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Restructuring and Impairment Charges
12 Months Ended
Dec. 31, 2011
Restructuring Costs and Asset Impairment Charges [Abstract]  
Restructuring and Impairment Charges [Text Block]
Restructuring, Impairment and Other Charges
Cost Savings, Restructuring and Integration Plans

In addition to the other restructuring plans implemented by the Company's segments described below, the Company currently has one active and five residual cost savings, restructuring and integration plans: (i) the plan related to the integration of the EPG acquisition (the “EPG Plan”) and (ii) the plans related to the integration of the Nashua Corporation and Glyph acquisitions (collectively with the EPG Plan the “Acquisition Integration Plans”), the 2009 Cost Savings and Restructuring Plan, the 2007 Cost Savings and Integration Plan and the 2005 Cost Savings and Restructuring Plan (collectively referred to as the “Residual Plans”). As a result of these cost savings actions, over the last six years the Company has closed or consolidated a significant amount of manufacturing facilities including, five manufacturing facilities in 2011, and has had a significant number of headcount reductions, including approximately 700 employees in 2011.
Other Restructuring Plans

In 2011, the envelopes and labels and commercial printing segments have implemented further cost savings initiatives (“Other Restructuring Plans”) in order to provide enhanced customer service, centralize various back office functions or rationalize their businesses. These Other Restructuring Plans also include the realignment of certain manufacturing platforms, which has resulted in the closure and consolidation of two commercial printing plants into our existing operations. The cumulative total costs incurred through the year ended 2011 related to this plan for envelopes and labels, commercial printing and corporate were approximately $1.0 million, $1.5 million and $0.2 million, respectively. The Company anticipates that these initiatives will be completed in 2012.
Acquisition Integration Plans
Upon the completion of the EPG acquisition, the Company developed and implemented its plan to integrate EPG into its existing envelope operations. Since the date of acquisition, activities related to the EPG Plan have included the closure and consolidation of three manufacturing facilities into the Company's existing operations and the elimination of duplicative headcount. Upon the acquisition of Glyph, the Company developed and implemented its plan to integrate Glyph into its existing operations. In 2010, these activities have included the elimination of duplicative headcount and the closure of a sales office. Upon the acquisition of Nashua, the Company developed and implemented its plan to integrate Nashua into its existing operations. Since the acquisition date, activities related to Nashua have included the closure and consolidation of two manufacturing facilities into existing operations and elimination of duplicative headcount and public company costs. The cumulative total costs incurred through the year ended 2011 related to these plans for envelopes and labels and commercial printing were approximately $11.8 million and $0.2 million, respectively. The Company completed the Nashua and Glyph plans in 2010 and does not anticipate any significant future expenses, other than modifications to its current assumptions for lease terminations and ongoing expenses related to maintaining restructured assets. The Company anticipates that the integration of EPG will continue into 2012 and may include additional closure or consolidation of manufacturing facilities and further headcount reductions.
2009 Cost Savings and Restructuring Plan
In 2009, the Company developed and implemented a cost savings and restructuring plan to reduce its operating costs and realign its manufacturing platform in order to compete effectively during the economic downturn. As part of this plan, the Company continued to implement cost savings initiatives throughout its operations, closed and consolidated manufacturing facilities into existing operations and reduced headcount. The cumulative total costs incurred through the year ended 2011 related to this plan for envelopes and labels, commercial printing and corporate were approximately $23.5 million, $78.8 million and $4.7 million, respectively. The Company completed this plan in 2010 and does not anticipate any significant future expenses, other than modifications to its current assumptions for lease terminations, multi-employer pension withdrawal liabilities and ongoing expenses related to maintaining restructured assets.
2007 Cost Savings and Integration Plan
In 2007, the Company formulated its cost savings and integration plan related to acquisitions that took place that year. As part of this plan, the Company closed and consolidated manufacturing facilities into existing or acquired operations and reduced headcount. The cumulative total costs incurred through the year ended 2011 related to this plan for envelopes and labels, commercial printing and corporate were approximately $14.8 million, $32.5 million and $0.5 million, respectively. The Company completed the implementation of this plan in 2008 and does not anticipate any significant future expenses, other than modifications to its current assumptions for lease terminations, multi-employer pension withdrawal liabilities and ongoing expenses related to maintaining restructured assets.
2005 Cost Savings and Restructuring Plan
In 2005, as a result of a new senior management team, the Company formulated its 2005 Cost Savings and Restructuring Plan, which included consolidating purchasing activities and manufacturing platform, reducing corporate and field human resources, streamlining information technology infrastructure and eliminating discretionary spending. As part of this plan, the Company, closed and consolidated manufacturing facilities into existing operations and reduced headcount. The cumulative total costs incurred through the year ended 2011 related to this plan for envelopes and labels, commercial printing and corporate were approximately $34.0 million, $74.3 million and $30.8 million, respectively. The Company completed the implementation of this plan in 2006 and does not anticipate any future expenses related to this plan as all liabilities incurred with this plan have been settled, other than modifications to its current assumptions for lease terminations, multi-employer pension withdrawal liabilities and ongoing expenses related to maintaining restructured assets.
Goodwill and Other Long-Lived Asset Impairments
2010
In the third quarter of 2010, the Company recorded non-cash, impairment charges of $132.2 million related to goodwill and $49.2 million related to other long-lived assets, of which $22.0 million related to an indefinite lived trade name and $27.2 million related to customer relationships in its PSG reporting unit.
The following tables present the details of the expenses recognized as a result of these plans.
2011 Activity
Restructuring and impairment charges for the year ended 2011 were as follows (in thousands):

