RESTRUCTURING INITIATIVES

3 Months Ended

Aug. 26, 2018

Restructuring Initiatives [Abstract]

Restructuring Initiatives

(3) Restructuring Initiatives

Restructuring, impairment, and other exit costs were as follows:

		Quarter Ended
In Millions		Aug. 26, 2018		Aug. 27, 2017
Charges (recoveries) associated with restructuring actions previously announced	$	(1.2)	$	17.5
Total	$	(1.2)	$	17.5

During the first quarter of fiscal 2019, we did not undertake any new restructuring actions. We recorded a $1.2 million net recovery of restructuring charges for previously announced restructuring actions, which included $2.8 million of restructuring charges offset by a $4.0 million recovery, compared to $17.5 million of restructuring charges in the first quarter of fiscal 2018. The restructuring charges relate to cost savings initiatives across all operating segments with the exception of Pet. We paid $17.7 million in cash relating to these actionsin the first quarter of fiscal 2019 and $26.7 million in the same period of fiscal 2018.These restructuring actions are expected to be completed by the end of fiscal 2019.

In addition to restructuring charges, we recorded $1.2 million of project-related costs in cost of sales in the first quarter of fiscal 2019 and $1.2 million in the first quarter of fiscal 2018. We paid $0.3 million in cash in the first quarter of fiscal 2019 and $2.7 million in the same period of fiscal 2018 for project-related costs.

Restructuring chargesand project-related costs are recorded in our Consolidated Statements of Earnings as follows:

		Quarter Ended
In Millions		Aug. 26, 2018		Aug. 27, 2017
Cost of sales	$	0.2	$	12.3
Restructuring, impairment, and other exit costs (recoveries)		(1.4)		5.2
Total restructuring charges (recoveries)		(1.2)		17.5
Project-related costs classified in cost of sales	$	1.2	$	1.2

The roll forward of our restructuring and other exit cost reserves, included in other current liabilities, is as follows:

In Millions		Severance		Contract Termination		OtherExit Costs		Total
Reserve balance as of May 27, 2018	$	66.0	$	0.1	$	0.7	$	66.8
Fiscal 2019 charges, including foreign currency translation		(4.8)		-		-		(4.8)
Utilized in fiscal 2019		(14.7)		(0.1)		-		(14.8)
Reserve balance as of Aug. 26, 2018	$	46.5	$	-	$	0.7	$	47.2

The charges recognized in the roll forward of our reserves for restructuring and other exit costs do not include items charged directly to expense (e.g., asset impairment charges, accelerated depreciation, the gain or loss on the sale of restructured assets, and the write-off of spare parts) and other periodic exit costs are recognized as incurred, as those items are not reflected in our restructuring and other exit cost reserves on our Consolidated Balance Sheets.