Restructuring Activities And Related Impairments

12 Months Ended

Dec. 31, 2021

Restructuring and Related Activities [Abstract]

Restructuring Activities And Related Impairments

RESTRUCTURING ACTIVITIES AND RELATED IMPAIRMENTS

Restructuring Activities

The Company’s restructuring activities are undertaken as necessary to implement management’s strategy, streamline operations, take advantage of available capacity and resources, and ultimately achieve net cost reductions. These activities generally relate to the realignment of existing manufacturing capacity and closure of facilities and other exit or disposal activities, as it relates to executing the Company’s strategy, either in the normal course of business or pursuant to significant restructuring programs.

The related liability which is included in accrued liabilities in the Consolidated Balance Sheets is summarized below ($ in millions):

	Employee Severance and Related		Facility Exit and Related		Total
Balance, December 31, 2020	$	17.8	$	5.2	$	23.0
Costs incurred	27.6		6.2		33.8
Paid/settled	(24.0)		(10.9)		(34.9)
Balance, December 31, 2021	$	21.4	$	0.5	$	21.9

Restructuring related charges recorded for the years ended December 31 by segment were as follows ($ in millions): 

	2021		2020		2019
Specialty Products & Technologies	$	25.2	$	43.8	$	6.5
Equipment & Consumables	32.1		34.6		4.2
Other	6.3		6.0		—
Total	$	63.6	$	84.4	$	10.7

The restructuring related charges incurred during the years ended December 31, are reflected in the following captions in the accompanying Consolidated and Combined Statements of Operations ($ in millions):

	2021		2020		2019
Cost of sales	$	35.9	$	18.3	$	2.5
Selling, general and administrative expenses	27.7		66.1		8.2
Total	$	63.6	$	84.4	$	10.7

Impairments

During the year ended December 31, 2021, the Company made the decision to consolidate certain facilities in an effort to improve its cost structure. The Company recognized a non-cash loss of $29.8 million. The majority of this loss included $19.0 million related to the impairment of certain fixed assets and leases, which are included in selling, general and administrative expense and cost of sales and $10.8 million of inventory write-offs, which is included in cost of sales.

During the year ended December 31, 2020, the Company also initiated other restructuring related activities to restructure its portfolio and improve its cost structure and recognized a non-cash loss of $26.8 million related primarily to long-lived assets, including intangible assets, which is substantially included in selling, general and administrative expenses.