 
 
Employee
Separation
Costs
 
Asset Impairments
net of gain on sale
 
Equipment
Moving
Expenses
 
Lease
Termination
Expenses
 
Multi-employer Pension
Withdrawal Expenses
 
Building
Clean-up &
Other
Expenses
 
Total
Envelopes and Labels
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other Restructuring Plans
$
1,001

 
$

 
$

 
$

 
$

 
$

 
$
1,001

 
2009 Plan
387

 

 
31

 
242

 
(156
)
 
426

 
930

 
2007 Plan

 

 

 
23

 

 
(32
)
 
(9
)
 
2005 Plan

 

 

 

 

 
41

 
41

 
Acquisition Integration Plans
2,130

 
852

 
1,898

 
107

 

 
695

 
5,682

Total Envelopes and Labels
3,518

 
852

 
1,929

 
372

 
(156
)
 
1,130

 
7,645

Commercial Printing
 

 
 

 
 

 
 

 
 

 
 

 
 

 
Other Restructuring Plans
741

 
224

 
94

 
134

 

 
257

 
1,450

 
2009 Plan
(154
)
 
1,820

 
525

 
1,713

 
1,969

 
1,996

 
7,869

 
2007 Plan

 
77

 

 
287

 
(376
)
 
212

 
200

 
2005 Plan

 

 

 
3

 

 
6

 
9

 
Acquisition Integration Plans

 

 

 

 

 

 

Subtotal
 
587

 
2,121

 
619

 
2,137

 
1,593

 
2,471

 
9,528

 
Asset Impairments

 

 

 

 

 

 

Total Commercial Printing
587

 
2,121

 
619

 
2,137

 
1,593

 
2,471

 
9,528

Corporate
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
Other Restructuring Plans
225

 

 

 

 

 

 
225

 
2009 Plan

 

 

 
15

 

 
355

 
370

 
2007 Plan

 

 

 
9

 

 

 
9

 
2005 Plan

 

 

 
58

 

 
(23
)
 
35

Total Corporate
 
225

 

 

 
82

 

