the components of costs associated with the restructuring (amounts in thousands):

	For the Sixteen Weeks Ended
	April 22, 2023
Restructuring charges:
VSIP	$	3,927
Relocation costs		268
Total restructuring charges	$	4,195

The table below presents the components of, and changes in, our restructuring accruals (amounts in thousands):

	VSIP			Relocation Costs			Total
Liability balance at December 31, 2022	$	—		$	—		$	—
Charges		3,927			268			4,195
Cash payments		(509	)		(268	)		(777	)
Liability balance (1) at April 22, 2023	$	3,418		$	—		$	3,418

(1) Recorded in the other accrued liabilities line item of our Condensed Consolidated Balance Sheets.