Quarterly report pursuant to Section 13 or 15(d)

RESTRUCTURING

v3.21.2
RESTRUCTURING
 9 Months Ended
Oct. 02, 2021
Restructuring and Related Activities [Abstract]  
RESTRUCTURING RESTRUCTURING
The Company generally incurs restructuring charges related to cost optimization of business activities, primarily related to severance and employee-related benefits.
All of the $1.0 million of restructuring charges recognized during the nine months ended September 2021 were reflected within "selling, general and administrative expenses," and primarily related to previously approved initiatives.
Of the $2.3 million and $13.9 million of restructuring charges recognized during the three and nine months ended September 2020, respectively, $1.9 million and $13.0 million were reflected within "selling, general and administrative expenses" and $0.4 million and $0.9 million were reflected within "cost of goods sold," respectively.
Of the $1.7 million total restructuring accrual reported in the Company's balance sheet at September 2021, $1.6 million is expected to be paid out within the next 12 fiscal months and is classified within "accrued liabilities." The remaining $0.1 million is classified within "other liabilities." Of the $6.7 million total restructuring accrual reported in the Company's balance sheet at December 2020, $6.5 million was expected to be paid out within the next 12 fiscal months and was classified within "accrued liabilities," and the remaining $0.2 million was classified within "other liabilities."
The following table presents the components of restructuring charges:
Three Months Ended Nine Months Ended
(In thousands)
September 2021 September 2020 September 2021 September 2020
Severance and employee-related benefits $ —  $ 2,314  $ 992  $ 12,324 
Asset impairments —  —  —  1,579 
Total restructuring charges $ —  $ 2,314  $ 992  $ 13,903 
The following table presents the restructuring costs by business segment:
Three Months Ended Nine Months Ended
(In thousands)
September 2021 September 2020 September 2021 September 2020
Wrangler $ —  $ —  $ 306  $ 3,656 
Lee —  —  331  3,131 
Corporate and other —  2,314  355  7,116 
Total $ —  $ 2,314  $ 992  $ 13,903 
The following table presents activity in the restructuring accrual for the nine-month period ended September 2021:
(In thousands) Total
Accrual at December 2020 $ 6,741 
Charges 992 
Cash payments (6,024)
Adjustments to accruals (26)
Accrual at September 2021 $ 1,683