Other Charges

Acceptance Now Store Closures. During the first six months of 2017, we closed 319 Acceptance Now manned locations and 9 Acceptance Now direct locations, resulting in pre-tax charges of $13.0 million consisting primarily of rental merchandise losses, disposal of fixed assets, and other miscellaneous labor and shutdown costs. In addition, as a result of the plan to close certain Acceptance Now locations, we recorded a pre-tax impairment charge of $3.9 million to our intangible assets, related to a vendor relationship.

Corporate Cost Rationalization. During the first quarter of 2017, we executed a head count reduction that impacted approximately 6% of our field support center workforce. This resulted in pre-tax charges for severance and other payroll-related costs of approximately $2.5 million for the six months ended June 30, 2017.

U.S Core Store and Acceptance Now Consolidation Plan. During the second quarter of 2016, we closed 167 U.S. Core and 96 Acceptance Now locations, resulting in a pre-tax restructuring charge of $18.8 million for the three months ended June 30, 2016. Restructuring charges consisted of lease obligation costs of $15.0 million, of which $1.0 million was paid as of June 30, 2016, disposal of fixed assets of $2.6 million, and other miscellaneous costs.

Mexico Store Consolidation Plan. During the first quarter of 2016, we closed 14 stores in Mexico, resulting in pre-tax restructuring charges of $2.3 million in the Mexico segment for disposal of rental merchandise, fixed assets and leasehold improvements and other charges to decommission the stores.

Activity with respect to other charges for the six months ended June 30, 2017 is summarized in the below table:



(in thousands)	Accrued Charges at December 31, 2016		Charges & Adjustments		Payments			Accrued Charges at June 30, 2017
Cash charges:
Labor reduction costs	$	1,393	$	2,824	$	(2,385	)	$	1,832
Lease obligation costs	6,628		15		(2,997		)	3,646
Other miscellaneous	—		531		(531		)	—
Total cash charges	$	8,021	3,370		$	(5,913	)	$	5,478
Non-cash charges:
Rental merchandise losses			12,174
Loss on sale of fixed assets			351
Impairment of intangible asset			3,895
Other⁽¹⁾			4,965
Total other charges			$	24,755

⁽¹⁾ Other primarily includes litigation settlements, and incremental legal and advisory fees related to shareholder proposals.