Restructuring Costs and Other Charges and Credits

6 Months Ended

Jun. 30, 2024

Restructuring and Related Activities [Abstract]

Restructuring Costs and Other Charges and Credits

Restructuring Costs and Other Charges and Credits

Restructuring and Reorganization

In January 2023, we announced a strategic restructuring and reorganization of the Company to further leverage our strong position in the U.S. television ecosystem and propel our growth across new distribution platforms and emerging media marketplaces. The restructuring created a leaner and more agile operating structure through the centralization of certain services and the consolidation of layers of management across our operating businesses and corporate office.

Restructuring costs in the second quarter of 2024 and 2023 totaled $1.0 million and $8.0 million, respectively. Year-to-date restructuring costs totaled $6.0 million and $24.5 million in 2024 and 2023, respectively. Restructuring costs in 2024 include severance charges and outside consulting fees associated with the ongoing strategic reorganization of the Company. Year-to-date 2023 costs included a $13.6 million first quarter charge related to the write-down of certain programming assets in connection with the shutdown of the TrueReal network. Additionally, year-to-date 2023 restructuring costs also included employee severance related charges of $7.8 million, operating lease impairment charges of $0.8 million and other restructuring charges primarily attributed to strategic reorganization consulting fees.

Six Months Ended June 30, 2024 and 2023 (in thousands)	Severance and Employee Benefits		Other Restructuring Charges		Total
Liability as of December 31, 2023	$	6,735	$	1,430	$	8,165
Net charges	4,892		1,096		5,988
Payments	(10,890)		(1,074)		(11,964)
Non-cash (a)	—		—		—
Liability as of June 30, 2024	$	737	$	1,452	$	2,189

Liability as of December 31, 2022	$	—	$	—	$	—
Net charges	7,797		16,706		24,503
Payments	(1,166)		(2,300)		(3,466)
Non-cash (a)	(740)		(14,406)		(15,146)
Liability as of June 30, 2023	$	5,891	$	—	$	5,891

(a) Represents share-based compensation costs and asset write-downs included in restructuring charges.

Other Charges and Credits

On February 9, 2024, following the completed sale of Broadcast Music, Inc. ("BMI") to New Mountain Capital, we received $18.1 million in pre-tax cash proceeds for our equity ownership in BMI. We did not have any carrying value associated with our BMI investment. This gain was included in Miscellaneous, net for the six months ended June 30, 2024.