Avid 2015 Annual Report Download - page 55

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49
2013 Restructuring Actions
In June 2013, our leadership evaluated the marketing and selling teams and, in an effort to better align sales resources with our
strategic goals and enhance our global account team approach, eliminated 31 positions. As a result, we recognized related
restructuring costs of $1.7 million in 2013.
During November and December 2013, our executive management team identified opportunities to lower costs in the supply and
hardware technology group by eliminating 29 positions in hardware shared services and 15 positions in the supply and technology
group. Additionally, an engineering reorganization at the same time resulted in the elimination of four engineering positions. As
a result, we recognized $1.7 million of related restructuring costs in 2013.
All of the restructuring costs related to 2013 restructuring actions were fully paid as of December 31, 2015, no further actions are
anticipated.
Interest and Other Income (Expense), Net
Interest and other income (expense), net, generally consists of interest income and interest expense.
Interest and Other Income (Expense) for the Years Ended December 31, 2015 and 2014
(dollars in thousands)
2015 Change 2014
Income
(Expense) $ % Income
(Expense)
Interest income $ 113 $ (13) (10.3)% $ 126
Interest expense (6,346)(4,575) 258.3% (1,771)
Other income (expense), net (175) 963 (84.6)% (1,138)
Total interest and other income (expense), net $ (6,408) $ (3,625) 130.3% $ (2,783)
Interest and Other Income (Expense) for the Years Ended December 31, 2014 and 2013
(dollars in thousands)
2014 Change 2013
Income
(Expense) $ % Income
(Expense)
Interest income $ 126 $ (429) (77.3)% $ 555
Interest expense (1,771)(197) 12.5% (1,574)
Other income (expense), net (1,138)(1,481) (431.8)% 343
Total interest and other income (expense), net $ (2,783) $ (2,107) 311.7% $ (676)
2015 Compared to 2014
The increase in interest expense for 2015, compared to 2014, was due to the interest on our outstanding 2.00% convertible senior
notes and related debt discount accretion. See Note R, Long Term Debt and Credit Agreement, to our Consolidated Financial
Statements in Item 8 for further information. The decrease in other expense for 2015, compared to 2014, was primarily the result
of changes in the valuation of a deferred compensation plan. With the increase in our debt, we expect interest expense to increase
in 2016.
2014 Compared to 2013
The change in interest and other income (expense), net for 2014, compared to 2013, was primarily the result of changes in the
valuation of a deferred compensation plan. During 2014, there was an increase in the valuation of the plan obligations resulting in