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Restructuring and Acquisition-Related Costs | 9 Months Ended
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Sep. 30, 2019
Restructuring and Related Activities [Abstract] |
Business Acquisition, Integration, Restructuring and Other Related Costs [Text Block] | 4. RESTRUCTURING AND ACQUISITION-RELATED COSTS In 2016, AAM initiated actions under a global restructuring program (the 2016 Program) focused on creating a more streamlined organization in addition to reducing our cost structure and preparing for acquisition and integration activities. We incurred severance charges totaling $2.8 million and implementation costs totaling $29.6 million under the 2016 Program. There were no charges incurred under the 2016 Program during the first nine months of 2019 and we do not expect to incur any additional restructuring charges under the 2016 Program in future periods. In the first quarter of 2019, we initiated a new global restructuring program (the 2019 Program) to further streamline our business by consolidating our four existing segments into three segments. This activity occurred through the disaggregation of our Powertrain segment, with a portion moving into our Driveline segment and a portion moving into our Metal Forming segment. The primary objectives of this consolidation are to further the integration of Metaldyne Performance Group, Inc. (MPG), align AAM's product and process technologies, and to achieve efficiencies within our corporate and business unit support teams to reduce cost in our business. A summary of our restructuring activity for the first nine months of 2019 and 2018 is shown below:
| Severance Charges |  | Implementation Costs |  | Asset Impairment Charges |  | Total
| (in millions)
Accrual at December 31, 2017 | $ | 0.3 |  |  | $ | — |  |  | $ | — |  |  | $ | 0.3 |
Charges | 2.3 |  |  | 8.8 |  |  | 26.6 |  |  | 37.7 |
Cash utilization | (0.4 | ) |  | (6.6 | ) |  | — |  |  | (7.0 | )
Non-cash utilization | — |  |  | — |  |  | (26.6 | ) |  | (26.6 | )
Accrual at September 30, 2018 | $ | 2.2 |  |  | $ | 2.2 |  |  | $ | — |  |  | $ | 4.4 |
Accrual at December 31, 2018 | $ | 2.4 |  |  | $ | 1.6 |  |  | $ | — |  |  | $ | 4.0 |
Charges | 10.4 |  |  | 13.1 |  |  | — |  |  | 23.5 |
Cash utilization | (11.7 | ) |  | (9.9 | ) |  | — |  |  | (21.6 | )
Accrual at September 30, 2019 | $ | 1.1 |  |  | $ | 4.8 |  |  | $ | — |  |  | $ | 5.9 |
As part of our restructuring actions, we incurred total severance charges of approximately $10.4 million and $2.3 million, as well as total implementation costs of approximately $13.1 million and $8.8 million, during the nine months ended September 30, 2019 and 2018, respectively. We expect to incur approximately $30 million to $35 million of total restructuring charges in 2019, including costs incurred under the ongoing 2019 Program. In the first nine months of 2018, we initiated actions to exit operations at manufacturing facilities in our Driveline, Metal Forming and former Powertrain segment. As a result of these actions, we were required to assess the associated long-lived assets for impairment. Based on our analysis, assets that were not to be redeployed to other AAM facilities were determined to be fully impaired resulting in a charge of $26.6 million for the nine months ended September 30, 2018. See Note 8 - Fair Value for further detail. In 2017, we completed the acquisitions of MPG and USM Mexico Manufacturing LLC (USM Mexico). During the nine months ended September 30, 2019, we incurred the following integration charges related to these acquisitions:
| Integration Expenses
| (in millions)
Charges for the nine months ended September 30, 2019 | $ | 12.5 |
These integration expenses primarily reflect costs incurred for information technology systems and ongoing operational activities incurred in conjunction with the acquisition of MPG. Total restructuring charges and acquisition-related charges are presented on a separate line item titled Restructuring and acquisition-related costs in our Condensed Consolidated Statements of Operations. Restructuring and acquisition-related costs totaled $36.0 million for the nine months ended September 30, 2019, of which $23.5 million were restructuring charges and $12.5 million were acquisition-related charges, and $66.8 million for the nine months ended September 30, 2018, of which $37.7 million were restructuring charges and $29.1 million were acquisition-related charges.

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- Definition The entire description for costs incurred to effect a business combination that have been expensed during the period. Such costs could include business integration costs, systems integration and conversion costs, and severance and other employee-related costs. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 805 -URI http://asc.fasb.org/topic&trid=2303972 + Details
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