Restructuring and Other Charges

Summary of Restructuring Plans

HP’s restructuring activities for the three months ended January 31, 2019 and 2018 summarized by plan were as follows:



	Fiscal 2017 Plan
	Severance			Infrastructure and other			Other prior-year plans⁽¹⁾			Total

Accrued balance as of October 31, 2018	$	50		$	—		$	9		$	59
Charges	47			6			—			53
Cash payments	(35		)	(6		)	(3		)	(44		)
Non-cash and other adjustments	(3		)	—			—			(3		)
Accrued balance as of January 31, 2019	$	59		$	—		$	6		$	65
Total costs incurred to date as of January 31, 2019	$	300		$	87		$	1,317		$	1,704

Reflected in Consolidated Condensed Balance Sheets
Other accrued liabilities	59			—			5			64
Other non-current liabilities	—			—			1			1

Accrued balance as of October 31, 2017	76			19			13			108
Charges	12			6			—			18
Cash payments	(60		)	(25		)	(2		)	(87		)
Non-cash and other adjustments	2			—			—			2
Accrued balance as of January 31, 2018	$	30		$	—		$	11		$	41


⁽¹⁾	Includes prior-year plans which are considered substantially complete. HP does not expect any further material activity associated with these plans.

Fiscal 2017 Plan

On October 10, 2016, HP’s Board of Directors approved a restructuring plan (the “Fiscal 2017 Plan”), which HP expected would be implemented through fiscal year 2019.

On May 26, 2018, HP’s Board of Directors approved amending the Fiscal 2017 Plan. HP expects approximately 4,500 to 5,000 employees to exit by the end of fiscal year 2019. HP estimates that it will incur aggregate pre-tax charges of approximately $700 million relating to labor and non-labor actions. HP estimates that approximately half of the expected cumulative pre-tax costs will relate to severance and the remaining costs will relate to infrastructure, non-labor actions and other charges.

Other Charges

Other charges include non-recurring costs, including those as a result of Separation, and are distinct from ongoing operational costs. These costs primarily relate to information technology costs such as advisory, consulting and non-recurring labor costs. For the three months ended January 31, 2019 and 2018, HP incurred $2 million and $13 million of other charges, respectively.