Restructuring and other related costs

In February 2019, during the transition period for the three months ended March 31, 2020, a Restructuring Plan was approved to close all 22 e.l.f. retail stores and implement a workforce reduction of employees that operated and managed the e.l.f. retail stores. The Restructuring Plan resulted in the termination of the employment of 170 retail store employees and 5 corporate employees who managed and operated the e.l.f. retail stores. The purpose of the Restructuring Plan was to enable a reallocation of investment against the e.l.f. brand and prioritization of the Company's national retailer and digital channels.

In connection with the Restructuring Plan, the following table presents the restructuring (income) expense incurred in the transition period for the three months ended March 31, 2019 and the fiscal year ended March 31, 2020, respectively (in thousands):



	March 31, 2020			Three months ended March 31, 2019 (transition period)
	2020
Acceleration of rent expense	$	—		$	16,106
Acceleration of depreciation expense	—			5,377
Gain from extinguishment of lease liabilities	(7,733		)	(1,866		)
Employee severance and related expenses	—			600
Other costs, including other asset write-offs	1,751			1,959
Total	$	(5,982	)	$	22,176

The acceleration of rent expense is net of a $1.9 million gain related to operating lease liabilities that were extinguished as of March 31, 2019. This gain represents the difference between the aggregate operating lease liability established upon adoption of ASC 842 and the aggregate cash charge incurred to extinguish the aggregate liability. The gross accelerated rent expense of $16.1 million is included in depreciation and amortization in the statement of cash flows for the transition period for the three months ended March 31, 2019. The majority of the other costs incurred during transition period for the three months ended March 31, 2019 and the year ended March 31, 2020 are legal fees related to this extinguishment. As of March 31, 2020, the Company has settled all outstanding lease liabilities related to its e.l.f. retail store closures and does not expect to incur additional costs associated with the Restructuring Plan.

Liabilities related to the Restructuring Plan are reported within accrued expenses and other current liabilities in the accompanying consolidated balance sheets. The following table presents a roll-forward of the Company's restructuring liability for the transition period for the three months ended March 31, 2019 and the year ended March 31, 2020, respectively (in thousands):



	Employee severance and related expenses			Other costs			Total
December 31, 2018	$	—		$	—		$	—
Costs incurred	600			1,118			1,718
Cash disbursements	(504		)	(443		)	(947		)
March 31, 2019	$	96		$	675		$	771
Costs incurred and other adjustments	(22		)	1,634			1,612
Cash disbursements	(74		)	(2,309		)	(2,383		)
March 31, 2020	$	—		$	—		$	—

Outstanding lease liabilities are not included in the table above, as those liabilities were established upon adoption of ASC 842, not in connection with the Restructuring Plan.