Restructuring Costs

During the quarter ended March 31, 2017, we recorded net pre-tax restructuring costs totaling $52 million for new and ongoing restructuring actions. We recorded charges in the segments as follows:



(Dollars in millions)
Otis	$	5
UTC Climate, Controls & Security	23
UTC Aerospace Systems	23
Eliminations and other	1
Total	$	52

Restructuring charges incurred during the quarter ended March 31, 2017 primarily relate to actions initiated during 2017 and 2016, and were recorded as follows:



(Dollars in millions)
Cost of sales	$	21
Selling, general and administrative	31
Total	$	52

2017 Actions. During the quarter ended March 31, 2017, we recorded net pre-tax restructuring costs totaling $24 million, including $10 million in cost of sales and $14 million in selling, general and administrative expenses. The 2017 actions relate to ongoing cost reduction efforts, including workforce reductions and consolidation of field operations.

We are targeting the majority of the remaining workforce and all facility related cost reduction actions for completion during 2017 and 2018. No specific plans for significant other actions have been finalized at this time. The following table summarizes the accrual balance and utilization for the 2017 restructuring actions for the quarter ended March 31, 2017:



(Dollars in millions)	Severance			Facility Exit, Lease Termination and Other Costs			Total
Net pre-tax restructuring costs	$	21		$	3		$	24
Utilization and foreign exchange	(5		)	(3		)	(8		)
Balance at March 31, 2017	$	16		$	—		$	16

The following table summarizes expected, incurred and remaining costs for the 2017 restructuring actions by segment:



(Dollars in millions)	Expected Costs		Costs Incurred Quarter Ended March 31, 2017			Remaining Costs at March 31, 2017
Otis	$	5	$	(2	)	$	3
UTC Climate, Controls & Security	21		(12		)	9
UTC Aerospace Systems	15		(9		)	6
Eliminations and other	1		(1		)	—
Total	$	42	$	(24	)	$	18

2016 Actions. During the quarter ended March 31, 2017, we recorded net pre-tax restructuring costs totaling $22 million for restructuring actions initiated in 2016, including $5 million in cost of sales and $17 million in selling, general and administrative expenses. The 2016 actions relate to ongoing cost reduction efforts, including workforce reductions, consolidation of field operations, and costs to exit legacy programs. The following table summarizes the accrual balances and utilization for the 2016 restructuring actions for the quarter ended March 31, 2017:



(Dollars in millions)	Severance			Facility Exit, Lease Termination and Other Costs			Total
Restructuring accruals at December 31, 2016	$	63		$	46		$	109
Net pre-tax restructuring costs	15			7			22
Utilization and foreign exchange	(22		)	(6		)	(28		)
Balance at March 31, 2017	$	56		$	47		$	103

The following table summarizes expected, incurred and remaining costs for the 2016 restructuring actions by segment:



(Dollars in millions)	Expected Costs		Costs Incurred in 2016			Costs Incurred Quarter Ended March 31, 2017			Remaining Costs at March 31, 2017
Otis	$	58	$	(48	)	$	(3	)	$	7
UTC Climate, Controls & Security	85		(45		)	(6		)	34
Pratt & Whitney	118		(118		)	—			—
UTC Aerospace Systems	85		(31		)	(13		)	41
Total	$	346	$	(242	)	$	(22	)	$	82

2015 and Prior Actions. As of March 31, 2017, we have approximately $57 million of accrual balances remaining related to 2015 and prior actions.