RESTRUCTURING COSTS AND ACCRUALS

In February 2016, the Company committed to a restructuring plan that encompassed a series of measures intended to allow the Company to more efficiently operate in a leaner, more directed cost structure. These included reductions in the Company’s workforce, consolidation of facilities, transfers of certain business processes to lower cost regions, and reductions in other third-party services costs. The cost efficiency program was substantially complete as of June 30, 2017.

During the three and nine months ended September 30, 2017, the Company recorded recoveries of $0.6 million and restructuring charges of $6.5 million, respectively. The restructuring charges for the nine months ended September 30, 2017 included $1.0 million for the severance costs and estimate adjustments related to approximately 64 terminated employees and $5.4 million for the closure of certain excess facility space, including $3.2 million of leasehold improvement write-offs and $0.8 million adjustments related to sublease assumptions associated with prior abandoned facilities.

During the three and nine months ended September 30, 2016, the Company recorded restructuring charges of $5.3 million and restructuring charges of $7.9 million, respectively. During the nine months ended September 30, 2016, the Company recorded restructuring charges of $5.0 million for the severance costs and estimate adjustments related to approximately 123 terminated employees and $2.9 million for the closure of certain excess facility space, including $1.1 million of leasehold improvement write-offs, and $0.8 million adjustments related to sublease assumptions associated with prior abandoned facilities.

Restructuring Summary

The following table sets forth the activity in the restructuring accruals for the nine months ended September 30, 2017 (in thousands):



	Employee- Related			Facilities/Other-Related			Total
Accrual balance as of December 31, 2016	$	7,018		$	3,093		$	10,111
New restructuring charges – operating expenses	1,930			1,485			3,415
Revisions of estimated liabilities	(902		)	760			(142		)
Non-cash write-offs	—			3,191			3,191
Accretion	—			278			278
Cash payments	(5,479		)	(2,970		)	(8,449		)
Foreign exchange impact on ending balance	(46		)	15			(31		)
Accrual balance as of September 30, 2017	$	2,521		$	5,852		$	8,373

The employee-related accruals at September 30, 2017 represent severance costs to former employees that will be paid out within 12 months, and are, therefore, included in the caption “accrued expenses and other current liabilities” in the Company’s consolidated balance sheets.

The facilities/other-related accruals at September 30, 2017 represent contractual lease payments, net of estimated sublease income, on space vacated as part of the Company’s restructuring actions. The leases, and payments against the amounts accrued, extend through December 2021 unless the Company is able to negotiate earlier terminations. Of the total facilities/other-related balance, $1.9 million is included in the caption “accrued expenses and other current liabilities”, $0.8 million is included in the caption “other long-term liabilities”, and $3.2 million of fixed asset write-off is reflected in the caption “property and equipment, net” in the Company’s condensed consolidated balance sheet as of September 30, 2017.