Restructuring Activities

9 Months Ended

Sep. 30, 2024

Restructuring and Related Activities [Abstract]

Restructuring Activities

Restructuring Activities

During the second half of 2023, we engaged a consulting firm to help review and analyze the structure and operations of the Company. This review included greater than 200 meetings with personnel at all levels of the firm and led to the initiation of our transformation program named "Project Elevate". The program involves the optimization and rationalization of our business resources as well as the partial reinvestment of savings into the Company's sales and marketing team, technology, and strategy. A business transformation office was established at the beginning of 2024 to manage and measure these initiatives. Reorganization cost reductions from Project Elevate during 2024 through 2026 are estimated to be $16.0 million. For the year ended December 31, 2023, we recorded restructuring charges of $5.7 million. We expect to incur total restructuring charges of $10.1 million through the end of 2025.

For the three and nine months ended September 30, 2024, we recorded restructuring charges of $0.8 million and $2.1 million, respectively.

The following table summarizes the restructuring charges which are recorded in “Restructuring Expense” in the Condensed Consolidated Statement of Comprehensive Income (Loss).

In thousands	Three months ended Sep 30, 2024		Nine months ended Sep 30, 2024
Consulting and employee expense	$	215	$	677
Severance	243		1,025
Facility and other expenses	378		414
Total	$	836	$	2,116

The following table summarizes the changes in liabilities related to restructuring activities:

	Nine months ended Sep 30, 2024
In thousands	Consulting and Employee Expense		Severance		Facility, asset impairment and other expense		Total
Beginning balance:	$	3,574	$	144	$	38	$	3,756
Additions	673		1,026		263		1,962
Payments and adjustment	(4,247)		(907)		(301)		(5,455)
Ending balance:	$	—	$	263	$	—	$	263