
2.	RESTRUCTURING AND ACQUISITION-RELATED COSTS

In the fourth quarter of 2016, AAM initiated actions under a global restructuring program focused on creating a more streamlined organization in addition to reducing our cost structure and preparing for upcoming acquisition integration activities. A summary of this activity for the first quarter of 2017 is shown below:



	Severance Charges			Implementation Costs			Total
	(in millions)
Accrual as of December 31, 2016	$	0.6		$	9.2		$	9.8
Charges	1.2			5.6			6.8
Cash utilization	(1.1		)	(1.5		)	(2.6		)
Non-cash utilization	—			—			—
Accrual adjustments	—			—			—
Accrual as of March 31, 2017	$	0.7		$	13.3		$	14.0

As part of our restructuring actions, we incurred severance charges of approximately $1.2 million, as well as implementation costs, including professional expenses, of approximately $5.6 million during the three months ended March 31, 2017. Since inception of the global restructuring program, we have incurred severance charges totaling $1.8 million and implementation costs totaling $15.8 million. We expect to incur approximately $15 to $20 million of additional charges under our global restructuring program in 2017.

On March 1, 2017, we completed the acquisition of USM Mexico Manufacturing LLC (USM Mexico) and on April 6, 2017, we completed the acquisition of MPG. During the three months ended March 31, 2017, we incurred the following charges related to these acquisitions:



	Acquisition-Related Costs		Integration Expenses		Total
	(in millions)
Charges	$	3.3	$	5.9	$	9.2

Total restructuring and acquisition-related charges					$	16.0

Acquisition-related costs primarily consist of advisory, legal, accounting, valuation and certain other professional or consulting fees incurred. Integration expenses reflect consulting fees incurred in preparation for the acquisitions and ongoing integration activities. Total charges associated with our global restructuring program and acquisition-related charges of $16.0 million are shown on a separate line item titled "Restructuring and Acquisition-Related Costs" in our Condensed Consolidated Statements of Income.