Kaman

AR 13

Financials

Part II

Financials/Financial Statements and Supplementary Data/Notes to Consolidated Financial Statements – Note 4

For the Years Ended December 31, 2013, 2012 and 2011

4. RESTRUCTURING COSTS

During 2013, the Company initiated restructuring activities primarily at its Distribution segment to align the cost structure of the organization with its revenue levels. This included workforce reductions and the consolidation of field operations where the Distribution segment had multiple facilities in the same geographic area. The Distribution segment restructuring resulted in net workforce reductions of 110 employees and the exiting of five facilities. The Company settled the majority of the liabilities associated with these restructuring activities during 2013, the remaining portion will be settled in 2014.

The following table summarizes the accrual balances by cost type for the 2013 restructuring actions:

Severance Other (a) Total
In thousands
Restructuring accrual balance at December 31, 2012 $ — $ — $ —
Provision 3,137 250 3,387
Cash payments (3,006) (250) (3,256)
Restructuring accrual balance at December 31, 2013 $ 131 $ — $ 131
  1. Principally costs associated with the consolidation of facilities.