Restructuring Charges Restructuring Charges

6 Months Ended

Jun. 30, 2013

Restructuring and Related Activities [Abstract]

As part of the Company's efforts to adapt operations to market conditions, restructuring activities related to the Company's organizational structure and operations were announced during January of 2013. The charges associated with the restructuring activities are included in the Company's Metals segment and in the Company's 'Other' segment which includes the costs of the executive, legal, and finance departments shared by both the Metals and Plastics segments.

The charges incurred during the first half of 2013 were comprised of employee termination and related benefits associated with salaried and hourly workforce reductions, lease termination costs, moving costs and other exit costs associated with five plant consolidations. All of the lease termination costs were recognized in the second quarter of 2013.

Below is a summary of the total restructuring charges incurred in the three and six months ended June 30, 2013. Charges incurred in the six months ended June 30, 2013 represent the cumulative amount incurred to date.



	Charges incurred during the
	Three months ended		Six months ended
	June 30, 2013		June 30, 2013
Employee termination and related benefits	$	816	$	2,214
Lease termination costs	1,830		1,830
Moving costs associated with plant consolidations	2,674		3,459
Other exit costs	273		315
Inventory write-offs	479		1,236
Total	$	6,072	$	9,054

Approximately $1,000 of additional charges, primarily associated with other exit costs, are expected to be incurred during the remainder of 2013.

The restructuring reserve activity for the six months ended June 30, 2013 is summarized below:



			Period Activity
	Balance as of January 1		Charges ^(a)		Cash payments			Impairment			Balance as of June 30 ^(b)
Employee termination and related benefits	$	—	$	2,214	$	(1,272	)	$	—		$	942
Lease termination costs	—		1,830		(58		)	—			1,772
Moving costs associated with plant consolidations	—		3,459		(3,290		)	(169		)	—
Other exit costs	—		315		(164		)	—			151
Inventory write-offs	—		1,236		—			(1,236		)	—
Total	$	—	$	9,054	$	(4,784	)	$	(1,405	)	$	2,865

^(a)Costs associated with the write-off of inventory are included in cost of materials in the condensed consolidated statements of operations and comprehensive loss. All other costs are recorded to the restructuring charges line item within the condensed consolidated statements of operations and comprehensive loss as they are incurred.

^(b)Cash payments are expected to be made during the third and fourth quarters of 2013 for all the restructuring reserve activity except for the lease termination costs. Payments on certain of the lease obligations are scheduled to continue until 2016. Market conditions and the Company’s ability to sublease these properties could affect the ultimate charge related to the lease obligations. Any potential recoveries or additional charges could affect amounts reported in the Condensed Consolidated Financial Statements of future periods.

- Definition

The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled.

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