Quarterly report pursuant to Section 13 or 15(d)

Restructuring, Exit and Integration Activities

v3.7.0.1
Restructuring, Exit and Integration Activities
3 Months Ended
Apr. 01, 2017
Restructuring and Related Activities [Abstract]  
Restructuring, Exit and Integration Activities [Text Block]
Restructuring, Exit and Integration Activities

In the first quarter of 2017, the Company announced that it will close its boat manufacturing facility in Joinville, Santa Catarina, Brazil, as a result of continued market weakness and unfavorable foreign currency impacts in the region. The facility manufactures certain Bayliner and Sea Ray boat models for the Latin American market. The long-lived assets at this facility were previously fully impaired.

In the first quarter of 2017, the Company also recorded restructuring charges within Corporate related to the transition of certain corporate officers.

The Company acquired Cybex International, Inc. (Cybex) in the first quarter of 2016 and executed certain integration activities within the Fitness segment in 2016 and 2017.

The Company recorded restructuring, exit and integration charges in the Condensed Consolidated Statements of Comprehensive Income as a result of these activities. The following table is a summary of the expense associated with the restructuring, exit and integration activities for the three months ended April 1, 2017 and April 2, 2016, as discussed above:
 
April 1, 2017
 
April 2, 2016
(in millions)
Corporate
 
Fitness
 
Boat
 
Total
 
Fitness
 
Total
Restructuring and exit activities:
 
 
 
 
 
 
 
 
 
 
 
Employee termination and other benefits
$
2.4

 
$

 
$
2.2

 
$
4.6

 
$

 
$

Current asset write-downs

 

 
7.2

 
7.2

 

 

Professional fees

 

 
0.8

 
0.8

 

 

Other

 

 
0.2

 
0.2

 

 

Integration activities:
 
 
 
 
 
 
 
 
 
 
 
Employee termination and other benefits

 
1.1

 

 
1.1

 
1.9

 
1.9

Professional fees

 
1.2

 

 
1.2

 
1.4

 
1.4

Other

 
0.1

 

 
0.1

 
0.5

 
0.5

Total restructuring, exit and integration charges
$
2.4

 
$
2.4

 
$
10.4

 
$
15.2

 
$
3.8

 
$
3.8



During 2017, the Company made cash payments of $5.5 million relating to all restructuring, exit and integration activities, including payments related to prior period restructuring, exit and integration activities. As of April 1, 2017, accruals remaining for all restructuring, exit and integration activities totaled $7.5 million and are expected to be paid during 2017 and 2018.