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Restructuring and Severance Charges
6 Months Ended
Oct. 23, 2015
Restructuring and Related Activities [Abstract]  
Restructuring and Severance Charges
Restructuring and Severance Charges
In fiscal 2013, we began a strategic organizational realignment including a closure of production facilities and a reduction of personnel at Bob Evans Restaurants, BEF Foods and at our corporate headquarters, as part of our comprehensive plan to reduce S,G&A expenses. In the second quarter of fiscal 2014, we closed our BEF Foods production plant in Richardson, Texas, and in the third quarter of fiscal 2014, we closed our BEF Foods production plants in Springfield and Bidwell, Ohio. The actions to close these food production facilities was intended to increase efficiency by consolidating production to our high capacity food production facility in Sulphur Springs, Texas. In the fourth quarter of fiscal 2014 we recorded charges related to a reduction of personnel at our corporate headquarters. In the fourth quarter of fiscal 2015 management approved a plan to further reduce headcount as part of the overall S,G&A cost reduction initiative. Additionally in the fourth quarter of fiscal 2015, management committed to a plan to close 16 owned and four leased under-performing restaurants in fiscal 2016. As of October 23, 2015, all 20 of these restaurants have been closed. We believe these closures strengthen our restaurant portfolio by improving overall returns and freeing up resources for other uses.
We recorded $140 of pretax restructuring charges in the six months ended October 23, 2015, as compared to $950 of pretax restructuring charges in the six months ended October 24, 2014. These costs, reflected primarily in S,G&A, related to the organizational realignments discussed above.
Liabilities related to restructuring charges as of October 23, 2015, were $696, and relate to corporate severance charges primarily recorded in the fourth quarter of fiscal 2015.
See tables below for detail of restructuring activity for the six months ended October 23, 2015, and October 24, 2014, respectively:
(in thousands)
Bob Evans
Restaurants
 
BEF Foods
 
Corporate and Other
 
Total
Balance, April 24, 2015
$
1,105

 
$
481

 
$
2,040

 
$
3,626

Restructuring and related severance charges incurred
112

 
28

 


 
140

Amounts paid
(1,086
)
 
(488
)
 
(1,150
)
 
(2,724
)
Adjustments
(131
)
 
(21
)
 
(194
)
 
(346
)
Balance, October 23, 2015
$

 
$

 
$
696

 
$
696

(in thousands)
Bob Evans
Restaurants
 
BEF Foods
 
Corporate and Other
 
Total
Balance, April 25, 2014
$

 
$
553

 
$
674

 
$
1,227

Restructuring and related severance charges incurred

 
528

 
422

 
950

Amounts paid

 
(895
)
 
(712
)
 
(1,607
)
Balance, October 24, 2014
$

 
$
186

 
$
384

 
$
570