Exit and Disposal Activities

3 Months Ended

Mar. 31, 2019

Restructuring and Related Activities [Abstract]

Exit and Disposal Activities The Company has undertaken operational restructuring and other cost reduction actions to streamline processes and manage costs throughout various departments. These actions resulted in exit, disposal and employee termination benefit costs, primarily resulting from planned reductions in workforce, facility consolidations and relocations and lease termination costs. The primary actions are discussed below by operating segment.

CIT

During 2019, the Company announced plans to relocate its manufacturing operations in El Segundo, California, and Riverside, California, to the existing manufacturing operations in North America. During the three months ended March 31, 2019, exit and disposal costs totaled $3.5 million, primarily for employee termination benefit costs. The project is estimated to take 12 to 18 months to complete. Cumulative exit and disposal costs are expected to approximate $8.5 million and will be recognized primarily in 2019.

CFT

During the first quarter of 2019, the Company initiated plans to reduce costs and streamline processes by eliminating certain positions within selling, general and administrative and manufacturing functions. The costs to complete this project totaled $2.0 million and was recognized during the three months ended March 31, 2019.

CBF

The Company is substantially complete with its project to exit its manufacturing operations in Tulsa, Oklahoma, and relocate the majority of those operations to its existing manufacturing facility in Medina, Ohio. During the three months ended March 31, 2019, exit and disposal costs totaled $0.7 million, primarily reflecting facility closure costs and employee termination benefits. Total associated exit and disposal costs are expected to approximate $20.9 million, with cumulative exit and disposal costs of $19.4 million recognized as of March 31, 2019. Remaining costs of approximately $1.5 million are expected to be incurred throughout the remainder of 2019.

Consolidated Summary

The Company's exit and disposal costs by activity follows:


(in millions)	Three Months Ended March 31,
			2019			2018
Employee severance and benefit arrangements	$	5.7		$	0.7
Lease termination cost	0.5			—
Relocation costs	0.1			0.2
Accelerated depreciation	—			0.8
Other restructuring costs	0.5			1.4
Total exit and disposal costs	$	6.8		$	3.1

The Company's exit and disposal activities costs by segment follows:


(in millions)	Three Months Ended March 31,
			2019			2018
Carlisle Interconnect Technologies	$	3.9		$	1.1
Carlisle Fluid Technologies	2.0			—
Carlisle Brake & Friction	0.7			2.0
Carlisle Construction Materials	0.2			—

Total exit and disposal costs	$	6.8		$	3.1

The Company's exit and disposal activities costs by financial statement line item follows:


(in millions)	Three Months Ended March 31,
			2019			2018
Cost of goods sold	$	3.6		$	2.3
Selling and administrative expenses	2.9			0.6
Other operating expense, net	0.2			0.2
Research and development expenses	0.1			—
Total exit and disposal costs	$	6.8		$	3.1

The Company's change in exit and disposal activities liability follows:


(in millions)	Total
Balance as of December 31, 2018	$	1.2
Charges	6.8
Cash payments	(1.9)

Balance as of March 31, 2019	$	6.1

The liability of $6.1 million primarily relates to employee severance and benefit arrangements and is included in accrued liabilities and other.