Note 4.

Restructuring and Integration Expenses

The aggregated liabilities included in “sundry payables and accrued expenses” and “other accrued liabilities” in the consolidated balance sheet relating to the restructuring and integration activities as of December 31, 2016 and June 30, 2017 and activity for the six months ended June 30, 2017 consisted of the following (in thousands):

	Workforce Reduction			Other Exit Costs			Total
Exit activity liability at December 31, 2016	$	2,576		$	—		$	2,576
Restructuring and integration costs:
Amounts provided for during 2017		1,788			994			2,782
Cash payments		(1,300	)		(994	)		(2,294	)
Foreign Currency Exchange Rate Changes		84			—			84
Exit activity liability at June 30, 2017	$	3,148		$	—		$	3,148

Restructuring Costs

Plant Rationalization Program

In February 2016, in connection with our ongoing efforts to improve operating efficiencies and reduce costs, we finalized our intention to implement a plant rationalization initiative. As part of the plant rationalization, certain production activities will be relocated from our Grapevine, Texas manufacturing facility to facilities in Greenville, South Carolina and Reynosa, Mexico, certain service functions will be relocated from Grapevine, Texas to our administrative offices in Lewisville, Texas, and our Grapevine, Texas facility will be closed. In addition, certain production activities will be relocated from our Greenville, South Carolina manufacturing facility to our manufacturing facility in Bialystok, Poland. Restructuring and integration expenses expected to be incurred related to the program of approximately $5.7 million, consisting of employee severance and relocation of certain machinery and equipment, will be recognized throughout the program. Through June 30, 2017, total restructuring and integration expenses related to the program of $4.8 million were recognized. We anticipate that the plant rationalization will be completed by the end of 2017.

Activity, by segment, for the six months ended June 30, 2017 related to our plant rationalization program consisted of the following (in thousands):

	Engine Management			Temperature Control			Other		Total
Exit activity liability at December 31, 2016	$	11		$	2,043		$	—	$	2,054
Restructuring and integration costs:
Amounts provided for during 2017		602			1,038			—		1,640
Cash payments		(613	)		(1,132	)		—		(1,745	)
Exit activity liability at June 30, 2017	$	—		$	1,949		$	—	$	1,949

Orlando Plant Rationalization Program

In January 2017, to further our ongoing efforts to improve operating efficiencies and reduce costs, we finalized our intention to implement another plant rationalization initiative at our Orlando, Florida facility. As part of the plant rationalization, we will relocate production activities from our Orlando, Florida manufacturing facility to Independence, Kansas, and close our Orlando, Florida facility. Restructuring and integration expenses expected to be incurred related to the program of approximately $3.1 million, consisting of employee severance and relocation of certain machinery and equipment, will be recognized throughout the program. Through June 30, 2017, total restructuring and integration expenses related to the program of $0.6 million were recognized. We anticipate that the Orlando plant rationalization will be completed by the end of the second quarter of 2018.

Activity, by segment, for the six months ended June 30, 2017 related to our Orlando plant rationalization program consisted of the following (in thousands):

	Engine Management			Temperature Control		Other		Total
Exit activity liability at December 31, 2016	$	—		$	—	$	—	$	—
Restructuring and integration costs:
Amounts provided for during 2017		617			—		—		617
Cash payments		(87	)		—		—		(87	)
Exit activity liability at June 30, 2017	$	530		$	—	$	—	$	530

Integration Costs

Wire and Cable Relocation

In connection with our acquisition of the North American automotive ignition wire business of General Cable Corporation in May 2016, we expect to incur certain integration expenses, including costs to be incurred in connection with the consolidation of the General Cable Corporation Altoona, Pennsylvania distribution center into our existing wire distribution center in Edwardsville, Kansas and the relocation of certain machinery and equipment. In October 2016, we further announced our plan to relocate all production from the acquired Nogales, Mexico wire set assembly operation to our existing wire assembly facility in Reynosa, Mexico and to close the Nogales, Mexico plant. Integration expenses expected to be incurred related to the closure of the Nogales, Mexico plant include employee severance and the relocation of certain machinery and equipment. Total integration expenses of $2.6 million are expected to be incurred related to the program. Through June 30, 2017, integration expenses related to the program of $1.2 million were recognized. We anticipate that the wire and cable relocation program will be completed by the end of the first quarter of 2018.

Activity, by segment, for the six months ended June 30, 2017 related to our wire and cable relocation program consisted of the following (in thousands):

	Engine Management			Temperature Control		Other		Total
Exit activity liability at December 31, 2016	$	522		$	—	$	—	$	522
Restructuring and integration costs:
Amounts provided for during 2017		525			—		—		525
Cash payments		(462	)		—		—		(462	)
Foreign Currency Exchange Rate Changes		84			—		—		84
Exit activity liability at June 30, 2017	$	669		$	—	$	—	$	669