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Restructuring and Severance
 9 Months Ended
Sep. 30, 2019
Restructuring And Related Activities [Abstract]  
Restructuring and Severance

10.    Restructuring and Severance

Liabilities have been established for employee separations and lease abandonment. A summary of activity in the restructuring and severance liability is shown below:

 

(dollars in millions)

 

Employee

Separation

 

 

Lease

Abandonment

 

 

Total

 

Balance as of December 31, 2018

 

$

9.5

 

 

$

0.7

 

 

$

10.2

 

Hawaiian Telcom opening balance sheet adjustment

 

 

0.1

 

 

 

-

 

 

 

0.1

 

Charges

 

 

3.3

 

 

 

-

 

 

 

3.3

 

Utilizations

 

 

(6.7

)

 

 

(0.1

)

 

 

(6.8

)

Balance as of March 31, 2019

 

 

6.2

 

 

 

0.6

 

 

 

6.8

 

Charges

 

 

1.8

 

 

 

-

 

 

 

1.8

 

Utilizations

 

 

(3.9

)

 

 

(0.1

)

 

 

(4.0

)

Balance as of June 30, 2019

 

 

4.1

 

 

 

0.5

 

 

 

4.6

 

Charges

 

 

1.3

 

 

 

-

 

 

 

1.3

 

Utilizations

 

 

(2.3

)

 

 

(0.1

)

 

 

(2.4

)

Balance as of September 30, 2019

 

$

3.1

 

 

$

0.4

 

 

$

3.5

 

 

Restructuring and severance charges recorded in each of the first three quarters of 2019 in the Entertainment and Communications segment are related to a severance program for certain management employees as the Company continues its efforts to realize synergies that can be achieved due to the acquisition of Hawaiian Telcom. Restructuring and severance charges recorded in the IT Services and Hardware segment in the second and third quarters of 2019 are associated with initiatives to reduce and contain costs as well as headcount reductions as a result of insourcing initiatives by one of our significant customers.  

Lease abandonment costs represent future minimum lease obligations, net of expected sublease income, for abandoned facilities. Lease payments on abandoned facilities will continue through 2020.

A summary of restructuring activity by business segment is presented below:

 

(dollars in millions)

 

Entertainment

and

Communications

 

 

IT Services and

Hardware

 

 

Corporate

 

 

Total

 

Balance as of December 31, 2018

 

$

8.6

 

 

$

1.3

 

 

$

0.3

 

 

$

10.2

 

Hawaiian Telcom opening balance sheet adjustment

 

 

0.1

 

 

 

-

 

 

 

-

 

 

 

0.1

 

Charges

 

 

3.3

 

 

 

-

 

 

 

-

 

 

 

3.3

 

Utilizations

 

 

(6.3

)

 

 

(0.5

)

 

 

-

 

 

 

(6.8

)

Balance as of March 31, 2019

 

 

5.7

 

 

 

0.8

 

 

 

0.3

 

 

 

6.8

 

Charges

 

 

0.9

 

 

 

0.9

 

 

 

-

 

 

 

1.8

 

Utilizations

 

 

(2.8

)

 

 

(1.0

)

 

 

(0.2

)

 

 

(4.0

)

Balance as of June 30, 2019

 

 

3.8

 

 

 

0.7

 

 

 

0.1

 

 

 

4.6

 

Charges

 

 

0.7

 

 

 

0.6

 

 

 

-

 

 

 

1.3

 

Utilizations

 

 

(1.6

)

 

 

(0.7

)

 

 

(0.1

)

 

 

(2.4

)

Balance as of September 30, 2019

 

$

2.9

 

 

$

0.6

 

 

$

-

 

 

$

3.5

 

 

At September 30, 2019, $3.5 million of the restructuring liabilities were recorded in “Other current liabilities” in the Condensed Consolidated Balance Sheets. At December 31, 2018, $9.6 million and $0.6 million of the restructuring liabilities were recorded in “Other current liabilities” and "Other noncurrent liabilities," respectively, in the Condensed Consolidated Balance Sheets.