Quarterly report pursuant to Section 13 or 15(d)

Restructuring

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Restructuring
3 Months Ended
Mar. 31, 2013
Restructuring Costs [Abstract]  
Restructuring
Restructuring
As a result of the termination of the Shell Research Agreement, we initiated a series of cost reduction measures. During the third quarter of 2012, our board of directors approved and committed to a restructuring plan (the “Q3 2012 Restructuring Plan”) to reduce our cost structure which included approximately 173 employee terminations in the United States and Singapore and the closing of our Singapore facility. Approximately 150 of the total 173 employee terminations impacted the research and development functions with remaining 23 employees impacting the selling, general and administrative functions.
Our cost of the Q3 2012 Restructuring Plan was $2.4 million, comprised of $1.1 million of leasehold improvement write down, $0.7 million for employee severance and other termination benefits, $0.3 million for facility lease termination costs and $0.3 million for equipment disposal charges. As of December 31, 2012, $0.1 million was recorded in accrued compensation and $0.3 million recorded as accrued expenses on our condensed consolidated balance sheet. We made cash payments of approximately $0.2 millions and recorded $14,000 of reductions in previously recorded accruals for changes in estimated liabilities during the quarter ended March 31, 2013. As of March 31, 2013, $13,000 was recorded in accrued compensation and $0.1 million was recorded as accrued expenses on our condensed consolidated balance sheet. We anticipate recording no further costs under this restructuring plan. We anticipate the remaining costs under the Q3 2012 Restructuring Plan will be paid in the second quarter of 2013.
The table below summarizes the changes in our restructuring accrual for the Q3 2012 Restructuring Plan (in thousands):
 
Severance, benefits
and related
personnel costs
 
Facility closing costs
 
Total
Balance at December 31, 2012
$
100

 
$
320

 
$
420

Restructuring charges

 
$

 
$

Cash payments
(73
)
 
(175
)
 
(248
)
Adjustments to previously accrued charges
(14
)
 

 
(14
)
Balance at March 31, 2013
$
13

 
$
145

 
$
158


During the first quarter of 2012, our board of directors approved and committed to a restructuring plan (“Q1 2012 Restructuring Plan”) to reduce our cost structure which included approximately 13 employee terminations in Hungary and the United States. The total cost of the Q1 2012 Restructuring Plan was $572,000 comprised of employee severance and other termination benefits. As of March 31, 2012, planned costs of $510,000 were recognized in selling, general and administrative expenses on our condensed consolidated statements of operations with the remaining cost recognized by December31, 2012. During the three months ended March 31, 2012, we made cash payments of $24,000 related to these expenses. All costs under the Q1 2012 Restructuring Plan were paid by December 31, 2012.