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Restructuring and Other Charges | 12 Months Ended
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Dec. 31, 2019
Restructuring and Related Activities [Abstract] |
Restructuring and Other Charges | RESTRUCTURING AND OTHER CHARGES Restructuring and other charges primarily consist of separation costs for employees including severance, outplacement and other benefit ("Severance") costs as well as costs related to plant closures, principally related to fixed assets write-downs ("Fixed asset write-down") and all other related restructuring ("Other") costs. All restructuring and other charges, net expenses are separately stated on the Consolidated Statement of Income and Comprehensive Income. Frutarom Integration Initiative In connection with the acquisition of Frutarom, the Company began to execute an integration plan that, among other initiatives, seeks to optimize its manufacturing network. As part of the Frutarom Integration Initiative, the Company expects to close approximately 35 manufacturing sites over the next two years with most of the closures targeted to occur before the end of fiscal 2020. During 2019, the Company announced the closure of ten facilities, of which six facilities are in Europe, Africa and Middle East, two facilities in Latin America, and one facility each in North America and Greater Asia regions. Since the inception of the initiative, the Company has expensed $10.4 million. Total costs for the program are expected to be approximately $65 million including cash and non-cash charges. 2019 Severance Program During 2019, the Company incurred severance charges related to approximately 330 headcount reductions. The headcount reductions primarily related to the Scent business unit and outsourcing of certain IT functions, with additional amounts related to headcount reductions in all business units associated with the establishment of a new shared service center in Europe. Since the inception of the program, the Company has expensed $21.3 million. Total costs for the program are expected to be approximately $25 million. 2017 Productivity Program In connection with 2017 Productivity Program, the Company recorded $24.5 million of charges related to personnel costs and lease termination costs since the program's inception. Total costs for the program are expected to be approximately $25 million. Changes in Restructuring Liability Movements in severance-related accruals during 2017, 2018 and 2019 are as follows:
(DOLLARS IN THOUSANDS) | Balance at January 1, 2017 |  | Additional Charges (Reversals), Net |  | Non-Cash Charges |  | Cash Payments |  | Balance at December 31, 2017
2015 Severance Plan |  |  |  |  |  |  |  |  |
Severance | $ | 3,277 |  |  | $ | (2,311 | ) |  | $ | — |  |  | $ | (966 | ) |  | $ | — |
2017 Productivity Program |  |  |  |  |  |  |  |  |
Severance | — |  |  | 20,620 |  |  | — |  |  | (13,081 | ) |  | 7,539 |
Other | — |  |  | 1,402 |  |  | (528 | ) |  | (456 | ) |  | 418 |
Total restructuring | $ | 3,277 |  |  | $ | 19,711 |  |  | $ | (528 | ) |  | $ | (14,503 | ) |  | $ | 7,957 |
(DOLLARS IN THOUSANDS) | Balance at January 1, 2018 |  | Additional Charges, Net |  | Non-Cash Charges |  | Cash Payments |  | Balance at December 31, 2018
2017 Productivity Program |  |  |  |  |  |  |  |  |
Severance | $ | 7,539 |  |  | $ | 3,884 |  |  | $ | — |  |  | $ | (7,298 | ) |  | $ | 4,125 |
Other | 418 |  |  | 1,195 |  |  | (418 | ) |  | (120 | ) |  | 1,075 |
Total restructuring | $ | 7,957 |  |  | $ | 5,079 |  |  | $ | (418 | ) |  | $ | (7,418 | ) |  | $ | 5,200 |
(DOLLARS IN THOUSANDS) | Balance at January 1, 2019 |  | Additional Charges (Reversals), Net |  | Non-Cash Charges |  | Cash Payments |  | Balance at December 31, 2019
2017 Productivity Program |  |  |  |  |  |  |  |  |
Severance | $ | 4,125 |  |  | $ | (1,947 | ) |  | $ | — |  |  | $ | (1,072 | ) |  | $ | 1,106 |
Other | 1,075 |  |  | — |  |  | — |  |  | (987 | ) |  | 88 |
Frutarom Integration Initiative |  |  |  |  |  |  |  |  |
Severance | — |  |  | 6,110 |  |  | — |  |  | (2,072 | ) |  | 4,038 |
Fixed asset write down | — |  |  | 534 |  |  | (534 | ) |  | — |  |  | — |
Other | — |  |  | 3,726 |  |  | (145 | ) |  | (1,096 | ) |  | 2,485 |
2019 Severance Program |  |  |  |  |  |  |  |  |
Severance | — |  |  | 20,871 |  |  | — |  |  | (7,974 | ) |  | 12,897 |
Other | — |  |  | 471 |  |  | — |  |  | — |  |  | 471 |
Total restructuring | $ | 5,200 |  |  | $ | 29,765 |  |  | $ | (679 | ) |  | $ | (13,201 | ) |  | $ | 21,085 |
Other includes supplier contract termination costs, consulting and advisory fees, and other. Charges by Segment The following table summarizes the total amount of costs incurred in connection with these restructuring programs by segment:
| December 31,
(DOLLARS IN THOUSANDS) | 2019 |  | 2018 |  | 2017
Taste | $ | 328 |  |  | $ | 1,646 |  |  | $ | 4,505 |
Scent | 11,768 |  |  | 3,433 |  |  | 13,077 |
Frutarom | 10,042 |  |  | — |  |  | N/A |
Shared IT & Corporate Costs | 7,627 |  |  | — |  |  | 2,129 |
Total Restructuring and other charges, net | $ | 29,765 |  |  | $ | 5,079 |  |  | $ | 19,711 |

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- 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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -URI http://asc.fasb.org/topic&trid=2175745 + Details
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