Restructuring and Other Charges

The following table summarizes the Company's restructuring and other charges as presented in the Condensed Consolidated Statement of Operations (in thousands):



	Three Months Ended					Nine Months Ended
	September 30,					September 30,
	2015		2014			2015		2014
Employee-related restructuring expenses	$	14	$	258		$	3,779	$	1,514
Integration-related and other non-recurring expenses	134		728			562		1,671
Facility reductions	—		—			392		(6		)
Fair value adjustments to Continuous Computing contingent consideration liability	—		(29		)	—		(156		)
Non-recurring legal expenses	—		372			109		421
Restructuring and other charges, net	$	148	$	1,329		$	4,842	$	3,444

Restructuring and other charges includes expenses incurred for employee terminations due to a reduction of personnel resources resulting from modifications of business strategy or business emphasis. Employee-related restructuring expenses include severance benefits, notice pay and outplacement services. Restructuring and other charges may also include expenses incurred associated with acquisition or divestiture activities, facility abandonments and other expenses associated with business restructuring actions.

For the three months ended September 30, 2015, the Company recorded the following restructuring charge:


•	$0.1 million integration-related net expense principally associated with asset disposals and transfer-related costs resulting from resource and site consolidation actions.

For the three months ended September 30, 2014, the Company recorded the following restructuring and other charges:


•	$0.3 million net expense relating to the severance of employees in connection with the previously reported Penang site closure, as well as severance for four additional employees, net of reductions resulting from changes in previously estimated amounts for employee severance and associated payroll costs; and


•	$0.7 million integration-related net expense principally associated with asset write-offs and personnel overlap resulting from resource consolidations primarily associated with the Shanghai and Penang site closures; and


•	$0.4 million legal expenses associated with non-operating strategic projects.

For the nine months ended September 30, 2015, the Company recorded the following restructuring charges:

•

$3.8 million net expense relating to the severance of 122 employees primarily within Asia and North America. These actions were in connection with the restructuring of the Company's Embedded Products and Hardware Services segment's research and development and sales and general administrative functions and are presented net of reductions resulting from changes in previously estimated amounts for employee severance and associated payroll costs;


•	$0.6 million integration-related net expense principally associated with asset disposals and transfer-related costs resulting from resource and site consolidation actions;


•	$0.4 million lease abandonment expense associated with reductions in certain of our international sites; and


•	$0.1 million legal expenses associated with non-operating strategic projects, which processes were concluded in the first quarter of 2015.

For the nine months ended September 30, 2014, the Company recorded the following restructuring and other charges:


•	$1.5 million net expense relating to the severance of employees in connection with the previously reported Penang site closure, as well as severance for 14 additional employees, net of reductions resulting from changes in previously estimated amounts for employee severance and associated payroll costs;


•	$1.7 million integration-related net expense principally associated with asset disposals and personnel overlap resulting from resource consolidations primarily associated with the Penang site closures;


•	$0.4 million legal expenses associated with non-operating strategic projects; and


•	$0.2 million gain due to the decrease in fair value of the Continuous Computing contingent liability.

Accrued restructuring, which is included in other accrued liabilities and other long-term liabilities in the accompanying Condensed Consolidated Balance Sheets as of September 30, 2015 and December 31, 2014, consisted of the following (in thousands):



	Severance, payroll taxes and other employee benefits			Facility reductions			Total
Balance accrued as of December 31, 2014	$	166		$	587		$	753
Additions	4,318			392			4,710
Reversals	(539		)	—			(539		)
Expenditures	(3,935		)	(240		)	(4,175		)
Balance accrued as of September 30, 2015	$	10		$	739		$	749

Of the $0.7 million accrued restructuring at September 30, 2015, $0.3 million is included in other long-term liabilities, with the remaining balance being included in other accrued liabilities on the Condensed Consolidated Balance Sheets.

The Company evaluates the adequacy of the accrued restructuring charges on a quarterly basis. Reversals are recorded in the period in which the Company determines that expected restructuring obligations are less than the amounts accrued.