Notes to Consolidated Financial Statements

Note 6:
Accrued Purchase Costs

In conjunction with purchase acquisitions, the Company accrues certain direct external costs associated with closing redundant facilities of acquired companies, and severance and relocation payments to the acquired company's employees.

The following tables set forth activity in the Company's accrued purchase liabilities:

(1)Accrued purchase costs primarily relate to consolidating acquired operations into existing Company facilities. All consolidation projects are planned to be completed within two years of the acquisition date. Remaining balances primarily represent international consolidation plans.