Exit or Disposal Activities

3 Months Ended

Mar. 31, 2016

Restructuring and Related Activities [Abstract]

Liabilities associated with exit or disposal activities are recognized as incurred in accordance with the Exit or Disposal Cost Obligations Topic of the ASC. Qualified exit costs primarily include post-closure rent expenses, incremental post-closure costs and costs of employee terminations. Adjustments may be made to liabilities accrued for qualified exit costs if information becomes available upon which more accurate amounts can be reasonably estimated. Concurrently, property, plant and equipment is tested for impairment in accordance with the Property, Plant and Equipment Topic of the ASC, and if impairment exists, the carrying value of the related assets is reduced to estimated fair value. Additional impairment may be recorded for subsequent revisions in estimated fair value.

In the three months ended March 31, 2016, seven stores in the Paint Stores Group, one branch in the Global Finishes Group and one facility in the Consumer Group were closed due to lower demand or redundancy.

The following table summarizes the activity and remaining liabilities associated with qualified exit costs at March 31, 2016:



(Thousands of dollars)
Exit Plan	Balance at December 31, 2015		Provisions in Cost of goods sold or SG&A		Actual expenditures charged to accrual			Balance at March 31, 2016
Consumer Group facilities shutdown in 2016:
Severance and related costs			$	116				$	116
Paint Stores Group stores shutdown in 2015:
Other qualified exit costs	$	12			$	(12	)
Global Finishes Group exit of a business in 2015:
Severance and related costs	1,096				(130		)	966
Other qualified exit costs	2,750		580		(1,654		)	1,676
Paint Stores Group stores shutdown in 2014:
Other qualified exit costs	184				(93		)	91
Consumer Group facilities shutdown in 2014:
Severance and related costs	445				(42		)	403
Other qualified exit costs	52				(39		)	13
Global Finishes Group exit of business in 2014:
Severance and related costs	430				(430		)
Other qualified exit costs	353		430		(247		)	536
Other qualified exit costs for facilities shutdown prior to 2014	1,755				(221		)	1,534
Totals	$	7,077	$	1,126	$	(2,868	)	$	5,335

For further details on the Company’s exit or disposal activities, see Note 5 to the Consolidated Financial Statements in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015.