Restructuring Charges

12 Months Ended

Dec. 31, 2015

Restructuring and Related Activities [Abstract]

Capacity Realignment

In February 2013, we announced plans to discontinue production of certain glassware in North America and reduce manufacturing capacity at our Shreveport, Louisiana, manufacturing facility. As a result, on May 30, 2013, we ceased production of certain glassware in North America, discontinued the use of a furnace at our Shreveport, Louisiana, manufacturing plant and began relocating a portion of the production from the idled furnace to our Toledo, Ohio, and Monterrey, Mexico, locations. In connection with this plan, we incurred pretax charges of approximately $7.5 million. For the year end December 31, 2014 and 2013, we recorded a pretax charge of $1.0 million and $6.5 million, respectively. These charges included employee termination costs, fixed asset impairment charges, depreciation expense and other restructuring expenses. Employee termination costs include severance, medical benefits and outplacement services for the terminated employees. The write-down of fixed assets was to adjust certain machinery and equipment to the estimated fair market value. These activities are within the U.S. and Canada and Latin America segments and were completed by March 31, 2014.

The following table summarizes the pretax charges incurred in 2014 and 2013:



	2014		2013
(dollars in thousands)	Latin America		U.S. & Canada			Total Charges to Date
Accelerated depreciation	$	—	$	1,699		$	1,699
Other restructuring expenses	985		(14		)	971
Included in cost of sales	985		1,685			2,670

Employee termination cost & other	—		1,794			1,794
Fixed asset write-down	—		1,924			1,924
Other restructuring expenses	—		1,141			1,141
Included in restructuring charges	—		4,859			4,859
Total pretax charge	$	985	$	6,544		$	7,529

The following is the capacity realignment reserve activity for the year ended December 31, 2014:



(dollars in thousands)	Reserve Balance at January 1, 2014		Total Charge to Earnings		Cash (payments) receipts			Non-cash Utilization		Reserve Balance at December 31, 2014
Employee termination cost & other	$	289	$	—	$	(289	)	$	—	$	—
Other restructuring expenses	—		985		(985		)	—		—
Total	$	289	$	985	$	(1,274	)	$	—	$	—