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Business realignment and acquisition integration charges
9 Months Ended
Mar. 31, 2022
Restructuring and Related Activities [Abstract]  
Business realignment and acquisition integration charges Business realignment and acquisition integration charges
We incurred business realignment and acquisition integration charges in the first nine months of fiscal 2022 and 2021. In both the first nine months of fiscal 2022 and 2021, business realignment charges included severance costs related to actions taken under the Company's simplification initiative aimed at reducing organizational and process complexity, as well as plant closures. During fiscal 2021, business realignment charges primarily consisted of actions taken to address the impact of COVID-19 on our business. A majority of the business realignment charges were incurred in North America and Europe. We believe the realignment actions will positively impact future results of operations, but will not have a material effect on liquidity and sources and uses of capital.
Business realignment charges presented in the Business Segment Information are as follows:
Three Months EndedNine Months Ended
 March 31,March 31,
 2022202120222021
Diversified Industrial$2,771 $4,139 $8,835 $31,247 
Aerospace Systems318 1,306 913 6,643 
Corporate general and administrative expenses— 156 — 954 
Other expense 63 63 1,226 
Workforce reductions in connection with business realignment charges in the Business Segment Information are as follows:
Three Months EndedNine Months Ended
 March 31,March 31,
 2022202120222021
Diversified Industrial50 65 133 741 
Aerospace Systems41 326 
Corporate general and administrative expenses— — 19 
The business realignment charges are presented in the Consolidated Statement of Income as follows:
Three Months EndedNine Months Ended
 March 31,March 31,
 2022202120222021
Cost of sales$1,757 $3,056 $4,468 $29,389 
Selling, general and administrative expenses1,332 2,545 5,280 9,455 
Other expense (income), net63 63 1,226 
During the first nine months of fiscal 2022, approximately $17 million in payments were made relating to business realignment charges. Remaining payments related to business realignment actions of approximately $7 million, a majority of which are expected to be paid by December 31, 2022, are primarily reflected within the other accrued liabilities caption in the Consolidated Balance Sheet. Additional charges may be recognized in future periods related to the business realignment actions described above, the timing and amount of which are not known at this time.
In addition to the business realignment charges discussed above, we also incurred $20 million of expense as a result of our exit of business operations in Russia. These charges primarily consist of write-downs of inventory and other working capital items and $8 million of foreign currency translation expense reclassified from accumulated other comprehensive income. Within the Business Segment Information, $7 million of expense was recorded in the other expense (income) caption, while the remainder of the charge was split evenly between the Aerospace Systems Segment and the Diversified Industrial International businesses.
We also incurred the following acquisition integration charges related to the fiscal 2020 acquisitions of LORD Corporation ("Lord") and Exotic Metals Forming Company ("Exotic"):
Three Months EndedNine Months Ended
 March 31,March 31,
 2022202120222021
Diversified Industrial$933 $2,631 $2,942 $9,495 
Aerospace Systems— 24 — 699 
In the first nine months of fiscal 2022, these charges were recorded in both cost of sales and selling, general and administrative expenses within the Consolidated Statement of Income. In fiscal 2021, these charges were primarily included in selling, general and administrative expenses within the Consolidated Statement of Income.