Exit and Disposal Activities

The Company has undertaken operational restructuring and other cost reduction actions to streamline processes and manage costs throughout various departments within the Company. The Company implemented cost reduction plans, which resulted in exit, disposal, and employee termination benefit costs, primarily resulting from planned reductions in workforce, facility consolidations and relocations, and lease termination costs, as further discussed below.

Interconnect Technologies

During 2017, Carlisle Interconnect Technologies initiated plans to relocate certain of its aerospace manufacturing operations in Littleborough, United Kingdom to an existing manufacturing operation. During the first quarter of 2017, CIT recognized $0.9 million of employee severance and benefit arrangement expenses. Total employee related expenses are expected to approximate $1.4 million, with expenses to be recognized through the third quarter of 2017.

As previously announced, CIT is incurring costs related to planned growth opportunities and long-term cost competitiveness improvements in the medical business. In the first quarter of 2017, we expensed an additional $0.6 million of employee termination benefits related to this action. The aggregate amount of cumulative expense recognized is $8.2 million through March 31, 2017, with total expected costs to be approximately $13.0 million, with the incremental expenses to be recognized through the second quarter of 2018. Cash payments will be incurred beginning in the first half of 2017 through the second quarter of 2018. Other associated costs are not expected to be significant.

Fluid Technologies

As previously announced, Carlisle Fluid Technologies is incurring costs related to the relocation of administrative functions and facilities within the U.S. and France. During the first quarter of 2017, we recognized $0.5 million of additional expenses, primarily employee related. The aggregate amount of cumulative expense recognized is $4.6 million through March 31, 2017, with total expected costs to be approximately $5.0 million. The remaining amounts will be incurred principally through the fourth quarter of 2017.

Brake & Friction

On February 9, 2017, the Company announced that it would exit its manufacturing operations in Tulsa, Oklahoma and relocate the majority of those operations to its existing manufacturing facility in Medina, Ohio. This action is expected to take approximately 18 months to complete. Total associated exit and disposal costs are expected to be between $16.5 million to $18.5 million, including:


•	Non-cash accelerated depreciation of long-lived assets at the Oklahoma facility, which is primarily property, plant and equipment that will not be transferred to Ohio (between $4.5 million to $6.0 million expected to be recognized ratably through the first quarter of 2019),


•	Costs to relocate and install equipment (between $5.5 million to $7.0 million, expected to be incurred primarily in the second half of 2018),


•	Employee retention and termination benefits (approximately $2.5 million, expected to be incurred ratably through the second half of 2018),


•	Other associated costs related to the closure of the facility and internal administration of the project (approximately $3.0 million, expected to be incurred primarily in the second half of 2018).

During the first quarter of 2017, the Company incurred $0.3 million of exit and disposal expenses, primarily related to other miscellaneous costs of managing the projects.

Consolidated Summary

The Company's exit and disposal expense by activity is as follows:



(in millions)	Three Months Ended March 31,
(in millions)	2017		2016
Employee severance and benefit arrangements	$	2.4	$	1.4
Relocation costs	0.3		—
Other restructuring costs	0.5		—
Total exit and disposal costs	$	3.2	$	1.4

The Company's exit and disposal activities expense by segment is as follows:



(in millions)	Three Months Ended March 31,
(in millions)	2017		2016
Carlisle Interconnect Technologies	$	2.3	$	—
Carlisle Fluid Technologies	0.5		1.1
Carlisle Brake & Friction	0.3		—
Corporate	0.1		0.3
Total exit and disposal costs	$	3.2	$	1.4

The Company's exit and disposal activities expense by financial statement line item is as follows:



(in millions)	Three Months Ended March 31,
(in millions)	2017		2016
Cost of goods sold	$	1.5	$	—
Selling and administrative expenses	1.3		1.4
Research and development expenses	0.1		—
Other income, net	0.3		—
Total exit and disposal costs	$	3.2	$	1.4

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



(in millions)	Carlisle Interconnect Technologies			Carlisle Fluid Technologies			Carlisle Brake & Friction			Corporate			Total
Balance at January 1, 2017	$	7.6		$	0.7		$	—		$	0.7		$	9.0
Charges	2.3			0.5			0.3			0.1			3.2
Cash payments	(0.8		)	(0.7		)	(0.3		)	(0.3		)	(2.1		)
Balance at March 31, 2017	$	9.1		$	0.5		$	—		$	0.5		$	10.1

The liability of $10.1 million primarily relates to employee severance and benefit arrangements, and is included in accrued expenses in the Consolidated Balance Sheet.