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Restructuring Activities
 9 Months Ended
Dec. 31, 2016
Restructuring Activities [Abstract]  
Restructuring Activities
Note 6: Restructuring Activities

During fiscal 2017, the Company completed a voluntary retirement program for certain U.S. salaried employees and implemented targeted headcount reductions at several locations.  These restructuring activities are part of the Company’s Strengthen, Diversify and Grow transformational initiative and support the objective of reducing operational and SG&A cost structures.

During fiscal 2016, the Company announced a plan to close its Washington, Iowa manufacturing facility and recorded severance costs as a result.  During the third quarter of fiscal 2017, the Company substantially completed the transfer of production from Washington to other Americas segment manufacturing facilities.  Also during fiscal 2016, the Company completed the transfer of production from its McHenry, Illinois manufacturing facility, which is now closed.  These restructuring activities reflect the Company’s focus on operating scale manufacturing facilities to improve overall competitiveness and profitability.
 
In addition, the Company has engaged in restructuring activities within its Europe segment.  These restructuring activities have included implementing headcount reductions, exiting certain non-core product lines based upon Modine’s global product strategy, reducing manufacturing costs, consolidating production facilities, and disposing of and selling certain underperforming or non-strategic assets.  The Company designed these activities to align the cost structure of the segment with its strategic focus on the commercial vehicle, off-highway, automotive component, and engine products markets, while improving gross margin and return on average capital employed.

Restructuring and repositioning expenses were as follows:

  
Three months ended
December 31,
  
Nine months ended
 December 31,
 
  
2016
  
2015
  
2016
  
2015
 
Employee severance and related benefits
 
$
0.1
  
$
0.9
  
$
2.2
  
$
2.6
 
Other restructuring and repositioning expenses
  
1.5
   
0.7
   
3.8
   
2.6
 
Total
 
$
1.6
  
$
1.6
  
$
6.0
  
$
5.2
 

Other restructuring and repositioning expenses primarily consist of equipment transfer and plant consolidation costs.

The Company accrues severance in accordance with its written plans, procedures, and relevant statutory requirements. Changes in accrued severance were as follows:
 
  
Three months ended December 31,
 
  
2016
  
2015
 
Beginning balance
 
$
9.2
  
$
7.8
 
Additions
  
0.1
   
0.9
 
Payments
  
(1.3
)
  
(0.9
)
Effect of exchange rate changes
  
(0.5
)
  
(0.2
)
Ending balance
 
$
7.5
  
$
7.6
 

  
Nine months ended December 31,
 
  
2016
  
2015
 
Beginning balance
 
$
14.7
  
$
9.9
 
Additions
  
2.2
   
2.6
 
Payments
  
(8.5
)
  
(5.1
)
Effect of exchange rate changes
  
(0.9
)
  
0.2
 
Ending balance
 
$
7.5
  
$
7.6
 

During the second quarter of fiscal 2017, the Company sold a manufacturing facility in its Europe segment for cash proceeds of $4.3 million and recognized a gain of $1.2 million as a result.  This facility was previously reported as an asset held for sale.  At December 31, 2016 and March 31, 2016, assets held for sale, which consisted of facilities marketed for sale, totaled $5.6 million and $8.5 million, respectively, and were reported within other noncurrent assets.