Mattel 2003 Annual Report Download - page 91

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The components of the restructuring charges since inception of the plan are as follows (in millions):
Severance
and Other
Compensation
Asset
Writedowns
Lease
Termination
Costs Other
Total
Restructuring
Charge
2000 charges .............................. $18.5 $ 2.2 $ 1.0 $ 1.2 $ 22.9
Amounts incurred ...................... (2.8) (2.2) — (0.4) (5.4)
Balance at year end 2000 .................... 15.7 — 1.0 0.8 17.5
2001 charges .......................... 9.3 0.7 1.5 4.2 15.7
Amounts incurred ...................... (16.2) (0.7) (0.6) (4.0) (21.5)
Balance at year end 2001 .................... 8.8 — 1.9 1.0 11.7
2002 charges .......................... 19.4 — 1.2 4.0 24.6
Amounts incurred ...................... (24.3) — (1.8) (4.4) (30.5)
Balance at year end 2002 .................... 3.9 — 1.3 0.6 5.8
2003 charges .......................... 12.9 — (0.3) 0.1 12.7
Amounts incurred ...................... (16.2) — (0.6) (0.6) (17.4)
Balance at year end 2003 .................... $ 0.6 $ — $0.4 $0.1 $ 1.1
In 2003, Mattel recorded a net restructuring charge totaling $4.8 million in the consolidated statement of
operations representing $12.7 million of restructuring charges related to the financial realignment plan that were
partially offset by income of $7.9 million, representing an adjustment resulting from updated estimates related to
amounts accrued in 1999 associated with the closure of the Beaverton facility.
Note 11—Segment Information
Mattel’s reportable segments are separately managed business units and are divided on a geographic basis
between domestic and international. The domestic segment historically was further divided into US Girls, US
Boys-Entertainment, and US Infant & Preschool. In February 2003, Mattel announced the consolidation of its US
Girls and US Boys-Entertainment segment into one segment, renamed Mattel Brands US. Additionally, Pleasant
Company, which was previously part of the US Girls segment, is now a separate segment for management
reporting purposes. The results of Pleasant Company are now reported as American Girl Brands and US Infant &
Preschool are now reported as Fisher-Price Brands US for segment reporting purposes. To facilitate the
comparison of current year segment results to that of the prior year, segment disclosures for 2002 and 2001 have
been restated to reflect these changes. The Mattel Brands US segment includes products such as Barbie®fashion
dolls and accessories (“Barbie®”), Polly Pocket!™and ello™(collectively “Other Girls Brands”), Hot Wheels®,
Matchbox®and Tyco®R/C vehicles and playsets (collectively “Wheels”) and Nickelodeon®,Harry Potter™,
Yu-Gi-Oh!™,He-Man®and Masters of the Universe®,Batman™,Justice League™,and games and puzzles
(collectively “Entertainment”) products. The Fisher-Price Brands US segment includes Fisher-Price®,Power
Wheels®,Sesame Street®,Little People®,Disney preschool and plush, Winnie the Pooh, Rescue Heroes™,
Barney™,See ’N Say®,Dora the Explorer™,PowerTouch™and other preschool products. The American Girl
Brands segment includes products sold directly to consumers, including The American Girls Collection®,
American Girl Today®and Bitty Baby®.The International segment sells products in all toy categories, except
American Girl Brands.
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