Restructuring Charges/Other

6 Months Ended

Jun. 30, 2016

Restructuring And Related Activities [Abstract]

3. Restructuring charges/other

Restructuring charges/other are recognized in Other for segment reporting purposes.

Restructuring charges

For the three and six months ended June 30, 2016, we incurred restructuring charges of $2 million and $4 million, respectively, related to our plans to phase out a manufacturing facility in Greenock, Scotland, through the end of 2018. These charges were comprised of severance and benefits costs, as well as accelerated depreciation. Total restructuring charges, primarily severance and related benefit costs, are estimated to be about $40 million, of which $21 million has been recognized through June 30, 2016. The remaining charges are expected to be recognized through the end of 2018. As of June 30, 2016, no payments have been made related to the phase-out of the Scotland facility.

Restructuring balances

The restructuring accrual balances are primarily reported as a component of either Accrued expenses and other liabilities or Deferred credits and other liabilities on our Consolidated Balance Sheets, depending on the expected timing of payment. The $32 million balance as of December 31, 2015, was composed of $17 million related to the Scotland facility and $15 million related to prior actions. The $25 million balance as of June 30, 2016, is composed of $17 million related to the Scotland facility and $8 million related to prior actions.

Balance, December 31, 2015	$	32
Restructuring charges		4
Payments		(7	)
Non-cash items (a)		(4	)
Balance, June 30, 2016	$	25

(a) Reflects charges for impacts of accelerated depreciation and changes in exchange rates.