As part of restructuring and integration activities, the Company has incurred expenses that qualify as exit and disposal costs under U.S. GAAP. These include severance and employee benefit costs as well as other direct separation benefit costs, expenses incurred related to the facilities consolidation plan, and right of use asset impairment charges. Severance and employee benefit costs primarily relate to cash severance, as well as non-cash severance, including accelerated equity award compensation expense. The Company also incurred expenses that are an integral component of, and directly attributable to, our restructuring and integration activities, which do not qualify as exit and disposal costs under U.S. GAAP. These include integration implementation costs that relate primarily to professional fees and non-cash losses incurred on debt extinguishment, and accelerated depreciation of fixed assets.

The expense associated with integration initiatives are included in Selling, General, and Administrative and the expense associated with restructuring activities are included in Cost of sales or Restructuring expense in the Consolidated Statements of Comprehensive Income.

Restructuring expense recorded within Cost of sales totaled $1.6 million for the twelve months ended May 30, 2026. Amounts recorded within Restructuring expense, which is a component of Operating expenses totaled $11.9 million for the twelve months ended May 30, 2026.

There were no restructuring expenses recorded within Cost of sales for the twelve months ended May 31, 2025. Amounts recorded within Restructuring expense, which is a component of Operating expenses totaled $14.8 million for the twelve months ended May 31, 2025.

Following the acquisition of Knoll, the Company announced a multi-year program (the "Knoll Integration") designed to reduce costs and integrate and optimize the combined organization. The Company recorded a total of $144.4 million in pre-tax integration expense related to this plan from fiscal 2021 through fiscal 2025. No future costs related to this plan are expected. The integration expenses incurred by the Company included expenses within the following categories:

•Severance and employee benefit costs associated with plans to integrate our operating structure, resulting in workforce reductions. These costs primarily include: severance and employee benefits (cash severance, non-cash severance, including accelerated stock-compensation award expense and other termination benefits).

•Exit and disposal activities include those incurred as a direct result of integration activities, primarily including the reorganization and consolidation of facilities as well as asset impairment charges.

•Other integration costs include professional fees and other incremental third-party expenses, including a loss on extinguishment of debt associated with financing of the Knoll acquisition.

For the year ended May 31, 2025, the Company incurred $28.3 million of costs related to the Knoll Integration which was composed of $25.8 million of exit and disposal costs related to the consolidation of facilities, and $2.5 million of other integration costs. Integration expenses by segment included the following for the fiscal year ended May 31, 2025:

For the year ended June 1, 2024, the Company incurred $23.5 million of costs related to the Knoll Integration which was composed of $19.4 million of exit and disposal costs related to the consolidation of facilities, and $4.1 million of other integration costs.

During the first quarter of fiscal year 2026, the Company announced an action related to the 2026 restructuring plan ("2026 restructuring plan") to create operational efficiencies. This restructuring activity included involuntary workforce reductions and costs associated with a facilities consolidation plan. As a result, the Company shortened the estimated useful lives of certain fixed assets, resulting in increased depreciation expense. For the year ended May 30, 2026, the Company incurred $13.5 million of restructuring charges related to the 2026 restructuring plan. Included in this amount was accelerated depreciation expense of $4.7 million.

During the third quarter of fiscal year 2025, the Company announced an action related to the 2025 restructuring plan ("2025 restructuring plan") to reduce expenses. This restructuring activity included involuntary reductions in workforces as well as non-cash right of use asset impairment charges. For the year ended May 31, 2025, the Company incurred $14.8 million of restructuring charges related to the 2025 restructuring plan. The restructuring plan was complete in fiscal 2025 and no future costs related to this plan are expected.

During fiscal year 2024, the Company announced an action related to the 2024 restructuring plan ("2024 restructuring plan") to reduce expenses. This restructuring activity included involuntary reductions in workforces as well as expenses related to a facilities consolidation plan, comprised primarily of non-cash right of use asset impairment charges and accelerated depreciation of fixed assets. For the year ended June 1, 2024, the Company incurred $30.8 million of restructuring charges related to the 2024 restructuring plan. The restructuring plan was complete in fiscal 2024 and no future expenses related to this plan are expected.

The following table provides an analysis of the changes in the restructuring cost reserve that qualify as exit and disposal costs under U.S. GAAP (i.e., severance and employee benefit costs and exit and disposal activities), as well as other restructuring costs for the 2026 restructuring plan for the fiscal year ended May 30, 2026:


	2026 Restructuring Plan
(In millions)	Severance and Employee Related		Exit and Disposal Activities		Other Restructuring Costs		Total
May 31, 2025	$	—	$	—	$	—	$	—
Restructuring Costs	6.5		0.4		6.6		13.5
Amounts Paid	(1.0)		(0.4)		—		(1.4)
Non-Cash Costs	—		—		(6.6)		(6.6)
May 30, 2026	$	5.5	$	—	$	—	$	5.5

The following table provides an analysis of the changes in the restructuring cost reserve that qualify as exit and disposal costs under U.S. GAAP (i.e., severance and employee benefit costs and exit and disposal activities) for the 2025 restructuring plan for the fiscal year ended May 30, 2026:


	2025 Restructuring Plan
(In millions)	Severance and Employee Related		Exit and Disposal Activities		Total
May 31, 2025	$	7.0	$	—	$	7.0

Amounts Paid	(7.0)		—		(7.0)

May 30, 2026	$	—	$	—	$	—

The following table provides an analysis of the changes in the restructuring cost reserve that qualify as exit and disposal costs under U.S. GAAP (i.e., severance and employee benefit costs and exit and disposal activities) for the 2024 restructuring plan for the fiscal year ended May 30, 2026:


	2024 Restructuring Plan
(In millions)	Severance and Employee Related		Exit and Disposal Activities		Total
May 31, 2025	$	1.0	$	—	$	1.0

Amounts Paid	(1.0)		—		(1.0)

May 30, 2026	$	—	$	—	$	—