XML 30 R11.htm IDEA: XBRL DOCUMENT
v3.24.1.u1

Restructuring, Business Transformation and Other Cost Saving Initiatives | 3 Months Ended
--- | ---
Mar. 31, 2024
Restructuring and Related Activities [Abstract] |
Restructuring, Business Transformation and Other Cost Saving Initiatives | 2023 Fit for Growth Restructuring Program In July 2023 we initiated additional cost saving measures as part of our Fit for Growth program to reduce operating costs, while improving operating efficiency and effectiveness. The Fit for Growth program is expected to generate approximately $1.0 billion in gross operating expense savings by the end of 2025, some of which will be reinvested in various initiatives. The Fit for Growth program is currently estimated to include net headcount reductions of approximately 1,000 employees and we expect to incur restructuring charges ranging from approximately $260.0 million to $280.0 million. Total charges incurred from our 2023 cost saving initiatives are summarized as follows:
|  | For the Three Months Ended March 31,
|  | 2024 |  |
(In millions) |  | Severance Costs |  | Accelerated Depreciation and Other Costs |  |  |  | Total |  |  |  |  |  |  |  |
Selling, general and administrative |  | $ | — |  |  | $ | 1.4 |  |  |  |  | $ | 1.4 |  |  |  |  |  |  |  |  |
Research and development |  | — |  |  | 4.9 |  |  |  |  | 4.9 |  |  |  |  |  |  |  |  |
Restructuring charges |  | 9.3 |  |  | — |  |  |  |  | 9.3 |  |  |  |  |  |  |  |  |
Total charges |  | $ | 9.3 |  |  | $ | 6.3 |  |  |  |  | $ | 15.6 |  |  |  |  |  |  |  |  |
Other Costs: includes costs associated with items such as asset abandonment and write-offs, facility closure costs, pretax gains and losses resulting from the termination of certain leases, employee non-severance expense, consulting fees and other costs. Reata Integration Following the close of our Reata acquisition in September 2023, we implemented an integration plan designed to realize operating synergies through cost savings and avoidance. Under this initiative, we estimate we will incur total integration charges ranging from approximately $35.0 million to $40.0 million, related to severance and employment costs, which are expected to be paid by the end of 2024. These amounts were substantially incurred during 2023. Total charges incurred from our Reata integration are summarized as follows:
|  | For the Three Months Ended March 31,
|  | 2024 |  |
(In millions) |  | Severance Costs |  | Accelerated Depreciation and Other Costs |  |  |  | Total |  |  |  |  |  |  |  |
Selling, general and administrative |  | $ | — |  |  | $ | 1.8 |  |  |  |  | $ | 1.8 |  |  |  |  |  |  |  |  |
Research and development |  | — |  |  | 2.7 |  |  |  |  | 2.7 |  |  |  |  |  |  |  |  |
Restructuring charges |  | 2.2 |  |  | — |  |  |  |  | 2.2 |  |  |  |  |  |  |  |  |
Total charges |  | $ | 2.2 |  |  | $ | 4.5 |  |  |  |  | $ | 6.7 |  |  |  |  |  |  |  |  |
In connection with our acquisition of Reata we assumed responsibility for a single-tenant, build-to-suit building of approximately 327,400 square feet of office and laboratory space located in Plano, Texas, with an initial lease term of 16 years. We do not intend to occupy this building and are evaluating opportunities to sublease the property. Charges and spending related to workforce reductions from our 2023 Fit for Growth program and Reata Integration are summarized as follows:
|  | For the Three Months Ended March 31, |  |  |  |
(In millions) |  | 2024 |  | 2023
Restructuring reserve as of December 31 |  | $ | 75.4 |  |  |  |  |  |  | $ | 35.9 |  |  |  |  |
Expense |  | 11.5 |  |  |  |  |  |  | 7.1 |  |  |  |  |
Payment |  | (42.2) |  |  |  |  |  |  | (15.6) |  |  |  |  |
Foreign currency and other adjustments |  | 0.8 |  |  |  |  |  |  | 0.6 |  |  |  |  |
Restructuring reserve as of March 31 |  | $ | 45.5 |  |  |  |  |  |  | $ | 28.0 |  |  |  |  |

X
- References No definition available. + Details
Name: | us-gaap_RestructuringAndRelatedActivitiesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (b)(2) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482017/420-10-50-1 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482017/420-10-50-1 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//420/tableOfContent Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 1 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482017/420-10-50-1 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 420 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 5.P.4(e)) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479823/420-10-S99-2 + Details
Name: | us-gaap_RestructuringAndRelatedActivitiesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration