Quarterly report pursuant to Section 13 or 15(d)

RESTRUCTURING

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RESTRUCTURING
 6 Months Ended
Oct. 01, 2022
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 2022, VF recognized $45.8 million and $51.9 million, respectively, of restructuring charges, related to approved initiatives. Of the restructuring charges recognized in the three and six months ended September 2022, $43.8 million and $48.5 million were reflected in selling, general and administrative expenses and $2.0 million
and $3.4 million in cost of goods sold, respectively. The Company has not recognized any significant incremental costs related to accruals for the year ended March 2022 or prior periods.
Of the $50.4 million total restructuring accrual at September 2022, $47.8 million is expected to be paid out within the next 12 months and is classified within accrued liabilities. The remaining $2.6 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) 2022 2021 2022 2021
Severance and employee-related benefits $ 37,464  $ 1,422  $ 39,558  $ 4,296 
Accelerated depreciation 3,583  2,036  7,251  3,467 
Contract termination and other 4,759  —  5,103  — 
Total restructuring charges $ 45,806  $ 3,458  $ 51,912  $ 7,763 
Restructuring costs by business segment are as follows:
Three Months Ended September Six Months Ended September
(In thousands) 2022 2021 2022 2021
Outdoor $ 496  $ 454  $ 496  $ 2,677 
Active 1,478  276  1,478  1,008 
Work 9  788  9  788 
Corporate and other 43,823  1,940  49,929  3,290 
Total $ 45,806  $ 3,458  $ 51,912  $ 7,763 
The activity in the restructuring accrual for the six-month period ended September 2022 was as follows:
(In thousands) Severance Other Total
Accrual at March 2022 $ 25,640  $ 1,211  $ 26,851 
Charges 39,558  5,103  44,661 
Cash payments and settlements (17,938) (84) (18,022)
Adjustments to accruals (2,777) 53  (2,724)
Impact of foreign currency (260) (140) (400)
Accrual at September 2022 $ 44,223  $ 6,143  $ 50,366