Restructuring, Impairment, and Related Charges (Tables)

3 Months Ended

Jun. 30, 2021

Restructuring and Related Activities [Abstract]

Restructuring, Impairment, and Related Costs

Restructuring, impairment, and related charges during the three months ended June 30, 2021 consisted of the following:

	Three Months Ended June 30, 2021
(In millions)	U.S. Pharmaceutical (1)		Prescription Technology Solutions (1)		Medical-Surgical Solutions (1)		International (2)		Corporate (1)		Total
Severance and employee-related costs, net	$	2	$	—	$	—	$	12	$	—	$	14
Exit and other-related costs (3)	2		1		2		14		21		40
Asset impairments and accelerated depreciation	8		17		4		34		41		104
Total	$	12	$	18	$	6	$	60	$	62	$	158

(1)Costs primarily relate to the transition to the partial remote work model described above.

(2)Primarily represents costs related to the transition to the partial remote work model and U.K. operating model and cost optimization efforts described above, as well as costs for optimization programs in Canada.

(3)Exit and other-related costs primarily consist of accruals for costs to be incurred without future economic benefits, project consulting fees, and other exit costs expensed as incurred.

Restructuring, impairment, and related charges during the three months ended June 30, 2020 consisted of the following:

	Three Months Ended June 30, 2020
(In millions)	U.S. Pharmaceutical		Prescription Technology Solutions		Medical-Surgical Solutions		International (1)		Corporate (2)		Total
Severance and employee-related costs, net	$	1	$	—	$	—	$	17	$	20	$	38
Exit and other-related costs (3)	1		—		3		2		7		13
Asset impairments and accelerated depreciation	—		—		—		4		1		5
Total	$	2	$	—	$	3	$	23	$	28	$	56

(1)Primarily represents costs associated with the U.K. operating model and cost optimization efforts described above, and an operating model and cost optimization initiative which was substantially completed in the year ended March 31, 2021.

(2)Primarily represents costs associated with an operating model and cost optimization initiative which was substantially completed in the year ended March 31, 2021.

(3)Exit and other-related costs primarily include project consulting fees.

Schedule of Restructuring and Asset Impairment Charges

The following table summarizes the activity related to the restructuring liabilities associated with the Company’s restructuring initiatives for the three months ended June 30, 2021:

(In millions)	U.S. Pharmaceutical		Prescription Technology Solutions		Medical-Surgical Solutions		International		Corporate		Total
Balance, March 31, 2021 (1)	$	19	$	4	$	3	$	66	$	59	$	151
Restructuring, impairment, and related charges	12		18		6		60		62		158
Non-cash charges	(8)		(17)		(4)		(34)		(41)		(104)
Cash payments	(5)		(1)		(2)		(5)		(8)		(21)
Other	—		—		(1)		(3)		(3)		(7)
Balance, June 30, 2021 (2)	$	18	$	4	$	2	$	84	$	69	$	177

(1)As of March 31, 2021, the total reserve balance was $151 million, of which $99 million was recorded in “Other accrued liabilities” and $52 million was recorded in “Other non-current liabilities” in the Condensed Consolidated Balance Sheet.

(2)As of June 30, 2021, the total reserve balance was $177 million, of which $127 million was recorded in “Other accrued liabilities” and $50 million was recorded in “Other non-current liabilities” in the Condensed Consolidated Balance Sheet.