Restructuring and Other Charges

6 Months Ended

Jun. 30, 2021

Restructuring and Related Activities [Abstract]


	Second quarter ended				Six months ended
	June 30,				June 30,
	2021		2020		2021		2020
Layoff costs	$	2	$	54	$	2	$	76
Net reversals of previously recorded layoff reserves	(2)		(8)		(1)		(10)
Pension, Other post-retirement benefits and Deferred Compensation - net settlements (G)	3		64		6		64
Non-cash asset impairments	4		—		4		—
Net loss related to divestitures of assets and businesses (Q)	—		(7)		4		9
Other	(2)		2		(1)		5
Restructuring and other charges	$	5	$	105	$	14	$	144

In the second quarter and six months ended June 30, 2021, the Company recorded Restructuring and other charges of $5 and $14, respectively, which was primarily due to charges for pension plan settlements and exit related costs.

In the second quarter of 2020, the Company recorded Restructuring and other charges of $105, which included a $64 charge for pension plan settlements; a $54 charge for layoff costs; and a $2 charge for various other exit costs. These charges were partially offset by an $8 benefit from the reversal of several existing layoff reserves and a $7 benefit from the reversal of an impairment due to change in classification from held for sale to held for use related to an aerospace components business in the United Kingdom (U.K.).

In the six months ended June 30, 2020, the Company recorded Restructuring and other charges of $144, which included a $76 charge for layoff costs; a $64 charge for pension plan settlements; a $6 post-closing adjustment related to the sale of the Company’s U.K. forgings business (which was formerly part of the Engine Products segment); $5 for impairment of assets associated with an agreement to sell an aerospace components business in the U.K. (within the Engineered Structures segment); and a $5 charge for various other exit costs. These charges were partially offset by a benefit of $10 related to the reversal of prior period programs and a gain of $2 on the sale of assets.


	Layoff costs		Other exit costs		Total
Reserve balances at December 31, 2020	$	54	$	—	$	54
Cash payments	(32)		—		(32)
Restructuring charges	7		7		14
Other(1)	(8)		(7)		(15)
Reserve balances at June 30, 2021	$	21	$	—	$	21

(1)In the six months ended June 30, 2021, layoff costs included a $6 charge for pension plan settlements and a $2 charge for other layoffs costs; while other exit costs included a $4 charge for impairment of assets associated with the sale of a small manufacturing business and a $6 charge for other exit costs including accelerated depreciation, partially offset by a $3 favorable working capital related settlement.

The remaining Layoff cost reserves are expected to be paid in cash by the end of 2021.