Restructuring and Long-Lived Asset Impairment (Tables)

6 Months Ended

Jun. 30, 2023

Schedule of long-lived asset impairment charges by type of long-lived asset

The following table details long-lived asset impairment charges by type of long-lived asset and by restructuring activity, all of which relate to the RV and Outdoor Retail segment (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Long-lived asset impairment charges by type of long-lived asset:
Leasehold improvements	$	—	$	2,557	$	740	$	2,557
Operating lease right of use assets		476		—		476		—
Furniture and equipment		—		61		329		61
Software		—		—		1,362		—
Construction in progress and software in development		—		—		113		—
Intangible assets		—		—		4,501		—
Total long-lived asset impairment charges	$	476	$	2,618	$	7,521	$	2,618
Long-lived asset impairment charges by restructuring activity:
2019 Strategic Shift	$	—	$	—	$	—	$	—
Active Sports Restructuring		—		—		6,648		—
Unrelated to restructuring activities		476		2,618		873		2,618
Total long-lived asset impairment charges	$	476	$	2,618	$	7,521	$	2,618

2019 Strategic Shift

Schedule of restructuring expenses incurred

The following table details the costs incurred during the three and six months ended June 30, 2023 and 2022 associated with the 2019 Strategic Shift (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
2019 Strategic Shift restructuring costs:
Lease termination costs(1)	$	—	$	944	$	—	$	1,122
Other associated costs(2)		1,063		1,854		2,147		3,877
Total 2019 Strategic Shift restructuring costs	$	1,063	$	2,798	$	2,147	$	4,999

(1) These costs were included in lease termination charges in the condensed consolidated statements of operations. This reflects termination fees paid, net of any gain from derecognition of the related operating lease assets and liabilities.

(2) Other associated costs primarily represent lease and other operating expenses incurred during the post-close wind-down period for the locations related to the 2019 Strategic Shift for the periods presented and were included in selling, general, and administrative expenses in the condensed consolidated statements of operations.

Schedule of changes in the restructuring accrual

The following table details changes in the restructuring accrual associated with the 2019 Strategic Shift (in thousands):

	One-time		Lease		Other
	Termination		Termination		Associated
	Benefits		Costs (1)		Costs (2)		Total
Balance at June 30, 2019	$	—	$	—	$	—	$	—
Charged to expense		1,239		13,532		31,840		46,611
Paid or otherwise settled		(1,239)		(13,532)		(30,914)		(45,685)
Balance at December 31, 2021		—		—		926		926
Charged to expense		—		2,023		3,877		5,900
Paid or otherwise settled		—		(2,023)		(4,060)		(6,083)
Balance at June 30, 2022		—		—		743		743
Charged to expense		—		4,074		3,149		7,223
Paid or otherwise settled		—		(4,074)		(3,023)		(7,097)
Balance at December 31, 2022		—		—		869		869
Charged to expense		—		—		2,147		2,147
Paid or otherwise settled		—		—		(2,007)		(2,007)
Balance at June 30, 2023	$	—	$	—	$	1,009	$	1,009

(1) Lease termination costs exclude the $7.6 million, $0.9 million and $3.9 million of gains from the derecognition of the operating lease assets and liabilities relating to the terminated leases as part of the 2019 Strategic Shift for the 2.5 years ended December 31, 2021, for the six months ended June 30, 2022, and for the six months ended December 31, 2022, respectively.

(2) Other associated costs primarily represent labor, lease and other operating expenses incurred during the post-close wind-down period for the locations related to the 2019 Strategic Shift.

Active Sports

Schedule of restructuring expenses incurred

The following table details the costs incurred during the three and six months ended June 30, 2023 and 2022 associated with the Active Sports Restructuring (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2023		2022		2023		2022
Active Sports Restructuring costs:
One-time termination benefits(1)	$	193	$	—	$	193	$	—
Incremental inventory reserve charges(1)		2,646		—		2,646		—
Other associated costs(2)		420		—		420		—
Total Active Sports Restructuring costs	$	3,259	$	—	$	3,259	$	—

(1) These costs were included in costs applicable to revenues – products, service and other in the condensed consolidated statements of operations.

(2) Other associated costs primarily represent labor, lease and other operating expenses incurred during the post-close wind-down period for the Active Sports Restructuring for the periods presented and were included primarily in selling, general, and administrative expenses in the condensed consolidated statements of operations.

Schedule of changes in the restructuring accrual

The following table details changes in the restructuring accrual associated with the Active Sports Restructuring (in thousands):

	One-time		Other
	Termination		Associated
	Benefits		Costs (1)		Total
Balance at March 31, 2023	$	—	$	—	$	—
Charged to expense		193		420		613
Paid or otherwise settled		(193)		(420)		(613)
Balance at June 30, 2023	$	—	$	—	$	—

(1) Other associated costs primarily represent labor, lease and other operating expenses incurred during the post-close wind-down period for the specialty retail location and distribution centers related to the Active Sports Restructuring.