Restructuring Activities

12 Months Ended

Dec. 31, 2023

Restructuring and Related Activities [Abstract]

The Company incurred restructuring and restructuring-related costs on projects during fiscal 2023, 2022 and 2021. The Company has initiated restructuring plans to achieve cost synergies from procurement, distribution efficiencies, footprint rationalization and other general cost savings measures. Restructuring costs include employee termination and plant relocation costs. Restructuring-related costs include costs directly associated with actions resulting from the Company's simplification initiatives, such as asset write-downs or accelerated depreciation due to shortened useful lives in connection with site closures, discretionary employment benefit costs and other facility rationalization costs. Restructuring costs for employee termination expenses are generally recognized when the severance liability is determined to be probable of being paid and reasonably estimable while plant relocation costs and related costs are generally required to be expensed as incurred.

The following is a reconciliation of provisions and payments for the restructuring projects for fiscal 2023 and fiscal 2022:


	December 31, 2023		December 31, 2022
Beginning Balance	$	15.1	$	5.0
Acquisition(1)	0.2		—
Provision(2)	42.2		46.8
Less: Payments	28.4		36.7
Ending Balance	$	29.1	$	15.1

(1) Excludes $12.4 million of severance related to the Altra Transaction, which was paid in the second quarter 2023.

(2) Excludes $19.3 million of accelerated depreciation incurred in 2023.

The following is a reconciliation of expenses by type for the restructuring projects in fiscal years 2023, 2022 and 2021:



	2023						2022						2021
Restructuring Costs:	Cost of Sales		Operating Expenses		Total		Cost of Sales		Operating Expenses		Total		Cost of Sales		Operating Expenses		Total
Severance Expense	$	12.1	$	15.2	$	27.3	$	25.1	$	6.4	$	31.5	$	6.4	$	1.2	$	7.6
Facility Related Costs	25.5		0.3		25.8		13.5		1.1		14.6		4.2		0.3		4.5
Other Expenses	7.8		0.6		8.4		0.3		0.4		0.7		1.6		0.3		1.9




Total Restructuring Costs	$	45.4	$	16.1	$	61.5	$	38.9	$	7.9	$	46.8	$	12.2	$	1.8	$	14.0

The following table shows the allocation of Restructuring Expenses by segment for fiscal years 2023, 2022 and 2021:


	Total		Industrial Powertrain Solutions		Power Efficiency Solutions		Automation & Motion Control		Industrial Systems
Restructuring Expenses - 2023	$	61.5	$	27.0	$	30.4	$	3.2	$	0.9
Restructuring Expenses - 2022	$	46.8	$	11.8	$	19.4	$	14.1	$	1.5
Restructuring Expenses - 2021	$	14.0	$	8.6	$	2.7	$	0.8	$	1.9

The Company expects to record aggregate future charges of approximately $38.0 million in 2024. The Company continues to evaluate operating efficiencies and anticipates incurring additional costs in future periods in connection with these activities.