Quantum Corporation Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

RESTRUCTURING CHARGES

RESTRUCTURING CHARGES

6 Months Ended

Sep. 30, 2014

Restructuring and Related Activities [Abstract]

The types of restructuring expense for the three and six months ended September 30, 2014 and September 30, 2013 were (in thousands):



	Three Months Ended					Six Months Ended
	September 30, 2014			September 30, 2013		September 30, 2014		September 30, 2013
Severance and benefits	$	(20	)	$	108	$	105	$	2,591
Facilities	647			12		1,374		88
Other	(3		)	177		10		177
Total	$	624		$	297	$	1,489	$	2,856

In the second quarter and first six months of fiscal 2015, restructuring charges were primarily due to facilities costs as a result of further consolidating our facilities in the U.S. The restructuring charges in the second quarter and first six months of fiscal 2014 were primarily the result of efforts to consolidate manufacturing and service activities with contract manufacturers that were initiated the first quarter of fiscal 2014.

Accrued Restructuring

The following tables show the activity and the estimated timing of future payouts for accrued restructuring (in thousands):



	Three Months Ended September 30, 2014
	Severance and Benefits			Facilities			Other			Total
Balance as of June 30, 2014	$	498		$	6,915		$	53		$	7,466
Restructuring costs	53			647			—			700
Restructuring charge reversal	(73		)	—			(3		)	(76		)
Cash payments	(230		)	(852		)	(50		)	(1,132		)
Other non-cash	—			43			—			43
Balance as of September 30, 2014	$	248		$	6,753		$	—		$	7,001



	Six Months Ended September 30, 2014
	Severance and Benefits			Facilities			Other			Total
Balance as of March 31, 2014	$	1,574		$	6,724		$	70		$	8,368
Restructuring costs	319			1,374			13			1,706
Restructuring charge reversal	(214		)	—			(3		)	(217		)
Cash payments	(1,431		)	(1,647		)	(80		)	(3,158		)
Other non-cash	—			302			—			302
Balance as of September 30, 2014	$	248		$	6,753		$	—		$	7,001



	As of September 30, 2014
	Severance and Benefits		Facilities		Total
Estimated timing of future payouts:
Next twelve months	$	99	$	3,325	$	3,424
October 2015 through February 2021	149		3,428		3,577
	$	248	$	6,753	$	7,001

We anticipate $0.1 million of severance and benefits will be paid by the end of fiscal 2015 and the remaining $0.1 million of severance and benefits will be paid by the end of fiscal 2016. Facility restructuring accruals will be paid in accordance with the respective facility lease terms.

- Definition

The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled.

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