 
332

 
639

Total Restructuring and Impairment Charges
$
4,330

 
$
2,973

 
$
2,548

 
$
2,591

 
$
1,437

 
$
3,933

 
$
17,812

2010 Activity
Restructuring and impairment charges for the year ended 2010 were as follows (in thousands):

 
 
Employee
Separation
Costs
 
Asset Impairments
net of gain on sale
 
Equipment
Moving
Expenses
 
Lease
Termination
Expenses
 
Multi-employer Pension
Withdrawal Expenses
 
Building
Clean-up &
Other
Expenses
 
Total
Envelopes and Labels
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2009 Plan
$
3,515

 
$
64

 
$
191

 
$
278

 
$
2,326

 
$
573

 
$
6,947

 
2007 Plan

 

 

 
53

 

 
69

 
122

 
2005 Plan

 

 

 
(73
)
 
77

 
83

 
87

 
Acquisition Integration Plans
1,451

 
1,830

 
721

 
197

 

 
708

 
4,907

Total Envelopes and Labels
4,966

 
1,894

 
912

 
455

 
2,403

 
1,433

 
12,063

Commercial Printing
 

 
 

 
 

 
 

 
 

 
 

 
 

 
2009 Plan
4,432

 
3,008

 
2,216

 
6,298

 
6,315

 
4,578

 
26,847

 
2007 Plan

 
1,108

 

 
39

 
74

 
487

 
1,708

 
2005 Plan

 
(165
)
 

 
622

 

 
369

 
826

 
Acquisition Integration Plans
78

 

 

 
164

 

 

 
242

Subtotal
 
4,510

 
3,951

 
2,216

 
7,123

 
6,389

 
5,434

 
29,623

 
Asset Impairments

 
181,419

 

 

 

 

 
181,419

Total Commercial Printing
4,510

 
185,370

 
2,216

 
7,123

 
6,389

 
5,434

 
211,042

Corporate
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
2009 Plan
1,780

 

 

 
352

 

 
500

 
2,632

 
2007 Plan

 

 

 

 

 
4

 
4

 
2005 Plan

 

 

 
299

 

 
110

 
409

Total Corporate
 
1,780

 

 

 
651

 

 
614

 
3,045

Total Restructuring and Impairment Charges
$
11,256

 
$
187,264

 
$
3,128

 
$
8,229

 
$
8,792

 
$
7,481

 
$
226,150

















2009 Activity
Restructuring and impairment charges for the year ended 2009 were as follows (in thousands):

 
 
Employee
Separation
Costs
 
Asset Impairments
net of gain on sale
 
Equipment
Moving
Expenses
 
Lease
Termination
Expenses
 
Multi-employer Pension
Withdrawal Expenses
 
Building
Clean-up &
Other Expenses
 
Total
Envelopes and Labels
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2009 Plan
$
5,505

 
$
2,944

 
$
1,863

 
$
3,126

 
$

 
$
2,196

 
$
15,634

 
2007 Plan
122

 
67

 

 
140

 

 
182

 
511

 
2005 Plan

 

 

 
(203
)
 

 
279

 
76

 
Acquisition Integration Plans
710

 
35

 
211

 
159

 

 
69

 
1,184

Total  Envelopes and Labels
6,337

 
3,046

 
2,074

 
3,222

 

 
2,726

 
17,405

Commercial Printing
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2009 Plan
12,842

 
11,077

 
3,427

 
1,687

 
11,303

 
3,728

 
44,064

 
2007 Plan
87

 
981

 
59

 
(51
)
 
2,133

 
698

 
3,907

 
2005 Plan

 
18

 
14

 
419

 

 
322

 
773

Total Commercial Printing
12,929

 
12,076

 
3,500

 
2,055

 
13,436

 
4,748

 
48,744

Corporate
 
 

 
 

 
 

 
 

 
 

 
 

 
 

 
2009 Plan
1,156

 
143

 

 
210

 

 
184

 
1,693

 
2007 Plan
29

 

 

 
3

 

 
67

 
99

 
2005 Plan

 

