Building upon its previously completed 2018 Optimization Program, in March 2020 the Company announced that it was implementing a worldwide organizational restructuring (the “Revlon 2020 Restructuring Program”) designed to reduce the Company’s selling, general and administrative expenses, as well as cost of goods sold, improve the Company’s gross profit and Adjusted EBITDA and maximize productivity, cash flow and liquidity. The Revlon 2020 Restructuring Program includes rightsizing the organization and operating with more efficient workflows and processes. The leaner organizational structure is also expected to improve communication flow and cross-functional collaboration, leveraging the more efficient business processes.

As a result of the Revlon 2020 Restructuring Program, the Company expects to eliminate approximately 975 positions worldwide, including approximately 625 current employees and approximately 350 open positions of which approximately 915 were eliminated by December 31, 2020. In March 2020, the Company began informing certain employees that were affected by the Revlon 2020 Restructuring Program. While certain aspects of the Revlon 2020 Restructuring Program may be subject to consultations with employees, works councils, unions and/or governmental authorities, the Company substantially completed the employee-related actions in 2020 and expects to complete the other consolidation and outsourcing actions during 2021 and 2022.

In connection with implementing the Revlon 2020 Restructuring Program, the Company recognized during 2020 $68.8 million of total pre-tax restructuring and related charges (the “2020 Restructuring Charges”), consisting primarily of employee-related costs, such as severance, retention and other contractual termination benefits. The Company expects that substantially all of the restructuring and related charges under the Revlon 2020 Restructuring Program will be paid in cash, with $51.5 million of the total charges paid in 2020, with the remaining balance expected to be paid after 2020.



	Restructuring Charges and Other, Net
	Employee Severance and Other Personnel Benefits		Other Costs		Total Restructuring Charges		Leases (a)		Other Related Charges (b)		Total Restructuring and Related Charges

Cumulative charges incurred through December 31, 2020	$	48.6	$	1.9	$	50.5	$	12.6	$	5.7	$	68.8

(a) Lease-related charges are recorded within SG&A in the Company’s Consolidated Statement of Operations and Comprehensive Loss. These lease-related charges include: (i) $3.5 million for accelerated recognition of rent expense related to certain abandoned leases; (ii) $3.0 million for the disposal of leasehold improvements and other equipment in connection with certain leases; (iii) $5.2 million of rent expense related to the Revlon 2020 Restructuring Program; and (iv) $0.9 million of disposal of leasehold improvements and other equipment in connection with the abandoned leases identified in clause (i) of this footnote (a).

A summary of the 2020 Restructuring Charges incurred since its inception in March 2020 and through December 31, 2020 by reportable segment is presented in the following table:

In November 2018, the Company announced that it was implementing the 2018 Optimization Restructuring Program (the "2018 Optimization Program") designed to streamline the Company’s operations, reporting structures and business processes, with the objective of maximizing productivity and improving profitability, cash flows and liquidity. The 2018 Optimization Program was substantially completed by December 31, 2019.

As of December 31, 2020, restructuring and related charges under the 2018 Optimization Program expected to be paid in cash are approximately $31.8 million of the total $39.7 million of recorded charges, of which $30.7 million were already paid since the inception of the program and through December 31, 2020, with any residual balance expected to be paid during 2021.



	Restructuring Charges and Other, Net
	Employee Severance and Other Personnel Benefits(a)		Other Costs		Total Restructuring Charges		Inventory Adjustments(b)		Other Related Charges(c)		Total Restructuring and Related Charges
Charges incurred through December 31, 2019	$	20.3	$	0.3	$	20.6	$	4.9	$	14.0	$	39.5
Charges incurred during the year ended December 31, 2020	(0.6)		—		(0.6)		—		0.8		0.2
Cumulative charges incurred through December 31, 2020	$	19.7	$	0.3	$	20.0	$	4.9	$	14.8	$	39.7

A summary of the 2018 Optimization Restructuring Charges incurred since its inception in November 2018 and through December 31, 2020 by reportable segment is presented in the following table:



	Charges incurred during the year ended December 31, 2020		Cumulative charges incurred through December 31, 2020
Revlon	$	(0.3)	$	8.5
Elizabeth Arden	(0.1)		4.2
Portfolio	(0.1)		3.9
Fragrances	(0.1)		3.4
Total	$	(0.6)	$	20.0



							Utilized, Net
	Liability Balance at January 1, 2020		Expense, Net		Foreign Currency Translation		Cash		Non-cash		Liability Balance at December 31, 2020
Revlon 2020 Restructuring Program:
Employee severance and other personnel benefits	$	—	$	48.6	$	—	$	(36.0)	$	—	$	12.6
Other	—		1.9		—		(1.9)		—		—
Total Revlon 2020 Restructuring Program	—		50.5		—		(37.9)		—		12.6

2018 Optimization Program:
Employee severance and other personnel benefits	5.7		(0.6)		—		(4.0)		—		1.1

Total 2018 Optimization Program	5.7		(0.6)		—		(4.0)		—		1.1









Other immaterial actions:(a)
Employee severance and other personnel benefits	4.3		(0.2)		0.2		(4.2)		—		0.1


Total restructuring reserve	$	10.0	$	49.7	$	0.2	$	(46.1)	$	—	$	13.8

(a) The balance of other immaterial restructuring initiatives primarily consists of balances outstanding under the EA Integration Restructuring Program implemented by the Company in December 2016, which was completed by December 2018. The reversal of charges and payments made during the year ended December 31, 2020 primarily related to other individually and collectively immaterial restructuring initiatives.


							Utilized, Net
	Liability Balance at January 1, 2019		Expense, Net		Foreign Currency Translation		Cash		Non-cash		Liability Balance at December 31, 2019
2018 Optimization Program:
Employee severance and other personnel benefits	$	3.7	$	15.8	$	—	$	(13.8)	$	—	$	5.7
Other	—		0.3		—		(0.3)		—		—
Total 2018 Optimization Program	3.7		16.1		—		(14.1)		—		5.7

EA Integration Restructuring Program:
Employee severance and other personnel benefits	13.8		(1.9)		(0.2)		(7.7)		—		4.0
Other(a)	3.4		—		—		(0.3)		(3.5)		(0.4)
Total EA Integration Restructuring Program	17.2		(1.9)		(0.2)		(8.0)		(3.5)		3.6




Other immaterial actions:(b)
Employee severance and other personnel benefits	4.6		(1.4)		—		(1.8)		(1.1)		0.3
Other	0.9		—		—		(0.5)		—		0.4
Total other immaterial actions	5.5		(1.4)		—		(2.3)		(1.1)		0.7
Total restructuring reserve	$	26.4	$	12.8	$	(0.2)	$	(24.4)	$	(4.6)	$	10.0

(a) Non-cash utilization relates to approximately $3.5 million of lease termination liabilities related to certain exited office space that were adjusted following the implementation of ASC 842. See Note 5, "Property, Plant, and Equipment," for additional information.