Severance and Restructuring Costs

12 Months Ended

Oct. 31, 2016

Restructuring And Related Activities [Abstract]

Note 3 – Severance and restructuring costs

During the fourth quarter of 2016, we implemented an initiative within our Adhesive Dispensing Systems segment to consolidate certain polymer processing product line facilities in the U.S. This initiative is designed to improve customer experience, accelerate growth, optimize performance and realize synergies for sustained long term success. Costs of $5,565 were recognized in 2016 relating to this initiative, which consisted primarily of severance costs. Payments of $624 related to these actions were paid during 2016. Additional costs related to this initiative are not expected to be material in future periods. Cash payments related to this initiative are expected to be paid during 2017 and 2018.

The following table summarizes severance and restructuring activity during 2016 related this action:

	Employee		Other
	severance		one-time
	charges		costs			Total
Accrual Balance at October 31, 2015	$	—	$	—		$	—
Charged to expense		4,576		989			5,565
Cash payments		—		(624	)		(624	)
Non cash utilization		—		(261	)		(261	)
Accrual Balance at October 31, 2016	$	4,576	$	104		$	4,680

During the second half of 2015, we implemented initiatives across each of our segments to optimize operations and to enhance operational efficiency and customer service. Costs of $5,210 and $11,411 were recognized in 2016 and 2015, respectively, related to these initiatives, which consisted primarily of severance costs.

Within the Adhesives Dispensing Systems segment, restructuring initiatives to optimize operations in the U.S. and Belgium resulted in costs of $2,235 and $7,972 in 2016 and 2015, respectively. Payments of $7,586 related to these actions were paid during 2016.

Within the Advanced Technology Systems segment, a restructuring initiative to enhance operational efficiency and customer service resulted in costs of $1,054 and $3,060 in 2016 and 2015, respectively. Payments of 3,144 related to these actions were paid during 2016.

Within the Industrial Coating Systems segment, a restructuring program to enhance operational efficiency and customer service resulted in severance costs of $1,921 and $379 in 2016 and 2015, respectively. Payments of $1,844 related to these actions were paid during 2016.

Total costs for these actions to-date have been $16,621, which include $12,592 of severance costs, $759 of fixed asset impairment charges, $1,383 of lease termination costs and $1,887 of other one-time restructuring costs.

The following table summarizes severance and restructuring activity during 2016 related to actions initiated in 2015:

	Fixed asset			Employee			Lease			Other
	impairment			severance			termination			one-time
	charges			charges			charges			costs			Total
Accrual Balance at October 31, 2015	$	—		$	7,908		$	1,322		$	244		$	9,474
Charged to expense		205			3,562			61			1,382			5,210
Cash payments		—			(10,334	)		(1,240	)		(1,000	)		(12,574	)
Non cash utilization		(205	)		—			—			(129	)		(334	)
Accrual Balance at October 31, 2016	$	—		$	1,136		$	143		$	497		$	1,776

Additional costs related to these initiatives are not expected to be material in future periods. The remainder of the cash payments related to these initiatives are expected to be paid during the first half of 2017.