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Restructuring And Cost Reduction Programs
 12 Months Ended
Dec. 31, 2019
Restructuring And Cost Reduction Programs [Abstract]  
Restructuring And Cost Reduction Programs 15. Restructuring and Cost Reduction Programs

Our restructuring and cost reduction programs have been developed with the objective of realigning the business and lowering our cost structure. Total restructuring charges resulting from these activities were $11.0 million in 2019, $7.1 million in 2018, and $7.0 million in 2017, which are reported in Restructuring and impairment charges in our consolidated statement of operations. As discussed in Note 4, our Tile Coatings business was classified as held-for-sale. As such, the restructuring costs pertaining to the Tile Coatings business of $1.9 million in 2019, $6.2 million in 2018, and $2.8 million in 2017 are reported in Income (loss) from discontinued operations, net of taxes.

2019 Restructuring Plan

In the second quarter of 2019, we developed and initiated a program across the organization with the objective of realigning the business and lowering our cost structure. The program involves our global operations and certain functions and initiatives to increase operational efficiencies, some of which is associated with integration of our recent acquisitions. As a result of the actions, the Company expects to incur total charges of approximately $7.6 million, substantially all of which will be for severance costs. 

Global Cost Reduction Program

In 2013, we initiated a Global Cost Reduction Program that was designed to address three key areas of the company: (1) business realignment, (2) operational efficiency and (3) corporate and back office functions. Business realignment was targeted at right-sizing our commercial management organizations globally. The operational efficiency component of the program was designed to improve the efficiency of our plant operations and supply chain. The corporate and back office initiative is principally comprised of work that we are doing with our strategic partners in the areas of finance and accounting and information technology outsourcing. In 2019, the restructuring charges primarily relate to costs associated with integration of our recent acquisitions and optimization programs.

The charges associated with these restructuring programs are summarized by major type below:

Employee

Severance

Other Costs

Total

(Dollars in thousands)

Expected restructuring charges:

Global Optimization Program

$

7,500

76

$

7,576

Total expected restructuring charges

$

7,500

$

76

$

7,576

Restructuring charges incurred:

Global Optimization Program

$

3,701

3,256

$

6,957

Charges incurred in 2017

$

3,701

$

3,256

$

6,957

Global Optimization Program

3,560

3,556

7,116

Charges incurred in 2018

$

3,560

$

3,556

$

7,116

Global Optimization Program

7,163

3,792

10,955

Charges incurred in 2019

$

7,163

$

3,792

$

10,955

Cumulative restructuring charges incurred:

Global Optimization Program

44,251

33,062

77,313

Cumulative restructuring charges incurred as of December 31, 2019

$

44,251

$

33,062

$

77,313

The charges associated with the restructuring programs are summarized by segments below:

Total

Cumulative

Expected

Charges To

Charges

2019

2018

2017

Date

(Dollars in thousands)

Performance Colors and Glass

$

169

$

(5)

$

23

$

3,744

$

26,927

Color Solutions

100

124

148

1,250

4,461

Segment Total

269

119

171

4,994

31,388

Corporate Restructuring Charges

7,307

10,836

6,945

1,963

45,925

Total Restructuring Charges

$

7,576

$

10,955

$

7,116

$

6,957

$

77,313

The activities and accruals related to our global optimization programs are below:

Employee

Severance

Other Costs

Total

(Dollars in thousands)

Balance at December 31, 2016

$

209

$

1,489

$

1,698

Restructuring charges

$

3,701

$

3,256

6,957

Cash payments

(2,797)

(500)

(3,297)

Non-cash items

196

(3,255)

(3,059)

Balance at December 31, 2017

$

1,309

$

990

$

2,299

Restructuring charges

$

3,560

$

3,556

$

7,116

Cash payments

(3,678)

(597)

(4,275)

Non-cash items

(180)

(3,117)

(3,297)

Balance at December 31, 2018

$

1,011

$

832

$

1,843

Restructuring charges

7,163

3,792

$

10,955

Cash payments

(6,987)

(1,831)

(8,818)

Non-cash items

(440)

(1,301)

(1,741)

Balance at December 31, 2019

$

747

$

1,492

$

2,239

We expect to make cash payments to settle the remaining liability for employee severance benefits and other costs over the next twelve months, except where legal or contractual obligations would require it to extend beyond that period.