Quarterly report pursuant to Section 13 or 15(d)

RESTRUCTURING

v3.23.3
RESTRUCTURING
 6 Months Ended
Sep. 30, 2023
Restructuring and Related Activities [Abstract]  
RESTRUCTURING RESTRUCTURING
The Company incurs restructuring charges related to strategic initiatives and cost optimization of business activities, primarily related to severance and employee-related benefits. During the three and six months ended September 2023, VF recognized $0.4 million and $1.1 million, respectively, of restructuring charges, related to approved initiatives. All restructuring charges recognized in the three and six months ended September 2023 were reflected in selling, general and administrative expenses. The Company has not recognized any
significant incremental costs related to accruals for the year ended March 2023 or prior periods.
Of the $21.5 million total restructuring accrual at September 2023, $20.7 million is expected to be paid out within the next 12 months and is classified within accrued liabilities. The remaining $0.8 million will be paid out beyond the next 12 months and thus is classified within other liabilities.
The components of the restructuring charges are as follows:
Three Months Ended September Six Months Ended September
(In thousands) 2023 2022 2023 2022
Severance and employee-related benefits $ —  $ 37,464  $ 676  $ 39,558 
Accelerated depreciation —  3,583  —  7,251 
Contract termination and other 435  4,759  454  5,103 
Total restructuring charges $ 435  $ 45,806  $ 1,130  $ 51,912 
Restructuring costs by business segment are as follows:
Three Months Ended September Six Months Ended September
(In thousands) 2023 2022 2023 2022
Outdoor $ —  $ 496  $ 242  $ 496 
Active —  1,478  434  1,478 
Work —  9  —  9 
Corporate and other 435  43,823  454  49,929 
Total $ 435  $ 45,806  $ 1,130  $ 51,912 
The activity in the restructuring accrual for the six-month period ended September 2023 was as follows:
(In thousands) Severance Other Total
Accrual at March 2023 $ 38,721  $ 6,545  $ 45,266 
Charges 676  —  676 
Cash payments and settlements (16,440) (4,380) (20,820)
Adjustments to accruals (3,015) (582) (3,597)
Impact of foreign currency (52) —  (52)
Accrual at September 2023 $ 19,890  $ 1,583  $ 21,473