| RESTRUCTURING |
RESTRUCTURING
The Company generally incurs restructuring charges related to cost optimization of business activities. In 2024, the Company incurred additional restructuring charges related to actions to streamline and transfer select production within our internal manufacturing network and other business optimization activities. In 2023, the Company took actions to drive efficiencies in our operations, which included reducing our global workforce and streamlining and transferring select production within our internal manufacturing network. In 2022, restructuring costs related to the globalization of the Company's operating model and relocation of the European headquarters to Geneva, Switzerland.
The following table presents the restructuring costs included in the Company's statements of operations:
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Year Ended December |
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| (In thousands) |
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2024 |
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2023 |
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2022 |
| Cost of goods sold |
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$ |
15,387 |
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$ |
5,780 |
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$ |
— |
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| Selling, general and administrative expenses |
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1,801 |
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|
5,689 |
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13,688 |
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| Other expense, net |
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— |
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— |
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(2,581) |
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| Total |
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$ |
17,188
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$ |
11,469
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$ |
11,107
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The following table presents the components of restructuring charges:
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Year Ended December |
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| (In thousands) |
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2024 |
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2023 |
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2022 |
| Severance and employee-related benefits |
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$ |
4,557 |
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$ |
7,223 |
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$ |
13,688 |
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| Asset impairments |
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3,603 |
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3,064 |
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— |
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| Inventory write-downs |
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4,310 |
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— |
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— |
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| Pension curtailment gain |
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— |
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— |
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(2,581) |
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| Other |
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4,718 |
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|
1,182 |
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— |
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| Total restructuring charges |
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$ |
17,188
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$ |
11,469
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$ |
11,107
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The following table presents the restructuring costs by business segment:
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Year Ended December |
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| (In thousands) |
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2024 |
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2023 |
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2022 |
| Wrangler |
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$ |
15,080 |
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$ |
4,564 |
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$ |
— |
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| Lee |
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40 |
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43 |
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— |
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| Corporate and other |
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2,068 |
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6,862 |
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11,107 |
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| Total |
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$ |
17,188
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$ |
11,469
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$ |
11,107
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The following table presents activity in the restructuring accrual, primarily related to severance and employee-related benefits, for the years ended December 2024 and December 2023:
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| (In thousands) |
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| Accrual at December 2022 |
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$ |
10,695
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| Charges |
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7,223 |
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| Cash payments |
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(17,338) |
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| Adjustments to accruals |
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6 |
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| Currency translation |
|
241 |
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| Accrual at December 2023 |
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$ |
827
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| Charges |
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7,717 |
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| Cash payments |
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(6,323) |
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| Adjustments to accruals |
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(318) |
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| Currency translation |
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(8) |
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| Accrual at December 2024 |
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$ |
1,895
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