Acquisition, Restructuring and Other Expense

Acquisition, restructuring and other expense consists of the following:



	Three Months Ended September 30,					Nine Months Ended September 30,
	2016			2015		2016			2015

Facility consolidation costs	$	—		$	1,316	$	991		$	5,179
Termination of a product offering	—			—		4,546			—
Restructuring costs included in cost of sales	$	—		$	1,316	$	5,537		$	5,179

Restructuring costs	$	361		$	1,331	$	4,105		$	9,795
Business acquisition costs	3,314			—		17,355			—
Gain on sale of facility	(1,890		)	—		(1,890		)	—
Acquisition, restructuring and other expense included in selling and administrative expense	$	1,785		$	1,331	$	19,570		$	9,795

Debt refinancing costs included in other expense	$	—		$	—	$	2,942		$	—

During the three and nine months ended September 30, 2016, we incurred $3.3 million and $17.4 million, respectively, in costs associated with the January 4, 2016 acquisition of SurgiQuest, Inc. as further described in Note 3. These costs include investment banking fees, consulting fees, legal fees and integration related costs.

During the nine months ended September 30, 2016, we incurred a $2.7 million charge related to an agreement between the Company and JP Morgan Chase Bank, N.A. and recorded a loss on the early extinguishment of debt of $0.3 million in conjunction with the fifth amended and restated senior credit agreement as further described in Note 15.

During 2016 and 2015, we continued our operational restructuring plan. The consolidation of our Centennial, Colorado manufacturing operations into other existing CONMED manufacturing facilities is complete. We incurred $0.0 million and $1.3 million in costs associated with the operational restructuring during the three months ended September 30, 2016 and 2015, respectively, and $1.0 million and $5.2 million during the nine months ended September 30, 2016 and 2015, respectively. These costs were charged to cost of sales and include severance and other charges associated with the consolidation.

During 2016, the Company discontinued our Altrus product offering as part of our ongoing restructuring and incurred $4.5 million in non-cash charges primarily related to inventory which were included in cost of sales for the nine months ended September 30, 2016.

During 2016 and 2015, we restructured certain selling and administrative functions and incurred severance and other related costs in the amount of $0.4 million and $1.3 million for the three months ended September 30, 2016 and 2015, respectively, and $4.1 million and $9.8 million for the nine months ended September 30, 2016 and 2015, respectively.

During the three and nine months ended September 30, 2016, we sold our Centennial, Colorado facility. We received net cash proceeds of $5.2 million and recorded a gain of $1.9 million on the sale of our facility in Centennial, Colorado.

We have recorded an accrual in current and other long term liabilities of $1.8 million at September 30, 2016 mainly related to severance costs associated with the restructuring. Below is a roll forward of the costs incurred and cash expenditures associated with these activities during the nine months ended September 30, 2016 and 2015:



	2016			2015

Balance as of January 1,	$	7,175		$	8,254

Expenses incurred	5,096			14,974

Payments made	(10,447		)	(18,041		)

Balance at September 30,	$	1,824		$	5,187