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Annual report pursuant to Section 13 and 15(d)

RESTRUCTURING

v3.23.1
RESTRUCTURING
 12 Months Ended
Apr. 01, 2023
Restructuring and Related Activities [Abstract] Ìý
RESTRUCTURING RESTRUCTURING
The Company incurs restructuring charges related to strategic initiatives and cost optimization of business activities, primarily related to severance and employee-related benefits.
Of the $75.7 million of restructuring charges recognized in the year ended March 2023, $70.9 million were reflected in selling, general and administrative expenses and $4.8 million in cost of goods sold. Of the $20.0 million of restructuring charges recognized in the year ended March 2022, $18.3 million were reflected in selling, general and administrative expenses and $1.7 million in cost of goods sold. Of the $119.0 million of restructuring charges recognized in the year ended March 2021,
$75.1 million were reflected in selling, general and administrative expenses and $43.9 million in cost of goods sold. The Company has not recognized any significant incremental costs related to the accruals for the year ended March 2022 or prior periods.
Of the total restructuring accrual at March 2023, $43.1 million is expected to be paid out within the next 12 months and is classified within accrued liabilities (Note 13). The remaining $2.2Ìýmillion will be paid out beyond the next 12 months and thus is classified within other liabilities.
The components of the restructuring charges are as follows:
Year Ended March
(In thousands) 2023 2022 2021
Severance and employee-related benefits $ 57,433Ìý $ 12,283Ìý $ 64,972Ìý
Asset impairments —Ìý —Ìý 23,087Ìý
Accelerated depreciation 8,016Ìý 7,016Ìý 11,266Ìý
Inventory write-downs —Ìý —Ìý 10,658Ìý
Contract termination and other 10,289Ìý 703Ìý 9,023Ìý
Total restructuring charges $ 75,738Ìý $ 20,002Ìý $ 119,006Ìý
Restructuring costs by business segment are as follows:
Year Ended March
(In thousands) 2023 2022 2021
Outdoor $ 1,088Ìý $ 4,523Ìý $ 14,081Ìý
Active 1,478Ìý 1,008Ìý 20,958Ìý
Work 9Ìý 2,315Ìý 31,907Ìý
Corporate and other 73,163Ìý 12,156Ìý 52,060Ìý
Total $ 75,738Ìý $ 20,002Ìý $ 119,006Ìý
The activity in the restructuring accrual was as follows:
(In thousands) Severance Other Total
Accrual at March 2021 $ 59,810Ìý $ 6,944Ìý $ 66,754Ìý
Charges 12,283Ìý 703Ìý 12,986Ìý
Cash payments and settlements (43,886) (5,694) (49,580)
Adjustments to accruals (2,320) (647) (2,967)
Impact of foreign currency (247) (95) (342)
Accrual at March 2022 25,640Ìý 1,211Ìý 26,851Ìý
Charges 57,433Ìý 5,190Ìý 62,623Ìý
Cash payments and settlements (41,338) (345) (41,683)
Adjustments to accruals (3,236) 40Ìý (3,196)
Impact of foreign currency 222Ìý 449Ìý 671Ìý
Accrual at March 2023 $ 38,721Ìý $ 6,545Ìý $ 45,266Ìý