Restructuring

In April 2017, the Company commenced a restructuring plan in the Technical Nonwovens segment which will include plant consolidations and transfer of equipment to other facilities within the segment's Europe and China operations. The consolidation of certain plants, which is expected to conclude in the second quarter of 2019, is expected to reduce operating costs, increase efficiency and enhance the Company’s flexibility by better aligning its manufacturing footprint with the segment's customer base. Accordingly, the Company expects to record pre-tax expenses of approximately $5.0 million, in connection with this restructuring plan, of which approximately $4.8 million is expected to result in future cash expenditures over the period of consolidation. Approximately $2.0 million of expenses are expected during the second half of 2017, predominately in the fourth quarter. The Company also expects to incur cash expenditures of approximately $3.5 million for capital expenditures associated with this plan.

During the quarter and six months ended June 30, 2017, the Company recorded pre-tax restructuring expenses of $0.3 million. Restructuring expenses of $0.2 million, related to contract termination and other associated expenses, were recorded in selling, product development and administrative expenses and $0.1 million of severance related expenses were recorded in cost of sales.

Actual pre-tax expenses incurred and total estimated pre-tax expenses for the restructuring program by type are as follows:



In thousands	Severance and Related Expenses		Contract Termination Expenses		Facility Exit, Move and Set-up Expenses		Total
Expense incurred during quarter ended:
June 30, 2017	74		185		34		293
Total pre-tax expense incurred	$	74	$	185	$	34	$	293
Estimated remaining expense at June 30, 2017	1,600		50		3,050		4,700
Total estimated pre-tax expense	$	1,674	$	235	$	3,084	$	4,993

There were no cash outflows for the restructuring program for the quarter and six months ended June 30, 2017.

Accrued restructuring costs were as follows at June 30, 2017:



In thousands	Total
Balance as of March 31, 2017	$	—
Pre-tax restructuring expenses	293
Cash paid	—
Balance as of June 30, 2017	$	293