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OTHER OPERATING EXPENSE (INCOME), NET | 12 Months Ended
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Dec. 31, 2021
Other Income and Expenses [Abstract] |
OTHER OPERATING EXPENSE (INCOME), NET | OTHER OPERATING EXPENSE (INCOME), NET Items included in Other operating expense (income), net consist of:
| Year Ended December 31,
(in millions) | 2021 |  | 2020 |  | 2019
Merger, acquisition and divestiture expense | $ | 50 |  |  | $ | 96 |  |  | $ | 11 |
Loss on sales of businesses | 29 |  |  | — |  |  | 7 |
Asset impairments | 14 |  |  | 17 |  |  | — |
Net gain on insurance recovery for property damage | (3) |  |  | (9) |  |  | — |
Intangible asset accelerated amortization (Note 12) | — |  |  | 38 |  |  | — |
Gain on derecognition of subsidiary (Note 21) | — |  |  | — |  |  | (177) |
Unfavorable arbitration loss | — |  |  | — |  |  | 14 |
Other income, net | (9) |  |  | (4) |  |  | (2) |
Other operating expense (income), net | $ | 81 |  |  | $ | 138 |  |  | $ | (147) |
Merger, acquisition and divestiture expense: During the years ended December 31, 2021, 2020 and 2019, the Company recorded $50 million, $96 million and $11 million of merger, acquisition and divestiture expenses. The merger, acquisition and divestiture expense incurred during the year ended December 31, 2021 was primarily related to professional fees associated with the acquisition of AKASOL, professional fees for integration and other support associated with the Company’s acquisition of Delphi Technologies and the Company’s strategic acquisition and disposition targets. The merger, acquisition and divestiture expense in the year ended December 31, 2020 was comprised primarily of professional fees associated with the Company’s acquisition of Delphi Technologies. The merger, acquisition and divestiture expense in the year ended December 31, 2019 was comprised primarily of professional fees related to the Company’s strategic acquisition and disposition activities, including the transfer of BorgWarner Morse TEC LLC (“Morse TEC”), the future acquisition of Delphi Technologies, the 20% equity interest in Romeo Systems, Inc. and the divestiture of the non-core pipes and thermostat product lines. Loss on sales of businesses: During the year ended December 31, 2021, the Company recorded a pre-tax loss of $29 million, which included a $22 million loss in connection with the sale of the Company’s Water Valley facility and a $7 million loss on the sale of an e-Propulsion & Drivetrain technical center in Europe. Refer to Note 2 “Acquisitions and Dispositions,” to the Consolidated Financial Statements for more information. In December 2018, the Company reached an agreement to sell its thermostat product lines for approximately $28 million. All closing conditions were satisfied, and the sale was closed on April 1, 2019. Based on an agreement reached in the fourth quarter of 2019 regarding the finalization of certain purchase price adjustments related to the sale, the Company recognized an additional loss on sale of $7 million. Asset impairments: During the year ended December 31, 2021, the Company recorded a $14 million impairment charge on an indefinite-lived trade name in the e-Propulsion & Drivetrain segment. Refer to Note 12 “Goodwill and Other Intangibles,” to the Consolidated Financial Statement for more information. During the year ended December 31, 2020, the Company recorded asset impairment charges of $17 million. The impairment charges consist of $9 million in the Air Management segment and $8 million in the e-Propulsion & Drivetrain segment, related to the write down of property, plant and equipment associated with the announced closures of two European facilities. Net gain on insurance recovery: On April 13, 2020, a tornado struck the Company’s facility in Seneca, South Carolina (the “Seneca Plant”) causing damage to the Company’s assets. The Seneca Plant is one of the Company’s largest e-Propulsion & Drivetrain plants. During the years ended December 31, 2021 and 2020, the Company recorded a net gain of $3 million and $9 million, respectively, from insurance recovery proceeds, which primarily represents the amount received for replacement cost in excess of carrying value (net of deductible expense of $1 million in 2020). In addition, all clean-up and repair costs incurred through December 31, 2021 have been fully recovered through these insurance proceeds, and the insurance claim has been fully settled. During the years ended December 31, 2021 and December 31, 2020, the Company received $22 million and $145 million, respectively, in cash proceeds from insurance carriers related to this event. Unfavorable arbitration loss: During the year ended December 31, 2019, the Company recorded $14 million of expense related to the receipt of a final unfavorable arbitration decision associated with the resolution of a matter related to a previous acquisition.

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- Definition The entire disclosure for other income or other expense items (both operating and nonoperating). Sources of nonoperating income or nonoperating expense that may be disclosed, include amounts earned from dividends, interest on securities, profits (losses) on securities, net and miscellaneous other income or income deductions. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 720 -URI http://asc.fasb.org/topic&trid=2122503 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 610 -URI http://asc.fasb.org/topic&trid=49130413 + Details
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