Reorganization and Restructuring

9 Months Ended

Sep. 30, 2015

Restructuring and Related Activities [Abstract]

Reorganization and Restructuring

Reorganization and Restructuring

2015 Reorganization and Restructuring

Brink's initiated a global restructuring of its business in the third quarter of 2015. We recognized $2.0 million in third quarter 2015 costs related to contract terminations, employee severance and property impairment associated with the restructuring. We expect to recognize between $8 and $12 million of additional restructuring costs. The 2015 Reorganization and Restructuring is expected to reduce the global workforce by approximately 1,000 to 1,200 positions and is projected to result in $25 to $35 million in 2016 cost savings.

The following table summarizes the costs incurred and payments and utilization of our 2015 Reorganization and Restructuring accruals:

(In millions)	Severance Costs		Contract Terminations	Impairments		Total
Balance as of July 1, 2015	$	—	—	—		—
Expense	0.3		1.5	0.2		2.0
Payments and utilization	—		—	(0.2	)	(0.2	)
Foreign currency exchange effects	—		—	—		—
Balance as of September 30, 2015	$	0.3	1.5	—		1.8

2014 Reorganization and Restructuring

In the fourth quarter of 2014, we announced a reorganization and restructuring of Brink’s global organization (“2014 Reorganization and Restructuring”) to accelerate the execution of our strategy by reducing costs and providing for a more streamlined and centralized organization. As part of this program, we reduced our total workforce by approximately 1,700 positions. We believe the restructuring will save annual direct costs of approximately $45 to $50 million in 2015 compared to 2014, excluding severance costs and charges related to lease terminations. The actions under this program are expected to be completed by the end of 2015 with cumulative pretax charges estimated to be approximately $23 million, primarily representing severance costs. In the first nine months of 2015, we recognized charges related to lease terminations of $1.3 million and a net reversal of severance costs of $(0.1) million related to the 2014 Reorganization and Restructuring.

The following table summarizes the costs incurred and payments and utilization of our 2014 Reorganization and Restructuring accruals:

(In millions)	Severance Costs			Lease Terminations		Total
Balance as of January 1, 2015	$	21.4		—		21.4
Expense (benefit)	(0.1		)	1.3		1.2
Payments and utilization	(16.9		)	(0.8	)	(17.7	)
Foreign currency exchange effects	(1.1		)	—		(1.1	)
Balance as of September 30, 2015	$	3.3		0.5		3.8