Logitech 2015 Annual Report Download - page 233

LOGITECH INTERNATIONAL S.A.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
the consolidation of the Company’s Silicon Valley campus from two buildings down to one during the
quarter ended March 31, 2014. The Company substantially completed this restructuring plan by the fourth
quarter of fiscal year 2014.
Termination benefits were calculated based on regional benefit practices and local statutory
requirements. Lease exit costs primarily relate to costs associated with the closure of existing facilities.
Other charges primarily consist of legal, consulting and other costs related to employee terminations.
Note 15—Subsequent Events
On April 22, 2015, the Company announced its intent to exit the OEM business and reorganize
Lifesize to sharpen its focus on its Cloud-based offerings, and streamline its overall cost structure through
product, overhead and infrastructure cost reductions, including a targeted resource realignment. The
Company expects to recognize restructuring charges of approximately $15 million to $20 million.
Note 16—Other Disclosure Required by Swiss Law
Balance Sheet Items
The amounts of certain balance sheet items were as follows (in thousands):
March 31,
2015 2014
Prepayments and accrued income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 12,922 $ 11,681
Non-current assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $374,660 $518,390
Pension liabilities, current . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,232 $ 1,100
Fire insurance value of property, plant and equipment . . . . . . . . . . . . . . . . . . . . $207,688 $214,020
Statement of Income Items
Total personnel expenses amounted to $339.8 million, $345.6 million and $359.8 million in fiscal
years 2015, 2014, and 2013.
Security Ownership of Board Members and Executive Officers
In accordance with the Swiss Code of Obligations, the security ownership of members of the Board
of Directors of Logitech International S.A. and Logitech executive officers are presented in the Swiss
Statutory Financial Statements of Logitech International S.A.
Risk Assessment
At a company-wide level, Logitech’s internal audit function coordinates management’s risk
assessment process, which encompasses financial and operational risks, and reports to senior
management and to the Audit Committee of the Board of Directors. Material risks are assessed and
discussed by the Board of Directors, as appropriate. Financial risk assessment and management is
integrated into the functions of the Company’s Treasury, Finance and Business group operations, with
oversight from the Audit Committee. Financial reporting risk is addressed through the Company’s
Corporate Accounting, Financial Reporting and SOX Compliance operations and processes. Operational
risk assessment and management is integrated into the functions of the Company’s Business groups,
with support from specialized departments such as Product Quality, Supply Chain, Legal and Finance.
Material financial and financial reporting risks are reported to and reviewed with the Audit Committee and
the Board of Directors, as appropriate, and material operational risks are reported to and reviewed with
the Board of Directors.
Note 14—Restructuring (Continued)
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Annual Report Fiscal Year 2015