 

 
93

 

 

 
93

Total Corporate
 
1,185

 
143

 

 
306

 

 
251

 
1,885

Total Restructuring and Impairment Charges
$
20,451

 
$
15,265

 
$
5,574

 
$
5,583

 
$
13,436

 
$
7,725

 
$
68,034


A summary of the activity related to the restructuring liabilities for the restructuring, acquisition and integration plans was as follows (in thousands):
 
Lease
Termination
 
Employee
Separation
Costs
 
Pension
Withdrawal
Liabilities
 
Building Clean-up,
Equipment Moving
and Other Expenses
 
Total
Other Restructuring Plans
 
 
 
 
 
 
 
 
 
Balance as of year end 2010
$

 
$

 
$

 
$

 
$

Accruals, net
134

 
1,967

 

 
351

 
2,452

Payments
(88
)
 
(1,166
)
 

 
(351
)
 
(1,605
)
Balance as of year end 2011
$
46

 
$
801

 
$

 
$

 
$
847

 
 
 
 
 
 
 
 
 
 
2009 Plan
 
 
 
 
 
 
 
 
 
Balance as of year end 2009
$
2,224

 
$
3,403

 
$
11,303

 
$
140

 
$
17,070

Accruals, net
6,928

 
9,727

 
8,641

 
5,651

 
30,947

Payments
(4,755
)
 
(11,797
)
 
(432
)
 
(5,791
)
 
(22,775
)
Balance as of year end 2010
4,397

 
1,333

 
19,512

 

 
25,242

Accruals, net
1,970

 
233

 
1,813

 
3,333

 
7,349

Payments
(3,488
)
 
(1,296
)
 
(1,263
)
 
(3,333
)
 
(9,380
)
Balance as of year end 2011
$
2,879

 
$
270

 
$
20,062

 
$

 
$
23,211

 
 
 
 
 
 
 
 
 
 
2007 Plan
 
 
 
 
 
 
 
 
 
Balance as of year end 2009
$
1,641

 
$
1

 
$
3,156

 
$

 
$
4,798

Accruals, net
92

 

 
74

 
560

 
726

Payments
(620
)
 
(1
)
 

 
(560
)
 
(1,181
)
Balance as of year end 2010
1,113

 

 
3,230

 

 
4,343

Accruals, net
319

 

 
(376
)
 
182

 
125

Payments
(553
)
 

 
(378
)
 
(182
)
 
(1,113
)
Balance as of year end 2011
$
879

 
$

 
$
2,476

 
$

 
$
3,355

 
 
 
 
 
 
 
 
 
 
2005 Plan
 
 
 
 
 
 
 
 
 
Balance as of year end 2009
$
1,678

 
$

 
$
88

 
$

 
$
1,766

Accruals, net
848

 

 
77

 
562

 
1,487

Payments
(1,567
)
 

 
(119
)
 
(562
)
 
(2,248
)
Balance as of year end 2010
959

 

 
46

 

 
1,005

Accruals, net
61

 

 

 
24

 
85

Payments
(1,020
)
 

 
(46
)
 
(24
)
 
(1,090
)
Balance as of year end 2011
$

 
$

 
$

 
$

 
$

 
 
 
 
 
 
 
 
 
 
Acquisition Integration Plans
 
 
 
 
 
 
 
 
 
Balance as of year end 2009
$
2,791

 
$
532

 
$

 
$

 
$
3,323

Accruals, net
361

 
1,529

 

 
708

 
2,598

Payments
(1,509
)
 
(1,834
)
 

 
(708
)
 
(4,051
)
Balance as of year end 2010
1,643

 
227

 

 

 
1,870

Accruals, net
107

 
2,130

 

 
2,593

 
4,830

Payments
(404
)
 
(1,865
)
 

 
(2,593
)
 
(4,862
)
Balance as of year end 2011
$
1,346

 
$
492

 
$

 
$

 
$
1,838