Quarterly report pursuant to Section 13 or 15(d)

Restructuring

v2.4.0.6
Restructuring
 9 Months Ended
Oct. 31, 2011
Restructuring
8. Restructuring
 
No severance amounts are reported as a component of accrued liabilities on the Balance Sheet as of October 31, 2011 as follows:
 
(in thousands)
  
Severance
  
Accrual balance as of January 31, 2011
   $ 408  
Severence charges accrued
   $ 227  
Severance costs paid
     (635 )
Accrual balance as of October 31, 2011
   $ -  
 
On November 4, 2011, the Company took further actions to lower its cost structure in its Servers and Storage segment, resulting in a $300,000 severance charge during the fourth quarter of fiscal 2012, as it strives to improve its financial performance. On November 30, 2011, the Company announced that William C. Styslinger, III is retiring as Chairman and Chief Executive Officer effective December 8, 2011. In connection with his retirement, Mr. Styslinger and SeaChange entered into a separation agreement. Under the terms of the Separation Agreement, the Company will pay Mr. Styslinger two times his annual base salary in twelve equal monthly installments and pay for 24 months of Mr. Styslinger’s coverage under comparable medical and dental benefit plans to those by which Mr. Styslinger was covered immediately prior to the termination of his employment, resulting in a $1.0 million severance charge in the fourth quarter of fiscal 2012.