Symantec 2008 Annual Report Download - page 184

2008 Restructuring Plan
In fiscal 2008, management approved and initiated a restructuring plan to reduce costs, implement manage-
ment structure changes and optimize the business structure and discontinue certain products. Projects within the
plan began in the third quarter of fiscal 2008 and are expected to be completed by the fourth quarter of fiscal 2009.
Charges in fiscal 2008 related to these events primarily consist of severance and other benefit costs. Total remaining
costs of the restructuring plan, consisting of severance and benefits and excess facilities costs, are estimated to range
between approximately $80 million and $110 million.
2007 Restructuring Plans
In fiscal 2007, we entered into restructuring plans to consolidate facilities and reduce operating costs through
headcount reductions. Charges in fiscal 2008 related to these events consist of severance and other benefits and
excess facility costs. Employee terminations occurred in the Americas, EMEA and Asia Pacific. Charges in fiscal
2007 were $69 million in severance and other benefits. Facilities charges in fiscal 2007 were not material. As of
March 28, 2008, the majority of employees had been terminated and future severance costs are not expected. The
Company consolidated certain facilities and exited facilities related to earlier acquisitions. Facility charges in fiscal
2008 primarily relate to exited facilities located in California. Excess facilities obligations are expected to be paid
through the second quarter of fiscal 2010. Future costs for exited facilities associated with these events are not
expected to be significant.
Prior and Acquisition-Related Restructuring Plans
Fiscal Years 2002-2006. In fiscal 2006, management entered into restructuring plans to reduce job redun-
dancy in the Americas, Europe and Asia Pacific and to consolidate certain facilities in Europe and Asia Pacific. As a
result, the Company recognized both severance and other benefits and excess facilities costs. Charges recognized in
fiscal 2007 and fiscal 2008 related to these plans were not significant. Charges recognized in fiscal 2006 reflect
$18 million in severance and benefit costs and $7 million in excess facility costs related to exited facilities located in
Texas and the United Kingdom. Restructuring liabilities related to these events as of March 28, 2008 and March 30,
2007 were both $3 million and are expected to be paid through the fourth quarter of fiscal 2018.
Acquisition-Related. Restructuring liabilities related to acquisitions as of March 28, 2008 were $8 million,
consisting primarily of excess facilities obligations. During fiscal 2008, $7 million in charges for severance and
other benefits, primarily related to the Altiris acquisition and charges for excess facilities relate to both the Vontu
and Altiris acquisitions. Of the $8 million restructuring liability, $7 million relates to excess facilities resulting from
the Vontu acquisition and the restructuring accrual which the Company assumed in our Veritas acquisition in 2005.
Further severance and benefit charges are not expected to be recognized in future periods. Excess facilities
obligations are expected to be paid through the second quarter of fiscal 2011 and the first quarter of fiscal 2013 for
Altiris and Vontu facilities, respectively. Excess facilities obligations related to the Veritas restructurings are
expected to be paid through the first quarter of fiscal 2014.
Restructuring liabilities related to acquisitions as of March 30, 2007 were $6 million, consisting primarily of
excess facilities obligations primarily related to the Veritas acquisition described above. There were no restruc-
turing charges related to acquisitions during fiscal 2006 and fiscal 2007 as the amounts were recognized in the
purchase price allocations.
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SYMANTEC CORPORATION
Notes to Consolidated Financial Statements — (Continued)