Restructuring Charges/Other

9 Months Ended

Sep. 30, 2017

Restructuring And Related Activities [Abstract]

3. Restructuring charges/other

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

Restructuring charges

Beginning January 2017, we reorganized the product lines within our two reportable segments. We recognized $18 million of restructuring charges for severance and benefit costs in the fourth quarter of 2016 and an additional $3 million in the first half of 2017. Any further charges are not expected to be material. As of September 30, 2017, $10 million has been paid to terminated employees for severance and benefits.

For the three and nine months ended September 30, 2017, we incurred restructuring charges of $1 million and $5 million, respectively, related to the phase-out of a manufacturing facility in Greenock, Scotland. These charges were primarily comprised of severance and benefits costs, as well as accelerated depreciation. Total restructuring charges, primarily severance and benefit costs, are estimated to be about $40 million, of which $29 million has been recognized through September 30, 2017. The remaining charges are expected to be recognized through 2019.

Changes in accrued restructuring balances

Balance, December 31, 2016	$	40
Restructuring charges		8
Payments		(16	)
Non-cash items (a)		—
Balance, September 30, 2017	$	32

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