Restructuring

In the three and nine months ended September 30, 2018, the Company recorded restructuring charges of $5.2 million and $5.4 million, respectively, related to the acquisition of Crane Currency and the 2017 repositioning actions described below.

Acquisition-Related Restructuring

In the third quarter of 2018, the Company recorded pre-tax restructuring charges of $0.7 million all of which were severance-related cash costs associated with the January 2018 acquisition of Crane Currency in the Company's Payment & Merchandising Technologies segment. These actions are related to the closure of Crane Currency’s printing operations in Sweden, which will be transitioned to a new print facility in Malta. The Company expects these actions to result in workforce reductions of approximately 170 employees, or less than 2% of the Company’s global workforce.

The Company expects to incur additional restructuring and related charges of $2.4 million in 2018 and $2.6 million in 2019 to complete these actions. The Company expects recurring pre-tax savings subsequent to initiating all actions to approximate $23 million annually.

2017 Repositioning

During the fourth quarter of 2017, the Company initiated broad-based repositioning actions designed to improve profitability. These actions include headcount reductions of approximately 300 employees, or about 3% of the Company’s global workforce, and select facility consolidations in North America and Europe.

Restructuring charges included severance and other costs related to the consolidation of certain manufacturing operations, all of which are cash costs. The following table summarizes the restructuring charges by business segment for the nine months ended September 30, 2018:



	Severance				Other						Total
(in millions)	Nine Months Ended September 30, 2018		Cumulative		Nine Months Ended September 30, 2018			Cumulative			Nine Months Ended September 30, 2018			Cumulative
Fluid Handling	$	4.9	$	15.5	$	—		$	—		$	4.9		$	15.5
Payment & Merchandising Technologies	0.1		12.3		0.4			0.4			0.5			12.7
Aerospace & Electronics	—		1.3		(0.7		)	(0.7		)	(0.7		)	0.6
	$	5.0	$	29.1	$	(0.3	)	$	(0.3	)	$	4.7		$	28.8

Related to the 2017 repositioning actions, the Company recorded $1.4 million and $3.7 million of additional costs associated with facility consolidations in the three and nine months ended September 30, 2018, respectively.

To complete these actions, the Company expects to incur a total of $21.0 million of restructuring and facility consolidation related charges from 2018 to 2020 in each of the segments as follows:



(in millions)	2018		2019			2020		Total
Fluid Handling	$	9.9	$	4.5		$	1.6	$	16.0
Payment & Merchandising Technologies	4.5		(3.2		)	—		$	1.3
Aerospace & Electronics	0.6		3.1			—		$	3.7
	$	15.0	$	4.4		$	1.6	$	21.0

The following table summarizes the expected costs by nature of costs and year:



(in millions)	2018		2019			2020		Total
Restructuring	$	7.6	$	(1.2	)	$	—	$	6.4
Facility consolidation	7.4		5.6			1.6		14.6
	$	15.0	$	4.4		$	1.6	$	21.0

The Company expects recurring pre-tax savings subsequent to initiating all actions to approximate $30 million annually.

The following table summarizes the accrual balances related to these restructuring charges:



(in millions)	Balance at December 31, 2017		Expense (Gain) ⁽¹⁾			Utilization			Balance at September 30, 2018
Fluid Handling
Severance	$	10.6	$	4.9		$	(1.4	)	14.1
Other	—		—			—			—
Total Fluid Handling	$	10.6	$	4.9		$	(1.4	)	$	14.1

Payment & Merchandising Technologies
Severance	$	12.2	$	0.1		$	(2.1	)	10.2
Other	—		0.4			(0.4		)	—
Total Payment & Merchandising Technologies	$	12.2	$	0.5		$	(2.5	)	$	10.2

Aerospace & Electronics
Severance	$	1.3	$	—		$	(0.4	)	$	0.9
Other	—		(0.7		)	0.7			—
Total Aerospace & Electronics	$	1.3	$	(0.7	)	$	0.3		$	0.9
Total Restructuring	$	24.1	$	4.7		$	(3.6	)	$	25.2

(1) Reflected in the Condensed Consolidated Statements of Operations as “Restructuring (gains) charges”