Note 15 - Restructuring Charges and (Reversals)

12 Months Ended

Dec. 31, 2020

Notes to Financial Statements

Restructuring and Related Activities Disclosure [Text Block]

NOTE 

15.

  Restructuring Charges and (Reversals)

Restructuring liabilities primarily consisted of the estimated future obligations for contract suspension costs and severance and benefits obligations. These restructuring liabilities, all of which were paid in the year ending 

December 31, 2020,

were recorded in either accounts payable or other accrued liabilities in the consolidated balance sheets.

The Company approved a reduction-in-force during the year ended

December 31, 2019,

for which it accrued severance and benefits charges, all of which were paid in the

three

months ended

March 31, 2020.

The Company also accrued the maximum amount potentially payable under a manufacturing work order which it suspended. Following negotiations with the vendor, the Company paid

$2,252,000

in

September 

2020

 in full settlement and reversed the remainder of the balance accrued. Further, the Company recorded impairment charges against property and equipment and right-of-use assets formerly used for manufacturing covering the period in which

no

benefits were expected to be derived, and incurred legal fees and accretion costs in connection with the restructuring. In the year ended

December 31, 

2020,

the Company recorded costs for legal fees and for accretion related to the manufacturing premises. The Company does

not

expect to incur any further charges related to this restructuring.

Cumulative restructuring costs incurred and a reconciliation of the change in related liabilities during the years ended

December 31, 2019

and 

2020,

is as follows (in thousands):

	Suspension			Severance			Impairment
	of Contract			Benefits			Charges			Other			Total
Cumulative cost incurred as of December 31, 2020	$	2,252		$	368		$	1,272		$	179		$	4,071
Reconciliation of liabilities:
Balance at January 1, 2019	$	—		$	—		$	—		$	—		$	—
Period charges		3,223			368			1,272			57			4,920
Settlements		—			—			(1,272	)		—			(1,272	)
Balance at December 31, 2019		3,223			368			—			57			3,648
Period charges		—			—			—			122			122
Period reversals		(971	)		—			—			—			(971	)
Settlements		(2,252	)		(368	)		—			(179	)		(2,799	)
Balance at December 31, 2020	$	—		$	—		$	—		$	—		$	—