The Company has undertaken or committed to various restructuring initiatives, including workforce reductions, leadership changes, plant consolidations to reduce manufacturing overhead, satellite office closures, the continued movement of production and product sourcing to low-cost alternatives and the centralization and standardization of certain administrative functions. Liabilities for severance are generally to be paid within twelve months, while future lease payments related to facilities vacated as a result of restructuring are to be paid over the underlying remaining lease terms.

During the third quarter of fiscal 2025, in light of soft market conditions and as to further increase efficiency of its selling, general and administrative spend, the Company incurred restructuring costs of $5.9 million, of which approximately three-quarters were related to personnel actions and the remainder were charges associated with the Company's former headquarters location.

The following summarizes restructuring reserve activity for the IT&S segment and Corporate for the three months ended November 30, 2025 (in thousands):


	Three Months Ended November 30, 2025
	IT&S		Corporate
Balance as of August 31, 2025	$	1,706	$	1,379

Cash payments	(195)		(1,054)

Impact of changes in foreign currency rates	(11)		—
Balance as of November 30, 2025	$	1,500	$	325

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