Supplemental Financial Statement Information - (Notes)

9 Months Ended

Sep. 30, 2021

Other Income and Expenses [Abstract]

Supplemental Financial Statement Information

Other income (expense), net for the three and nine months ended September 30, 2021 and 2020 was as follows:


(in millions)	Three months ended September 30,				Nine months ended September 30,
	2021		2020		2021		2020
Rent and royalty income	$	0.2	$	0.1	$	0.7	$	0.6
Gains from disposal of property, plant and equipment, net	0.1		0.8		2.5		3.3
Net equity income (loss) on joint ventures (See Note 6)	0.4		(1.0)		0.4		(6.6)
Joint venture restructuring charges (See Note 6)	—		—		—		(2.4)
Gain from sale of business (See Note 5)	13.7		—		13.7		—
Adjustment to indemnification for conditional ARO costs	—		—		—		4.3
Other	0.1		(0.3)		0.1		—
Total other income (expense), net	$	14.5	$	(0.4)	$	17.4	$	(0.8)

Gains from disposal of property, plant and equipment, net for the nine months ended September 30, 2020 included a $2.5 million gain on the sale of certain oil and gas rights. This cash gain was reported as an investing activity on the consolidated statement of cash flows for the nine months ended September 30, 2020 and is excluded from segment operating results.

In the second quarter of 2020, the Company finalized a settlement agreement for an indemnity claim concerning a conditional asset retirement obligation (ARO) with the buyer of a formerly-owned business and as a result, the Company reduced ARO reserves by $4.3 million.

Restructuring

Restructuring charges for the third quarter ended September 30, 2021 were a net credit of $2.3 million for a reduction in severance-related reserves related to approximately 50 employees based on changes in planned operating rates and revised workforce reduction estimates. Restructuring charges for the nine months ended September 30, 2021 were a net credit of $8.5 million, reflecting a $9.2 million reduction in severance-related reserves related to approximately 250 employees based on changes in planned operating rates and revised workforce reduction estimates, partially offset by $0.7 million of other costs related to facility idlings. These amounts were presented as restructuring charges/credits in the consolidated statements of operations and are excluded from segment EBITDA.

For the three and nine months ended September 30, 2020, the Company recorded restructuring charges of $2.3 million and $27.0 million, respectively, which are presented as restructuring charges/credits in the consolidated statements of operations and are excluded from segment EBITDA. These charges were a result of workforce right-sizing actions to better match the Company’s cost structure to expected demand, primarily as a result of economic challenges created by the COVID-19 pandemic. For the third quarter of 2020, these charges are comprised of severance obligations for the elimination of approximately 100 positions at several operating locations and the corporate office. For the nine months ended September 30, 2020, these charges also include severance obligations for the reduction of approximately 550 positions for both involuntary reductions and voluntary retirement incentive programs related to both salary and hourly employees in the HPMC segment in the second quarter of 2020 and the reduction of approximately 90 positions for a voluntary retirement incentive program completed in the first quarter of 2020 for eligible salaried employees, building on the previously announced restructuring program in the fourth quarter of 2019.

Restructuring reserves for severance cost activity is as follows:


	Severance and Employee
	Benefit Costs
Balance at December 31, 2020	$	43.4
Adjustments	(9.2)
Payments	(12.4)
Balance at September 30, 2021	$	21.8

The $21.8 million restructuring reserve balance at September 30, 2021 includes $13.4 million recorded in other current liabilities and $8.4 million recorded in other long-term liabilities on the consolidated balance sheet.