ARROW ELECTRONICS, INC. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Dollars in thousands except per share data)
9. Restructuring, Integration, and Other Charges In 2010, 2009, and 2008, the company recorded restructuring, integration, and other charges of $33,494 ($24,605 net of related taxes or $.21 per share on both a basic and diluted basis), $105,514 ($75,720 net of related taxes or $.63 per share on both a basic and diluted basis), and $80,955 ($61,876 net of related taxes or $.51 per share on both a basic and diluted basis), respectively. The following table presents the components of the restructuring, integration, and other charges for the years ended December 31, 2010, 2009, and 2008: 2010
2009
2008
Restructuring charges – current period actions $ 21,641 $ 100,274 Integration charges – current period actions Restructuring and integration charges – actions taken in prior periods (559) 1,364 Acquisition-related expenses 12,412 3,876 Preference claim from 2001 $ 33,494 $ 105,514
$ 69,836 551 (322) 10,890 $ 80,955
2010 Restructuring Charge The following table presents the components of the 2010 restructuring charge of $21,641 and activity in the related restructuring accrual for 2010:
Restructuring charge Payments Non-cash usage Foreign currency translation December 31, 2010
Personnel Costs
Facilities
$
$
$
14,711 (12,583) (44) 2,084
$
2,329 (1,019) 12 1,322
Other $
$
4,601 (3,049 ) (657 ) 79 974
Total $
21,641 (16,651) (657) 47 $ 4,380
The restructuring charge of $21,641 in 2010 primarily includes personnel costs of $14,711 and facilities costs of $2,329. The personnel costs are related to the elimination of approximately 180 positions within the global ECS business segment and approximately 100 positions within the global components business segment. The facilities costs are related to exit activities for 7 vacated facilities in the Americas and EMEA due to the company's continued efforts to streamline its operations and reduce real estate costs. These initiatives are due to the company's continued efforts to lower cost and drive operational efficiency.
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