Seagate 2012 Annual Report Download - page 87

Table of Contents
SEAGATE TECHNOLOGY PLC
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
approximately $3 million for other plant closure and relocation costs. From the inception of the plan the Company has recorded $48 million in
restructuring charges. During fiscal year 2013, there were no cash payments or other settlements under the AMK Plan and no restructuring
charges related to the plan during fiscal year 2013. Payments under the AMK plan are expected to continue through fiscal year 2015.
Other Restructuring and Exit Costs. Through June 28, 2013, the Company has recorded restructuring charges of approximately
$123 million, net of adjustments, related to the previously announced closures of its Pittsburgh, Pennsylvania and Milpitas, California facilities,
and also has recorded certain exit costs aggregating to $270 million related to its acquisition of Maxtor. These plans are currently expected to
result in total charges of approximately $400 million. During fiscal year 2013, the Company incurred restructuring charges of $1 million in post-
employment benefits, $1 million in facility lease obligations and $1 million in other exit costs primarily related to the closures of its Pittsburgh,
Pennsylvania and Milpitas, California facilities and to other smaller restructuring plans. In addition, the Company recorded an adjustment to
reduce the reserves related to facility lease obligations in the amount of $1 million and recorded cash payments and other settlements of
$10 million related to these plans during fiscal year 2013. Restructuring activity relating to the Milpitas, California facility was completed during
the fiscal year ended June 28, 2013. Payment of these exit costs relating to the Pittsburgh, Pennsylvania facility and other smaller restructuring
plans are expected to continue through the end of fiscal year 2017.
The following table summarizes the Company's restructuring activities for fiscal years 2013, 2012 and 2011:
Of the accrued restructuring balance of approximately $17 million at June 28, 2013, $6 million is included in Accrued expenses and
$11 million is included in Other non-current liabilities in the Company's Consolidated Balance Sheet. Of the accrued restructuring balance of
approximately $25 million at June 29, 2012, $9 million is included in Accrued expenses and $16 million is included in Other non-current
liabilities in the Company's Consolidated Balance Sheet.
80
(Dollars in millions)
Post
-
Employment
Benefits
Operating
Leases
Other
Exit
Costs
Total
All Restructuring Activities
Accrual balances at July 2, 2010
$
38
$
46
$
—
$
84
Restructuring charges
3
4
8
15
Cash payments and other settlements
(36
)
(19
)
(8
)
(63
)
Adjustments
3
—
—
3
Accrual balances at July 1, 2011
8
31
—
39
Restructuring charges
3
—
2
5
Cash payments and other settlements
(8
)
(8
)
(2
)
(18
)
Adjustments
—
(
1
)
—
(
1
)
Accrual balances at June 29, 2012
3
22
—
25
Restructuring charges
1
1
1
3
Cash payments and other settlements
(2
)
(7
)
(1
)
(10
)
Adjustments
—
(
1
)
—
(
1
)
Accrual balances at June 28, 2013
$
2
$
15
$
—
$
17