RESTRUCTURING AND IMPAIRMENT CHARGES

3 Months Ended

Mar. 31, 2019

Restructuring and Related Activities [Abstract]

We implemented various cost reduction initiatives to improve our operating cost structures in the periods presented. These cost initiatives have, among other actions, included workforce reductions and the closure or consolidation of certain operations. Except for the 2018 Restructuring Plan discussed below, none of these initiatives has individually resulted in a material charge to earnings.

In December 2018, we committed to a restructuring plan primarily associated with our Home Furniture Group and Fashion Bed business, both of which report within the Furniture Products segment.

Our Home Furniture Group (which produces furniture components for the upholstered furniture industry) and Fashion Bed business (which supplies ornamental beds, bed frames and other accessories sold to retailers) have underperformed expectations primarily from weaker demand and higher raw material costs. Accordingly, we are exiting low margin business, reducing operating costs and eliminating excess capacity in our Home Furniture business which should be substantially complete by the end of the second quarter 2019. In late March, we announced the closure of the Fashion Bed business which should be substantially complete by the end of the third quarter 2019.

We previously disclosed costs for these activities would approximate $33.0. This estimate remains materially unchanged. To date we have incurred $22.6 of costs, and we expect to incur $10.4 during the remainder of the year. The following table presents information associated with this plan:



	Total Amount Incurred to Date		Three Months Ended March 31, 2019		Total Incurred Full Year 2018
2018 Restructuring Plan
Restructuring and restructuring-related	$	14.8	$	3.6	$	11.2
Impairment costs associated with this plan	7.8		2.7		5.1
	$	22.6	$	6.3	$	16.3
Amount of total that represents cash charges	$	8.1	$	1.2	$	6.9

The table below presents all restructuring and restructuring-related activity for the periods presented; the majority of the 2019 costs are related to the 2018 Restructuring Plan:



	Three Months Ended March 31,
	2019		2018
Charged to other (income) expense, net:
Severance and other restructuring costs	$	1.2	$	.1
Charged to cost of goods sold:
Inventory obsolescence and other	2.4		.1
Total restructuring and restructuring-related costs	$	3.6	$	.2
Amount of total that represents cash charges	$	1.2	$	.1

Restructuring and restructuring-related charges by segment were as follows:



	Three Months Ended March 31,
	2019		2018
Residential Products	$	.1	$	—
Industrial Products	—		.2
Furniture Products	3.5		—
Total	$	3.6	$	.2

The accrued liability associated with our total restructuring initiatives consisted of the following:



	Balance at December 31, 2018		Add: 2019 Charges		Less: 2019 Payments		Balance at March 31, 2019
Termination benefits	$	6.6	$	1.2	$	1.2	$	6.6
Other restructuring costs	.6		—		.1		.5
	$	7.2	$	1.2	$	1.3	$	7.1

Impairment charges

Impairment charges are reported in "Impairments" in the Consolidated Condensed Statements of Operations and are summarized in the following table:



	Three Months Ended March 31,
	2019		2018
	Other Long-Lived Assets Impairments		Other Long-Lived Assets Impairments
Residential Products	$	.2	$	—
Industrial Products	—		.2
Furniture Products	2.7		—
Total impairment charges	$	2.9	$	.2

We test other long-lived assets for recoverability at year end and whenever events or changes in circumstances indicate that the carrying value may not be recoverable. Fair value and the resulting impairment charges noted above were based primarily upon offers from potential buyers or third party estimates of fair value less selling costs and estimated future cash flows.