Restructuring

In fiscal 2014, the Company announced a restructuring plan to consolidate facilities in the Americas, Europe and Asia to enhance customer service, improve efficiency of operations and reduce operating expenses. Facility consolidation activities extended into fiscal 2015.

In connection with this plan, the Company incurred restructuring charges of $4,278 during the three months ended October 31, 2014, which consisted of $2,588 of employee separation costs, $200 of fixed asset write-offs, $948 of facility closure related costs, and $542 of contract termination costs. Of the $4,278 of restructuring charges recorded during the quarter, $2,386 was incurred within IDS and $1,892 within WPS.

The Company incurred restructuring charges of $6,840 during the three months ended October 31, 2013. These restructuring charges consisted of $6,492 of employee separation costs, which included $883 of separation costs related to the former CEO, and $348 of other facility closure related costs. Of the $6,840 of restructuring charges recorded during the quarter, $3,977 was incurred within IDS and $2,863 within WPS.

The charges for employee separation costs consisted of severance pay, outplacement services, medical and other benefits. The costs related to these restructuring activities were recorded on the condensed consolidated statements of earnings as restructuring charges. The Company expects the majority of the remaining cash payments to be made during the next twelve months.

A reconciliation of the Company’s restructuring liability is as follows:



	Employee Related			Asset Write-offs			Other			Total
Beginning balance, July 31, 2014	$	3,389		$	—		$	1,606		$	4,995
Restructuring charges in continuing operations	2,588			200			1,490			4,278
Restructuring charges in discontinued operations	—			(4		)	245			241
Non-cash write-offs	—			(196		)	—			(196		)
Cash payments	(2,141		)	—			(1,252		)	(3,393		)
Ending balance, October 31, 2014	$	3,836		$	—		$	2,089		$	5,925