Restructuring Charges

9 Months Ended

Mar. 31, 2016

Note 5. Restructuring Charges

2016 Restructuring Program

On February 1, 2016, in connection with the acquisition of Kremers, the Company formulated a plan related to the future integration of Kremers and the Company’s businesses. The integration plan focuses on the closure of Kremers corporate functions and the consolidation of manufacturing, sales, research and development, and distribution functions. The Company estimates that it will incur an aggregate of up to approximately $23.0 million in restructuring charges for actions that have been announced or communicated since the 2016 Restructuring Program began. Of this amount, approximately $14.0 million relates to employee separation costs, approximately $1.0 million relates to contract termination costs and approximately $8.0 million relates to facility closure costs and other actions. The expenses associated with the restructuring program included in restructuring expenses during the three and nine months ended March 31, 2016 were as follows:

(In thousands)	Three and Nine Months Ended March 31, 2016
Employee separation costs	$	3,870
Contract termination costs	701
Facility closure costs	178

Total	$	4,749

A reconciliation of the changes in restructuring liabilities associated with the 2016 Restructuring Program from June 30, 2015 through March 31, 2016 is set forth in the following table:

(In thousands)	Employee Separation Costs			Contract Termination Costs		Facility Closure Costs			Total
Balance at June 30, 2015	$	—		$	—	$	—		$	—
Restructuring Charges	3,870			701		178			4,749
Payments	(1,486		)	—		(178		)	(1,664		)

Balance at March 31, 2016	$	2,384		$	701	$	—		$	3,085