Exit and Disposal Activities

12 Months Ended

Dec. 31, 2021

Restructuring and Related Activities [Abstract]

Exit and Disposal Activities

Exit and Disposal Activities 

The Company has undertaken operational restructuring and other cost reduction actions to streamline processes and manage costs throughout various departments. These actions resulted in exit, disposal and employee termination benefit costs, primarily resulting from planned reductions in workforce, facility consolidation and relocation, and lease termination costs. The primary actions are discussed below by operating segment.

CIT

During the third quarter of 2021, the Company initiated plans to exit its manufacturing operations in Carlsbad, California, and relocate the majority of those operations to its existing facilities in North America. The project is estimated to take a remaining 12 to 15 months to complete. During the year ended December 31, 2021, exit and disposal costs totaled $1.5 million, primarily for employee termination benefit costs, facility cleanup costs and accelerated depreciation. Total exit and disposal costs are expected to approximate $4.6 million, with approximately $3.1 million costs remaining to be incurred, primarily in 2022.

During the third quarter of 2020, the Company initiated plans to exit its manufacturing operations in Kent, Washington, as a result of market declines from the coronavirus pandemic ("COVID-19"). Select operations are being relocated to existing facilities primarily in North America. The project is substantially complete with cumulative exit and disposal costs of $14.2 million, primarily for employee termination benefit costs and inventory write-offs, recognized through December 31, 2021.

The Company has completed its project to relocate its aerospace connectors manufacturing operations in El Segundo, California, and Riverside, California, to existing lower cost operations in North America. During the year ended December 31, 2020, exit and disposal costs totaled $2.3 million, primarily for facility clean up, travel and employee termination benefit costs. Cumulative exit and disposal costs of $10.9 million were recognized through December 31, 2020.

Consolidated Summary

The Company's exit and disposal costs by activity follows:

(in millions)	2021		2020		2019
Accelerated depreciation and impairments	$	6.8	$	0.6	$	0.2
Employee severance and benefit arrangements	6.7		13.9		7.3
Relocation costs	0.9		0.3		0.9
Facility cleanup costs	(0.5)		2.5		—
Other restructuring costs	3.7		1.7		3.1
Total exit and disposal costs	$	17.6	$	19.0	$	11.5

The Company's exit and disposal costs by segment follows:

(in millions)	2021		2020		2019
Carlisle Interconnect Technologies	$	13.2	$	14.3	$	8.5
Corporate	3.4		—		—
Carlisle Fluid Technologies	0.6		3.7		2.7
Carlisle Construction Materials	0.4		1.0		0.3
Total exit and disposal costs	$	17.6	$	19.0	$	11.5

The Company's exit and disposal costs by financial statement line item follows:

(in millions)	2021		2020		2019
Cost of goods sold	$	9.7	$	12.4	$	5.0
Selling and administrative expenses	4.5		5.9		5.6
Research and development expenses	0.2		0.3		0.1
Other operating expense, net	3.2		0.4		0.8
Total exit and disposal costs	$	17.6	$	19.0	$	11.5

The Company's change in exit and disposal activities liability follows:

(in millions)	Total
Balance as of December 31, 2020	$	6.1
Charges	17.6
Settlements	(17.2)
Balance as of December 31, 2021	$	6.5

The liability of $6.5 million as of December 31, 2021, primarily relates to employee severance and benefit arrangements and is included in accrued and other current liabilities.