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Restructuring Charges
 9 Months Ended
Sep. 30, 2016
Restructuring and Related Activities [Abstract]  
Restructuring Charges Restructuring Charges
From time to time, the Company will incur costs related to restructuring actions in order to optimize our cost base and more strategically position ourselves based on the economic environment and customer demand. During the three and nine months ended September 30, 2016, we recognized restructuring charges of $6 million and $18 million, respectively. We incurred these charges primarily in an effort to reposition our European and North American businesses to optimize our cost structure and improve our operational efficiency and effectiveness. The charges included the reduction of headcount and consolidation of facilities within our Applied Water and Water Infrastructure segments, as well as Corporate headcount reductions.
During the three and nine months ended September 30, 2015, we recognized restructuring charges of $1 million and $5 million, respectively. We incurred these charges primarily in an effort to reposition our European and North American businesses to optimize our cost structure and improve our operational efficiency and effectiveness. The charges included the reduction of headcount and consolidation of facilities within our Water Infrastructure segment.
The following table presents the components of restructuring expense.
 
Three Months Ended
 
Nine Months Ended
 
September 30,
 
September 30,
(in millions)
2016
 
2015
 
2016
 
2015
By component:
 
 
 
 
 
 
 
Severance and other charges
$
6

 
$
1

 
$
18

 
$
6

Lease related charges
1

 
—

 
1

 
—

Reversal of restructuring accruals
(1
)
 
—

 
(1
)
 
(1
)
Total restructuring charges
$
6

 
$
1

 
$
18

 
$
5

 
 
 
 
 
 
 
 
By segment:
 
 
 
 
 
 
 
Water Infrastructure
$
5

 
$
1

 
$
12

 
$
5

Applied Water
1

 
—

 
4

 
—

      Corporate and other
—

 
—

 
2

 
—


The following table displays a rollforward of the restructuring accruals, presented on our Condensed Consolidated Balance Sheets within accrued and other current liabilities, for the nine months ended September 30, 2016 and 2015.
(in millions)
 
2016
 
2015
Restructuring accruals - January 1
 
$
3

 
$
12

Restructuring charges
 
18

 
5

Cash payments
 
(11
)
 
(11
)
Foreign currency and other
 
(1
)
 
(1
)
Restructuring accruals - September 30
 
$
9

 
$
5

 
 
 
 
 
By segment:
 
 
 
 
Water Infrastructure
 
$
4

 
$
2

Applied Water
 
—

 
—

Regional selling locations (a)
 
3

 
3

Corporate and other
 
2

 
—


(a)
Regional selling locations consist primarily of selling and marketing organizations that incurred restructuring expense which was allocated to the segments. The liabilities associated with restructuring expense were not allocated to the segments.
The following is a rollforward for the nine months ended September 30, 2016 and 2015 of employee position eliminations associated with restructuring activities.
 
 
2016
 
2015
Planned reductions - January 1
 
82

 
133

Additional planned reductions
 
364

 
87

Actual reductions
 
(296
)
 
(120
)
Planned reductions - September 30
 
150

 
100


Total expected costs associated with actions that commenced during 2016 are approximately $20 million for Water Infrastructure, including $11 million incurred during the nine months ended September 30, 2016. These costs primarily consist of severance charges. We currently expect activity related to these actions to continue through the end of 2017. Total expected costs associated with actions that commenced during 2016 are approximately $6 million for Applied Water, including $4 million incurred during the nine months ended September 30, 2016. These costs primarily consist of severance charges. We currently expect activity related to these actions to continue through the end of 2017. Total expected costs associated with actions that commenced during 2016 are approximately $2 million for Corporate, which we incurred during the nine months ended September 30, 2016. These costs primarily consist of severance charges.
Total expected costs associated with actions that commenced during 2015 are approximately $5 million for Water Infrastructure. Approximately $4 million of the expected cost was incurred in 2015 and $1 million was incurred during the nine months ended September 30, 2016. These costs primarily consist of severance charges and substantially all of the costs associated with these actions have been incurred. Total expected costs associated with actions that commenced during 2015 are approximately $1 million for Applied Water. These costs primarily consist of severance charges and substantially all of the costs associated with these actions were incurred in 2015.