Restructuring

In June 2018, our Board of Directors approved an internal restructuring plan (the "June 2018 Plan"), which included the discontinuation of our millimeter wave business and the use of certain assets related to our Wireless products, and a workforce reduction. The June 2018 Plan is designed to reduce our infrastructure costs and refocus on our core business activities. Approximately $4.1 million of restructuring expense has been incurred through June 30, 2018 under the June 2018 Plan, and we believe this amount approximates the total costs under the plan and that this plan is substantially complete.

In June 2017, our Board of Directors approved an internal restructuring plan (the "June 2017 Plan"), which included the sale of 100% of the equity of our Hyderabad, India subsidiary and certain assets related to our Simplay Labs testing and certification business, a worldwide workforce reduction, and an initiative to reduce our infrastructure costs. These actions are part of an overall plan to achieve financial targets and to enhance our financial and competitive position by better aligning our revenue and operating expenses. Under this plan, approximately $0.3 million and $2.4 million of expense was incurred during the three months ended June 30, 2018 and July 1, 2017, respectively, and approximately $1.3 million and $2.4 million of expense was incurred during the six months ended June 30, 2018 and July 1, 2017, respectively. Approximately $9.3 million of total expense has been incurred through June 30, 2018 under the June 2017 Plan. We expect the total cost to be approximately $8.0 million to $12.0 million and that it will be substantially completed by the end of the fourth quarter of fiscal 2018.

In September 2015, we implemented a reduction of our worldwide workforce (the "September 2015 Reduction") separate from the March 2015 Plan described below. The September 2015 Reduction was designed to resize the company in line with the market environment and to better balance our workforce with the long-term strategic needs of our business. The September 2015 Reduction is substantially complete subject to certain remaining expected costs that we do not expect to be material, which we will expense as incurred. Under this reduction, no expense and approximately $0.5 million of credit was incurred during the three months ended June 30, 2018 and July 1, 2017, respectively, and no expense and approximately $0.7 million of credit was incurred during the six months ended June 30, 2018 and July 1, 2017, respectively. Approximately $7.2 million of total expense has been incurred through June 30, 2018 under the September 2015 Reduction, and we believe this amount approximates the total costs under the plan.

In March 2015, our Board of Directors approved an internal restructuring plan (the "March 2015 Plan"), in connection with our acquisition of Silicon Image. The March 2015 Plan was designed to realize synergies from the acquisition by eliminating redundancies created as a result of combining the two companies. This included reductions in our worldwide workforce, consolidation of facilities, and cancellation of software contracts and engineering tools. The March 2015 Plan is substantially complete subject to certain remaining expected costs that we do not expect to be material and any changes in sublease assumptions should they occur, which we will expense as incurred. Under this plan, no expense and approximately $0.4 million of credit was incurred during the three months ended June 30, 2018 and July 1, 2017, respectively, and no expense and approximately $0.1 million of credit was incurred during the six months ended June 30, 2018 and July 1, 2017, respectively. Approximately $20.5 million of total expense has been incurred through June 30, 2018 under the March 2015 Plan, and we believe this amount approximates the total costs under the plan.

Substantially all of the expenses recorded in the first quarter of fiscal 2018, and in the second quarter and first six months of fiscal 2017 were under the June 2017 Plan. Substantially all of the expenses in the second quarter of fiscal 2018 were under the June 2018 Plan. These expenses were recorded to Restructuring charges on our Consolidated Statements of Operations.

The restructuring accrual balance is presented in Accounts payable and accrued expenses (includes restructuring) on our Consolidated Balance Sheets. The following table displays the combined activity related to the restructuring actions described above:



(In thousands)	Severance & related *			Lease Termination & Fixed Assets			Software Contracts & Engineering Tools **			Other			Total
Balance at December 31, 2016	$	801		$	1,036		$	25		$	12		$	1,874
Restructuring charges	1,276			57			—			309			1,642
Costs paid or otherwise settled	(52		)	(616		)	(25		)	(301		)	(994		)
Balance at July 1, 2017	$	2,025		$	477		$	—		$	20		$	2,522

Balance at December 30, 2017	$	1,192		$	870		$	360		$	25		$	2,447
Restructuring charges	3,964			440			913			88			5,405
Costs paid or otherwise settled	(1,443		)	(593		)	(968		)	(70		)	(3,074		)
Balance at June 30, 2018	$	3,713		$	717		$	305		$	43		$	4,778



*	Includes employee relocation costs and retention bonuses
**	Includes cancellation of contracts