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Restructuring Costs
12 Months Ended
Dec. 28, 2024
Restructuring and Related Activities [Abstract]  
Restructuring Costs Restructuring Costs
In the third quarter of 2022, we elected to discontinue our operations in Russia, where we had an office that employed engineering and coding resources that supported the operation and maintenance of the Ingram Micro Cloud Marketplace. As a result, we incurred one-time termination costs of $11,377 during Fiscal Year 2022, of which $7,141 was recognized within restructuring costs and $4,236 was recognized within SG&A expenses on the Consolidated Statements of Income. In the third quarter of 2023, we sold our Russian subsidiary, recognizing a loss of $3,068 within SG&A expenses and leaving us with no remaining presence in Russia.
In Fiscal Year 2023, as a result of changing global and local market conditions, we initiated a global restructuring plan which resulted in organizational and staffing changes, including a headcount reduction of 628 employees, primarily in our North American segment. We took further actions in the first quarter of 2024. Further, in the fourth quarter of 2024, we took actions to enhance organizational efficiency and strengthen customer service capabilities to better position us for long-term, sustainable growth, which included organizational and staffing changes as well as headcount reductions of 1,056 employees, inclusive of the actions taken in the first quarter of 2024. We anticipate additional charges in the range of $4 million and $7 million in the first quarter of 2025 in connection with the continuance of this restructuring plan.
A summary of the restructuring costs incurred in Fiscal Year 2024 and Fiscal Year 2023, are as follows:
Restructuring Costs
Headcount
Reduction
(Number of
Employees)
Employee
Termination
Benefits
Facility and
Other
Costs
Total
Restructuring
Costs
Fiscal Year 2024
North America$15,004 $231 $15,235 
EMEA15,762 15,763 
Asia-Pacific7,029 — 7,029 
Latin America268 59 327 
Total1,056$38,063 $291 $38,354 
Restructuring Costs
Headcount
Reduction
(Number of
Employees)
Employee
Termination
Benefits
Facility and
Other
Costs
Total
Restructuring
Costs
Fiscal Year 2023
North America$12,050 $3,401 $15,451 
EMEA1,878 18 1,896 
Asia-Pacific1,341 — 1,341 
Latin America109 — 109 
Total628 $15,378 $3,419 $18,797 
The remaining liabilities, which are recorded within accrued expenses and other on our Consolidated Balance Sheets, and activities associated with the aforementioned actions for Fiscal Year 2024 are summarized in the tables below:
Restructuring Liability
Beginning
Liability
Expenses,
Net
Amounts Paid
and Charged
Against the
Liability
Foreign
Currency
Translation
Remaining
Liability as of
December 28,
2024
Fiscal Year 2024
Employee termination benefits$2,060 $38,063 $(27,678)$(259)$12,186 
Facility and other costs— 291 (291)— — 
Total$2,060 $38,354 $(27,969)$(259)$12,186 
Restructuring Liability
Beginning
Liability
Expenses,
Net
Amounts Paid
and Charged
Against the
Liability
Foreign
Currency
Translation
Remaining Liability as of December 30, 2023
Fiscal Year 2023
Employee termination benefits$1,144 $15,378 $(14,549)$87 $2,060 
Facility and other costs10 3,419 (3,429)— — 
Total$1,154 $18,797 $(17,978)$87 $2,060 
The remaining liability of $12,186 will be substantially paid by the first half of 2025.