v3.26.1
Restructuring and Asset-Related Charges, Net
 6 Months Ended
Jun. 27, 2026
Restructuring and Related Activities [Abstract]  
Restructuring and Asset-Related Charges, Net Restructuring and Asset-Related Charges, Net
We engage in restructuring activities intended to simplify and optimize our operating structure, reduce costs, and improve productivity and operating margins. Restructuring costs primarily include severance and other employee-related costs associated with workforce reductions, plant consolidations and closures, and changes to the management structure to align with our operations. Other restructuring associated costs, net primarily consist of equipment relocation and facility restoration costs. Asset-related charges, net consist of accelerated depreciation and amortization of assets due to changes in asset useful lives.
The following tables summarize the restructuring and asset-related charges, net for the periods indicated:
(amounts in thousands)North
America 		EuropeCorporate
and
Unallocated
Costs		Total
Consolidated
Three Months Ended June 27, 2026
Restructuring severance and employee-related charges, net(1)
$1,492 $585 $355 $2,432 
Other restructuring associated costs, net138 1,414 — 1,552 
Asset-related charges, net— 93 — 93 
Other restructuring associated costs and asset-related charges, net138 1,507 — 1,645 
Total restructuring and asset-related charges, net$1,630 $2,092 $355 $4,077 
Three Months Ended June 28, 2025
Restructuring severance and employee-related charges, net$2,107 $2,383 $(11)$4,479 
Other restructuring associated costs, net1,025 2,007 — 3,032 
Asset-related charges, net1,287 44 — 1,331 
Other restructuring associated costs and asset-related charges, net2,312 2,051 — 4,363 
Total restructuring and asset-related charges, net$4,419 $4,434 $(11)$8,842 
(amounts in thousands)North
America 		EuropeCorporate
and
Unallocated
Costs		Total
Consolidated
Six Months Ended June 27, 2026
Restructuring severance and employee-related charges, net(1)
$1,948 $666 $388 $3,002 
Other restructuring associated costs, net474 2,391 — 2,865 
Asset-related charges, net— 189 — 189 
Other restructuring associated costs and asset-related charges, net474 2,580 — 3,054 
Total restructuring and asset-related charges, net$2,422 $3,246 $388 $6,056 
Six Months Ended June 28, 2025
Restructuring severance and employee-related charges, net(2)
$12,126 $4,233 $725 $17,084 
Other restructuring associated costs, net1,669 3,138 — 4,807 
Asset-related charges, net1,287 210 — 1,497 
Other restructuring associated costs and asset-related charges, net2,956 3,348 — 6,304 
Total restructuring and asset-related charges, net$15,082 $7,581 $725 $23,388 
(1)In the second quarter of fiscal 2026, the Company implemented a reduction in force, which was substantially complete as of June 27, 2026. The charges incurred in the three and six months ended June 27, 2026, were included in restructuring and asset-related charges, net in the accompanying unaudited condensed consolidated statement of operations and include $0.4 million within Corporate and unallocated costs.
(2)In the first quarter of fiscal 2025, the Company implemented a reduction in force, which was substantially complete as of the same quarter. The charges incurred in the six months ended June 28, 2025, were included in restructuring and asset-related charges, net in the accompanying unaudited condensed consolidated statement of operations and include $0.7 million within Corporate and unallocated costs.
The following is a summary of the restructuring accruals recorded, and charges incurred:
(amounts in thousands)June 27, 2026June 28, 2025
Balance as of January 1,$9,003 $7,605 
Current period charges, net5,867 21,891 
Payments(11,206)(21,220)
Currency translation(43)504 
Balance at period end$3,621 $8,780 
Restructuring accruals are expected to be paid within the next twelve months and are included within accrued expenses and other current liabilities in the accompanying unaudited condensed consolidated balance sheets.
North America
From 2023 to 2025, we announced plans to transform our North American operations by changing the operating structure, eliminating certain roles, and rationalizing our manufacturing footprint. Except for our Chiloquin, Oregon facility, we have substantially completed the closure of all previously disclosed facilities in North America, and we expect to substantially complete the closure of the Chiloquin facility by the end of 2026.
During the first half of 2026, we announced additional plans after identifying further opportunities to optimize our North American structure. As of June 27, 2026, the remaining restructuring accrual for our North America initiatives is $1.3 million, and the remaining cash outlay is expected to be $7.6 million.
Costs and cash outlays associated with the plans are as follows:
Total Estimated CostsCumulative Costs to-dateCosts in the Three Months EndedCosts in the Six Months Ended
(amounts in thousands)June 27, 2026June 28, 2025June 27, 2026June 28, 2025
Restructuring severance and employee-related charges, net(1)
$38,100 $36,501 $1,492 $2,107 $1,948 $12,126 
Other restructuring associated costs, net(1)
17,800 12,958 138 1,025 474 1,669 
Product-related cash charges(2)
6,700 6,719 — — — 134 
Total cash charges$62,600 $56,178 $1,630 $3,132 $2,422 $13,929 
Asset-related charges, net(1)
24,900 23,974 — 1,287 — 1,287 
Inventory and other product-related non-cash charges, net(3)
8,800 8,778 (282)3,226 (365)4,347 
Total non-cash charges$33,700 $32,752 $(282)$4,513 $(365)$5,634 
Total costs$96,300 $88,930 $1,348 $7,645 $2,057 $19,563 
Total cash outlays(4)
$69,200 $61,625 $1,533 $5,836 $4,955 $12,317 
(1)The charges incurred in the three and six months ended June 27, 2026 and June 28, 2025, were included in restructuring and asset-related charges, net in the accompanying unaudited condensed consolidated statements of operations.
(2)The product-related cash charges incurred in the six months ended June 28, 2025, were recorded as a reduction of net revenues in the accompanying unaudited condensed consolidated statement of operations.
(3)The inventory and other product-related non-cash charges, net in the three and six months ended June 27, 2026 and June 28, 2025, were included in cost of sales in the accompanying unaudited condensed consolidated statements of operations.
(4)Total cash outlays include $5.5 million of cash payments related to debt repayment for financed equipment, and a $0.9 million lease termination fee.
Europe
From 2023 to 2025, we announced plans to transform our European operations by changing the operating structure, eliminating certain roles, and rationalizing our manufacturing footprint. Except for our Sheffield, England facility, we have substantially completed the closure of all previously disclosed facilities in Europe, and we expect to substantially complete the closure of the Sheffield facility by the end of 2026.
As of June 27, 2026, the remaining restructuring accrual for our Europe initiatives is $2.0 million, and the remaining cash outlay is expected to be $3.9 million.
Costs and cash outlays associated with the plans are as follows:
Total Estimated CostsCumulative Costs to-dateCosts in the Three Months EndedCosts in the Six Months Ended
(amounts in thousands)June 27, 2026June 28, 2025June 27, 2026June 28, 2025
Restructuring severance and employee-related charges, net(1)
$31,700 $31,554 $585 $2,383 $666 $4,233 
Other restructuring associated costs, net(1)
18,100 16,110 1,414 2,007 2,391 3,138 
Total cash charges$49,800 $47,664 1,999 $4,390 $3,057 $7,371 
Asset-related charges, net(1)
2,700 1,973 93 44 189 210 
Total costs$52,500 $49,637 $2,092 $4,434 $3,246 $7,581 
Total cash outlays$49,800 $45,905 $2,335 $4,489 $5,178 $9,089 
(1)The charges incurred in the three and six months ended June 27, 2026 and June 28, 2025, were included in restructuring and asset-related charges, net in the accompanying unaudited condensed consolidated statements of operations.