Restructuring Restructuring (Notes)

12 Months Ended

Jan. 03, 2015

Restructuring and Related Activities [Abstract]

Restructuring and Related Activities Disclosure [Text Block]

Restructuring Activities

Beginning in 2013, the Company announced the closure of several of its manufacturing and warehouse facilities and consolidation into existing facilities to simplify manufacturing operations in its Commercial and Industrial Systems and Climate Solutions segments. As a result of these closures, the Company incurred expenses including employee termination and plant relocation costs. The employee termination expenses are accrued over the employees remaining service period while the plant relocation costs are expensed as incurred.

The following is a reconciliation of provisions and payments for the restructuring projects for 2014 and 2013 (in millions):

	January 3, 2015		December 28, 2013
Beginning balance	$	3.9	$	3.1
Provision	13.2		6.2
Less: Payments	11.0		5.4
Ending Balance	$	6.1	$	3.9

The following is a reconciliation of expenses by type for the restructuring projects in 2014 and 2013 (in millions):

	2014		2013
Employee termination expenses	$	6.5	$	2.2
Facility related costs	4.2		1.9
Other expenses	2.5		2.1
Total restructuring expenses	$	13.2	$	6.2

For fiscal 2014, restructuring charges of $12.9 million and $0.3 million were recorded in Cost of Sales and Operating Expenses, respectively. For fiscal 2013, restructuring charges of $5.4 million and $0.8 million were recorded in Cost of Sales and Operating Expenses, respectively, in the Consolidated Statements of Income.

The Company's current restructuring activities are expected to conclude by the end of 2015. The Company expects to record aggregate future charges of approximately $7.9 million which includes $3.1 million of employee termination expenses and $4.8 million of facility related and other costs.