As previously disclosed, in the third quarter of fiscal 2024 (Predecessor), in connection with the strategic streamlining of its operational structure to optimize its clinical and behavioral product portfolio and its cost-savings initiative, the Company committed to a plan of reduction in force that has resulted in the elimination of certain positions and the termination of employment for certain employees worldwide (the “2024 Plan”). The cumulative amount incurred at June 30, 2025 (Successor) related to the aggregate 2024 Plan is $21,454, consisting of employee termination benefit costs of $19,487, lease termination costs of $168 and other cash restructuring charges of $1,799. The Company fully executed the 2024 Plan during the second quarter of fiscal 2025 (Predecessor).

For the period from June 25, 2025 through June 30, 2025 (Successor), the period from March 30, 2025 through June 24, 2025 (Predecessor) and the period from December 29, 2024 through June 24, 2025 (Predecessor), the components of the Company’s restructuring charges for the 2024 Plan were as follows:


	Successor		Predecessor
	Period from		Period from		Period from
	June 25, 2025		March 30, 2025		December 29, 2024
	through June 30, 2025		through June 24, 2025		through June 24, 2025
Restructuring charges:
Employee termination benefit costs	$	—	$	2,617	$	3,753
Other cash restructuring charges		—		323		658
Total restructuring charges	$	—	$	2,940	$	4,411

For the period from June 25, 2025 through June 30, 2025 (Successor), the period from March 30, 2025 through June 24, 2025 (Predecessor) and the period from December 29, 2024 through June 24, 2025 (Predecessor), restructuring charges for the 2024 Plan were recorded in the Company’s consolidated statements of operations as follows:


	Successor		Predecessor
	Period from		Period from			Period from
	June 25, 2025		March 30, 2025			December 29, 2024
	through June 30, 2025		through June 24, 2025			through June 24, 2025
Cost of revenues	$	—	$	(17	)	$	(248	)
Selling, general and administrative expenses		—		2,957			4,659
Total restructuring charges	$	—	$	2,940		$	4,411

The following table presents a roll-forward of cash restructuring-related liabilities, which is included within accrued expenses in the Company’s consolidated balance sheets:


	Employee termination benefit costs			Lease termination costs			Other cash restructuring charges			Total
Balance at December 30, 2023 (Predecessor)	$	—		$	—		$	—		$	—
Charges		15,520			168			1,141			16,829
Payments		(8,590	)		—			(1,141	)		(9,731	)
Change in estimate		214			—			—			214
Balance at December 28, 2024 (Predecessor)	$	7,144		$	168		$	—		$	7,312
Charges		3,062			—			658			3,720
Payments		(4,421	)		(168	)		(658	)		(5,247	)
Change in estimate		691			—			—			691
Balance at June 24, 2025 (Predecessor)	$	6,476		$	—		$	—		$	6,476


Balance at June 25, 2025 (Successor)	$	6,476	$	—	$	—	$	6,476
Charges		—		—		—		—
Payments		—		—		—		—
Change in estimate		—		—		—		—
Balance at June 30, 2025 (Successor)	$	6,476	$	—	$	—	$	6,476

At June 30, 2025 (Successor), the Company expects the remaining employee termination benefit liability to be paid in full by the end of fiscal 2027.

As previously disclosed, in the fourth quarter of fiscal 2022 (Predecessor), management reviewed the then-current global business operations of the Company as well as the different functions and systems supporting those operations and contrasted them with the Company's strategic priorities and requirements for fiscal 2023 and beyond. Based on that review, in December 2022 (Predecessor), the Company's management resolved to centralize its global management of certain functions and systems, deprioritize and in some cases cease operations for certain non-strategic business lines, and continue the rationalization of its real estate portfolio to align with its future needs. Throughout December 2022 and January 2023 (Predecessor), management developed and continued refining a detailed plan to achieve these goals.

