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Restructuring and Related Charges
 6 Months Ended
Jun. 29, 2018
Restructuring and Related Activities [Abstract]  
Restructuring and Related Charges
6.
Restructuring and Related Charges
In July 2016, the Company's Board of Directors approved a $100.0 million to $125.0 million restructuring program ("the 2016 Mallinckrodt Program") designed to further improve the Company's cost structure as it continues to transform the business. The 2016 Mallinckrodt Program is expected to include actions across both the Specialty Brands segment and the Specialty Generics Disposal Group, as well as within corporate functions. There is no specified time period associated with the 2016 Mallinckrodt Program.
In February 2018, the Company's Board of Directors approved a $100.0 million to $125.0 million restructuring program ("the 2018 Mallinckrodt Program") that is of similar design as the 2016 Mallinckrodt Program. The utilization of the 2018 Mallinckrodt Program will commence upon completion of the 2016 Mallinckrodt Program. There is no specified time period associated with the 2018 Mallinckrodt Program.
In addition to the 2016 and 2018 Mallinckrodt Programs, the Company takes certain restructuring actions to generate synergies from its acquisitions.
Net restructuring and related charges reflected in continuing operations by segment are as follows:
 
Three Months Ended
 
Six Months Ended
 
June 29,
2018
 
June 30,
2017
 
June 29,
2018
 
June 30,
2017
Specialty Brands
$
53.4

 
$
0.3

 
$
70.5

 
$
9.5

Corporate
5.3

 
0.7

 
11.3

 
2.8

Restructuring and related charges, net
58.7

 
1.0

 
81.8

 
12.3

Less: accelerated depreciation
—

 
(0.4
)
 
—

 
(1.4
)
Restructuring charges, net
$
58.7

 
$
0.6

 
$
81.8

 
$
10.9



Net restructuring and related charges reflected in continuing operations by program are comprised of the following:
 
Three Months Ended
 
Six Months Ended
 
June 29,
2018
 
June 30,
2017
 
June 29,
2018
 
June 30,
2017
2016 Mallinckrodt Program
$
52.3

 
$
1.0

 
$
55.4

 
$
12.3

Acquisition programs
6.4

 
—

 
26.4

 
—

Total
58.7

 
1.0

 
81.8

 
12.3

Less: accelerated depreciation
—

 
(0.4
)
 
—

 
(1.4
)
Total charges expected to be settled in cash
$
58.7

 
$
0.6

 
$
81.8

 
$
10.9



The following table summarizes cash activity for restructuring reserves reflected in continuing operations, substantially all of which are related to contract termination costs and employee severance and benefits:
 
2016 Mallinckrodt Program
 
Acquisition Programs
 
Total
Balance at December 29, 2017
$
14.1

 
$
0.8

 
$
14.9

Charges
56.8

 
26.8

 
83.6

Changes in estimate
(1.4
)
 
(0.4
)
 
(1.8
)
Cash payments
(8.1
)
 
(17.8
)
 
(25.9
)
Balance at June 29, 2018
$
61.4

 
$
9.4

 
$
70.8



Total Company net restructuring and related charges, including associated asset impairments, incurred cumulative-to-date related to the 2016 Mallinckrodt Program was as follows:
 
2016 Mallinckrodt Program
Specialty Brands
$
80.0

Corporate
16.9

Specialty Generics Disposal Group
14.3

 
$
111.2


On January 8, 2018, the Company announced that it would discontinue marketing of Raplixa® after an evaluation of strategic options. During the three months ended June 29, 2018, the Company incurred restructuring expenses of $48.1 million under the 2016 Mallinckrodt Program, consisting primarily of contract termination costs related to the production of Raplixa. Amounts paid in the future may differ from the amount currently recorded.
All of the restructuring reserves were included in accrued and other current liabilities on the Company's unaudited condensed consolidated balance sheets.