Computer Associates 2012 Annual Report Download - page 80

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Fiscal Year 2010 Restructuring Plan: The fiscal year 2010 restructuring plan (Fiscal 2010 Plan) was announced in March 2010 and
consisted of a workforce reduction of approximately 1,000 positions and global facilities consolidations. These actions were intended
to better align the Company’s cost structure with the skills and resources required to more effectively pursue opportunities in the
marketplace and execute the Company’s long-term growth strategy. The total amounts incurred with respect to severance and
facilities abandonment under the Fiscal 2010 Plan were $43 million and $2 million, respectively. Actions under the Fiscal 2010 Plan
were substantially completed by the end of fiscal year 2011.
Fiscal Year 2007 Restructuring Plan: In August 2006, the Company announced the fiscal year 2007 restructuring plan (Fiscal 2007
Plan) to significantly improve the Company’s expense structure and increase its competitiveness. The Fiscal 2007 Plan consisted of a
workforce reduction of approximately 3,100 employees, global facilities consolidations and other cost reductions. The total amounts
incurred with respect to severance and facilities abandonment under the Fiscal 2007 Plan were $220 million and $122 million,
respectively. Actions under the Fiscal 2007 Plan were substantially completed by the end of fiscal year 2010.
Accrued severance and exit costs and changes in the accruals for fiscal years 2012, 2011 and 2010 associated with the Fiscal 2012,
Fiscal 2010 and Fiscal 2007 Plans were as follows:
(in millions)
ACCRUED
BALANCE AT
MARCH 31,
2011 EXPENSE
CHANGE
IN
ESTIMATE PAYMENTS
ACCRETION
AND OTHER
ACCRUED
BALANCE AT
MARCH 31,
2012
Severance:
Fiscal 2012 Plan $ — $ 49 $ (7) $ (31) $ — $ 11
Fiscal 2010 Plan 4 — (1) (3) — —
Fiscal 2007 Plan 4 — — (2) — 2
Total Severance $ 8 $ 49 $ (8) $ (36) $ — $13
Facilities Abandonment:
Fiscal 2010 Plan $ 1 $ — $ — $ — $ — $1
Fiscal 2007 Plan 46 — — (11) 4 39
Total Facilities Abandonment $ 47 $ — $ — $ (11) $ 4 $40
Total Accrued Liabilities $ 55 $53
(in millions)
ACCRUED
BALANCE AT
MARCH 31,
2010 EXPENSE
CHANGE
IN
ESTIMATE PAYMENTS
ACCRETION
AND OTHER
ACCRUED
BALANCE AT
MARCH 31,
2011
Severance:
Fiscal 2010 Plan $ 46 $ — $ (4) $ (37) $ (1) $ 4
Fiscal 2007 Plan 8 — 1 (5) — 4
Total Severance $ 54 $ — $ (3) $ (42) $ (1) $ 8
Facilities Abandonment:
Fiscal 2010 Plan $ 2 $ — $ — $ (1) $ — $ 1
Fiscal 2007 Plan 60 — 1 (18) 3 46
Total Facilities Abandonment $ 62 $ — $ 1 $ (19) $ 3 $ 47
Total Liabilities $ 116 $ 55
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