NOTE J — Restructuring

In fiscal 2009, in response to the global economic downturn, the Company took several measures to address its cost structure. In addition to a company-wide salary freeze and decreased discretionary spending, the Company reduced its workforce by 25%. The Company reduced its workforce through voluntary and involuntary separation programs, voluntary retirement programs, and facility consolidations. The Company continued the execution of its restructuring actions during fiscal 2011. These actions included a reduction in its contract labor and decreased discretionary spending. As a result of these actions, the Company recorded restructuring charges of $3,641 during the three months ended October 31, 2010. The restructuring charges included $2,665 of employee separation costs, $951 of non-cash fixed asset write-offs, and $25 of other facility closure related costs and contract termination costs.

A reconciliation of the Company’s fiscal 2011 restructuring activity is as follows:


	Employee			Asset
	Related			Write-offs		Other		Total
Beginning balance, July 31, 2011	$	2,207		$	—	$	49	$	2,256

Cash payments		(1,351	)		—		—		(1,351	)

Ending balance, October 31, 2011	$	856		$	—	$	49	$	905