Restructuring charges

12 Months Ended

Jul. 31, 2012

5. Restructuring charges:

In the first quarter of fiscal year 2011, the Company recorded a restructuring charge of $3,562 for severance and personnel related costs of plan it initiated to reduce its workforce by 104 employees worldwide. The purpose of this workforce reduction was to streamline its operations and consolidate its Denmark and Canton, Massachusetts manufacturing operations into its existing facilities. During the second quarter of 2011, the Company recorded an adjustment of $134 for a change in estimate of severance and related benefit expenses related to this plan.

In the fourth quarter of fiscal year 2011, the Company recorded a restructuring charge of $3,587 for severance and personnel related costs of a plan to streamline its operations by reducing its workforce by 51 employees worldwide.

In the second quarter of fiscal year 2010, the Company reduced its workforce by 17 employees worldwide. The total costs of this plan, including severance and personnel related costs, was $764 and was recorded as a restructuring charge during fiscal year 2010.

In the fourth quarter of fiscal year 2010, the Company recorded an additional restructuring charge of $420 for estimated sub-lease income that is no longer expected to be received for facility space the Company exited in the fourth quarter of fiscal year 2010. Offsetting this expense was an adjustment of severance and related benefit expenses of $494 related to a change in estimated severance benefits as well as changes in the employee population expected to receive such benefits.

The following table summarizes accrued restructuring costs activity from July 31, 2009 through July 31, 2012:


	Involuntary Employee Severance			Facility Exit Costs			Copley Acquisition			Total
Balance at July 31, 2009	$	2,728		$	1,058		$	26		$	3,812
Restructuring charge		764			420			—			1,184
Adjustments		(494	)		—			—			(494	)
Cash payments		(2,854	)		(756	)		(26	)		(3,636	)
Foreign exchange		9			—			—			9

Balance at July 31, 2010		153			722			—			875
Restructuring charge		7,147			—			—			7,147
Adjustments		(134	)		53			—			(81	)
Cash payments		(2,212	)		(620	)		—			(2,832	)
Foreign exchange		81			—			—			81

Balance at July 31, 2011		5,035			155			—			5,190
Cash payments		(4,560	)		(155	)		—			(4,715	)
Foreign exchange		(198	)		—			—			(198	)

Balance at July 31, 2012	$	277		$	—		$	—		$	277

The cash expenditures remaining to be paid as of July 31, 2012 for employee severance will be paid within the next three months.

- Definition

The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled.

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