The Company committed to a restructuring plan consisting of (i) an organizational restructuring and rationalization of certain functions and systems to centralize the Company’s management, align resources with strategic business lines and reduce costs associated with certain functions and systems (the “Organizational Restructuring”) and (ii) the continued rationalization of its real estate portfolio and resulting operating lease termination charges and the associated employment termination costs (the “Real Estate Restructuring,” and together with the Organizational Restructuring, the “2023 Plan”). The cumulative amount incurred at June 30, 2025 (Successor) related to the aggregate 2023 Plan is $67,940.

The Organizational Restructuring has resulted in the elimination of certain positions and the termination of employment for certain employees worldwide. The cumulative amount incurred at June 30, 2025 (Successor) related to the aggregate employee termination benefit costs related to the Organizational Restructuring under the 2023 Plan is $38,624. The cumulative amount incurred at June 30, 2025 (Successor) related to the aggregate lease termination costs and employee termination benefit costs related to the Real Estate Restructuring under the 2023 Plan is $12,789 and $7,707, respectively. The cumulative amount incurred at June 30, 2025 (Successor) related to the aggregate other cash restructuring charges and total non-cash restructuring charges under the 2023 Plan is $2,158 and $6,662, respectively.


	Successor		Predecessor
	Period from		Period from			Period from
	June 25, 2025		March 30, 2025			December 29, 2024
	through June 30, 2025		through June 24, 2025			through June 24, 2025
Restructuring charges:
Real Estate Restructuring - Employee termination benefit costs	$	—	$	(2,054	)	$	(2,207	)
Organizational Restructuring - Employee termination benefit costs		—		(1,980	)		(2,326	)
Total restructuring charges	$	—	$	(4,034	)	$	(4,533	)

For the period from June 25, 2025 through June 30, 2025 (Successor), the period from March 30, 2025 through June 24, 2025 (Predecessor) and the period from December 29, 2024 through June 24, 2025 (Predecessor), restructuring charges for the 2023 Plan were recorded in the Company’s consolidated statements of operations as follows:


	Successor		Predecessor
	Period from		Period from			Period from
	June 25, 2025		March 30, 2025			December 29, 2024
	through June 30, 2025		through June 24, 2025			through June 24, 2025
Cost of revenues	$	—	$	(2,054	)	$	(2,207	)
Selling, general and administrative expenses		—		(1,980	)		(2,326	)
Total restructuring charges	$	—	$	(4,034	)	$	(4,533	)

The following table presents a roll-forward of cash restructuring-related liabilities, which is included within accrued expenses in the Company’s consolidated balance sheets:


	Real Estate Restructuring -			Real Estate Restructuring -			Organizational Restructuring -
	Lease termination costs			Employee termination benefit costs			Employee termination benefit costs			Other cash restructuring charges			Total
Balance at December 31, 2022 (Predecessor)	$	—		$	1,798		$	11,810		$	—		$	13,608
Charges		12,924			5,678			26,927			1,577			47,106
Payments		(12,768	)		(4,813	)		(15,142	)		(1,233	)		(33,956	)
Balance at December 30, 2023 (Predecessor)	$	156		$	2,663		$	23,595		$	344		$	26,758
Charges		—			2,363			2,547			581			5,491
Payments		(21	)		(1,835	)		(19,342	)		(925	)		(22,123	)
Change in estimate		(135	)		75			(334	)		—			(394	)
Balance at December 28, 2024 (Predecessor)	$	—		$	3,266		$	6,466		$	—		$	9,732
Payments		—			(619	)		(2,953	)		—			(3,572	)
Change in estimate		—			(2,207	)		(2,326	)		—			(4,533	)
Balance at June 24, 2025 (Predecessor)	$	—		$	440		$	1,187		$	—		$	1,627


Balance at June 25, 2025 (Successor)	$	—	$	440	$	1,187	$	—	$	1,627
Payments		—		—		—		—		—
Change in estimate		—		—		—		—		—
Balance at June 30, 2025 (Successor)	$	—	$	440	$	1,187	$	—	$	1,627

At June 30, 2025 (Successor), the Company expects the remaining employee termination benefit liability related to the Real Estate Restructuring and the remaining employee termination benefit liability related to the Organizational Restructuring to be paid in full by the end of fiscal 2026.