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8-K
SUNEDISON, INC. filed this Form 8-K on 09/09/2013
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  Reducing total workforce by approximately 500 persons worldwide, representing approximately 11% of our employees;
  Shuttering our Merano, Italy polysilicon facility as of December 31, 2011;

As a result of adverse market conditions and asset recoverability tests, we incurred charges associated with restructuring, impairment of long-lived assets and write-downs of inventory. The following is a summary of the charges recorded during the fourth quarter of December 31, 2011:

 

In millions          
Type of Charge    Amount    Statement of Operations
Classification
    

 

 

    

 

Restructuring

     $             281.9        Restructuring

Long-lived asset impairment (see Note 5)

     $ 234.7                Long-lived asset impairment

Inventory adjustments and other (see Note 4)

     $ 22.4        Cost of goods sold

In the fourth quarter of 2011, restructuring charges consisted of $54.5 million of severance and other one-time benefits for employees terminated under the 2011 Global Plan, $182.9 million of estimated liabilities accrued as a result of us canceling or not being able to fulfill the entire purchase obligation for certain supplier contracts and $44.5 million of other related charges. Total cash payments made under the 2011 Global Plan during the year ended December 31, 2011 were $3.4 million. See the following tables below for cash payments made during the year ended December 31, 2012 and the six months ended June 30, 2013, respectively. For additional discussion on the charges associated with the impairment of long-lived assets and write-downs of inventory, see the respective footnotes noted in the above table.

In addition, during June 2011, we committed to actions to reduce overall manufacturing costs across our global sites, as well as to realign certain general and administrative expenses due to industry and customer specific developments. These actions included relocation of certain operations and reductions in headcount. During the year ended December 31, 2011, we recorded restructuring charges of $5.1 million for severance and other related employee benefits associated with these actions. Cash payments of $4.9 million were made during 2011 that were also related to these actions.

Details of the 2012 expenses, cash payments and expected costs incurred related to the 2011 Global Plan are set out in the following table:

 

                                   As of December 31, 2012  
In millions    Accrued
January 1,
2012
    Year-to-date
Restructuring
Charges
(Reversals)
    Cash
Payments
    Currency     Accrued
December 31,
2012
    Cumulative
Costs Incurred
    Total Costs
Expected to be
Incurred
 

2011 Global Plan

              

Severance and employee benefits

   $    54.5       $     (6.4)      $   (17.4)      $      0.3       $      31.0       $    48.1       $    48.1    

Contract termination

     178.3         (76.4)        (33.2)        0.8         69.5         106.5         106.5    

Other

     48.1         (5.1)        (6.7)        0.7         37.0         39.4         39.4    
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total

   $ 280.9       $ (87.9)      $ (57.3)      $ 1.8       $ 137.5       $ 194.0       $ 194.0    
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

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