Facility Consolidation and Severance Expenses, Net

6 Months Ended

Jul. 02, 2011

Facility Consolidation And Severance Expenses [Abstract]

Restructuring and Related Activities Disclosure [Text Block]

FACILITY CONSOLIDATION AND SEVERANCE EXPENSES, NET

In response to the difficult economic conditions, the Company began consolidating its Eton, Georgia carpet tufting operation into its Atmore, Alabama tufting, dyeing and finishing facility beginning in the fourth quarter of 2008.  This was substantially completed in the first quarter of 2009.  The Company also made organizational and other changes designed to reduce staff and expenses throughout the Company.   In addition, the Company consolidated its Santa Ana, California tufting plant, a leased facility, into its Santa Ana, California dyeing, finishing and distribution facility, a facility owned by the Company, which was completed during the fourth quarter of 2009. Also, in 2009, the leased facility was vacated and the Company recorded the estimated costs related to fulfillment of its contractual lease obligations and on-going facilities maintenance, net of an estimate of sub-lease expectations.  During June 2011, the Company terminated the lease and paid a termination fee of $700. There are no remaining costs to be incurred under this plan.

Costs related to the 2008 Facilities Consolidation Plan are summarized as follows:

											As of July 2, 2011
	Accrued Balance at Dec. 25, 2010		2011 Expenses To Date			2011 Cash Payments			Accrued Balance at July 2, 2011		Total Costs Incurred To Date		Total Expected Costs
Equipment and inventory relocation	$	—	$	—		$	—		$	—	$	3,193	$	3,193
Severance pay and employee relocation	—		—			—			—		1,095		1,095
Leased facilities - obligations	1,626		(551		)	(1,075		)	—		1,664		1,664
Totals	$	1,626	$	(551	)	$	(1,075	)	$	—	$	5,952	$	5,952

In August 2009, the Company developed and began implementing a plan to realign its organizational structure in the third and fourth quarters of 2009. Under this plan, the Company combined its three residential carpet units into one business with three distinct brands.  As a result, the Company's residential business is organized much like its commercial carpet business and more like the rest of the industry.  Costs related to the organization realignment included severance costs, associate relocation expenses and costs related to the migration of certain computer applications necessary to support the realignment. There are no remaining costs to be incurred under this plan.

Costs related to the 2009 Organization Restructuring Plan are summarized as follows:

										As of July 2, 2011
	Accrued Balance at Dec. 25, 2010		2011 Expenses To Date			2011 Cash Refunds (Payments)		Accrued Balance at July 2, 2011		Total Costs Incurred To Date		Total Expected Costs
Severance pay and employee relocation	$	9	$	(12	)	$	3	$	—	$	969	$	969
Computer systems conversion cost	—		—			—		—		481		481
Totals	$	9	$	(12	)	$	3	$	—	$	1,450	$	1,450

Expenses incurred under these plans are classified in "facility consolidation and severance expenses, net" in the Company's Consolidated Condensed Statements of Operations.