9. Restructuring

During the nine months ended September 30, 2015 we recorded a total restructuring charge of $16.7 million which was classified within our consolidated statement of operations as follows: Cost of Revenue $0.7 million, Research and Development $9.7 million, Sales and Marketing $0.8 million, and General and Administrative $5.5 million.

Q2 2015 Restructuring Plan

During the three months ended June 30, 2015, our board of directors authorized, and we implemented a restructuring plan that included a reduction in work force as part of the overall plan to reduce the Company’s long term cost structure. As a result of this restructuring, we recorded a charge of $12.6 million in the nine months ended September 30, 2015, which is included in operating expenses in our consolidated statement of operations. The $12.6 million restructuring charge is comprised of $10.6 million of employee severance costs and $2.0 million related to lease and contract termination costs. This restructuring charge does not include the impact of $0.4 million of net stock-based expense reversals associated with the net effect of forfeitures from employee terminations. The remaining liability related to our Q2 2015 restructuring plan as of September 30, 2015 was $0.5 million and is expected to be paid out over the next 0.3 years.

The following table presents the activity for the three months ended June 30, 2015 and the three and nine months ended September 30, 2015 related to the Q2 2015 restructuring plan (in thousands):


	Three Months Ended						Nine Months Ended
	June 30, 2015			September 30, 2015			September 30, 2015
Restructuring liability - beginning of period	$	—		$	1,860		$	—
Restructuring expense and adjustments		12,282			367			12,649
Cash payments		(10,422	)		(1,736	)		(12,158	)

Restructuring liability (Q2 2015 Plan) - end of period	$	1,860		$	491		$	491

Q1 2015 Restructuring Plan

During the three months ended March 31, 2015, our board of directors authorized, and we implemented a restructuring plan that included a reduction in work force and closure of the Beijing, China office as part of the overall plan to reduce the Company’s long term cost structure. As a result of this restructuring, we recorded a charge of $3.8 million in the nine months ended September 30, 2015, which is included in operating expenses in our consolidated statement of operations. The $3.8 million restructuring charge in the nine months ended September 30, 2015 is comprised of $2.5 million of employee severance costs and $1.3 million related to lease and contract termination costs. This restructuring charge does not include the impact of $0.1 million of net stock-based expense reversals associated with the net effect of forfeitures from employee terminations.

The following table presents the activity for the three months ended March 31, 2015 and June 30, 2015 and the nine months ended September 30, 2015 related to the Q1 2015 restructuring plan (in thousands):


	Three Months Ended						Nine Months Ended
	March 31, 2015			June 30, 2015			September 30, 2015
Restructuring liability - beginning of period	$	—		$	330		$	—
Restructuring expense and adjustments		3,241			542			3,783
Cash payments		(2,911	)		(872	)		(3,783	)

Restructuring liability (Q1 2015 Plan) - end of period	$	330		$	—		$	—

There is no remaining liability for the Q1 2015 restructuring plan as of September 30, 2015.

Q1 2014 Restructuring Plan

The following table presents the activity for the three months ended March 31, 2015 and June 30, 2015 and the three and nine months ended September 30, 2015 related to the Q1 2014 restructuring plan (in thousands):


	Three Months Ended									Nine Months Ended
	March 31, 2015			June 30, 2015			September 30, 2015			September 30, 2015
Restructuring liability - beginning of period	$	10,009		$	8,082		$	6,663		$	10,009
Restructuring expense and adjustments		189			30			33			252
Cash payments		(2,116	)		(1,449	)		(1,491	)		(5,056	)

Restructuring liability (Q1 2014 Plan) - end of period	$	8,082		$	6,663		$	5,205		$	5,205

The remaining liability of $5.2 million is expected to be paid out over the next 1.3 years.

Other Plans

The following table presents the activity for the three months ended March 31, 2015 and June 30, 2015 and the three and nine months ended September 30, 2015 related to all other remaining historical restructuring plans from prior years (in thousands):


	Three Months Ended									Nine Months Ended
	March 31, 2015			June 30, 2015			September 30, 2015			September 30, 2015
Restructuring liability - beginning of period	$	2,857		$	1,957		$	1,933		$	2,857
Restructuring expense and adjustments		31			—			19			50
Cash payments		(931	)		(24	)		(1,168	)		(2,123	)

Restructuring liability (2013 Plan) - end of period	$	1,957		$	1,933		$	784		$	784

The remaining liability of $0.8 million is expected to be paid out over the next 2.1 years.