Quarterly report pursuant to Section 13 or 15(d)

RESTRUCTURING

v3.19.3
RESTRUCTURING
 9 Months Ended
Sep. 28, 2019
Restructuring and Related Activities [Abstract]  
RESTRUCTURING RESTRUCTURING
The Company typically incurs restructuring charges related to cost optimization of business activities. Of the $24.6 million of restructuring charges recognized during the nine months ended September 2019, the Company recognized $13.8 million within "selling, general and administrative expenses" and $10.8 million within "cost of goods sold" in the statements of income.
The Company incurred incremental costs of $1.6 million related to the previously approved initiatives during the nine months ended September 2019. All of the $5.8 million total restructuring accrual reported in the Company's balance sheet at September 2019 is expected to be paid out within the next 12 months and is classified within "accrued liabilities."
The following table presents components of the restructuring charges for previously approved initiatives:
(in thousands)
 
Three Months Ended September 2019

Nine Months Ended September 2019
 
Severance and employee-related benefits
 
$
—

 
$
14,903

 
Asset impairments
 
—

 
1,596

 
Inventory write-downs
 
—

 
4,403

 
Other
 
—

 
3,660

 
Total restructuring charges
 
$
—

 
$
24,562

 
The following table presents restructuring costs by business segment for previously approved initiatives:
(in thousands)
 
Three Months Ended September 2019
 
Nine Months Ended September 2019
 
Wrangler
 
$
—

 
$
17,613

 
Lee
 
—

 
6,685

 
Other
 
—

 
264

 
Total
 
$
—

 
$
24,562

 

The following table presents activity in the restructuring accrual for the nine-month period ended September 2019:
(in thousands)
Severance
 
Other
 
Total
 
Accrual at December 2018
$
23,249

 
$
—

 
$
23,249

 
Charges
14,903

 
3,660

 
18,563

 
Cash payments
(27,573
)
 
(839
)
 
(28,412
)
 
Adjustments to accruals
1,641

 
—

 
1,641

 
Currency translation
(58
)
 
(197
)
 
(255
)
 
Adjustment at Separation
(6,384
)
 
(2,624
)
 
(9,008
)
 
Accrual at September 2019
$
5,778

 
$
—

 
$
5,778