ASSET IMPAIRMENTS AND RESTRUCTURING CHARGES, NET

Components of asset impairments and restructuring charges, net, are presented below:



	For years ended December 31,
(Dollars in millions)	2017		2016			2015
Asset impairments	$	1	$	12		$	85
Gain on sale of assets, net	—		(2		)	(1		)
Intangible asset and goodwill impairments	—		—			22
Severance charges	6		32			68
Site closure and restructuring charges	1		3			9
Total	$	8	$	45		$	183

2017

In fourth quarter 2017 asset impairments and restructuring charges, net included $3 million of asset impairment and restructuring charges, including severance, in the AFP segment related to the closure of a facility in China. Additionally, the Company recognized restructuring charges of approximately $5 million for severance.

2016

The Company impaired a capital project in the AFP segment that resulted in a charge of $12 million.

As part of an announced plan to reduce costs primarily in 2017, the Company recognized restructuring charges of $34 million primarily for severance.

The Company recognized a gain of $2 million in the AFP segment for the sale of previously impaired assets at the Crystex^® insoluble sulfur research and development ("R&D") site in France.

2015

The Company took actions to reduce non-operations workforce resulting in restructuring charges of $51 million for severance. These actions were taken to offset the impacts of low oil prices, a strengthened U.S. dollar, and the continued weak worldwide economic and business conditions.

As a result of the annual impairment testing of indefinite-lived intangible assets, the Company recognized intangible asset impairments of $18 million in the AM segment primarily to reduce the carrying value of the V-KOOL^® window films products tradename to the estimated fair value. The estimated fair value was determined using an income approach, specifically, the relief from royalty method. The impairment resulted from a decrease in projected revenues since the tradename was acquired from Solutia in 2012. The decrease in projected revenues was primarily due to the Asian economic downturn impacting car sales growth in those geographic markets.

Net asset impairments and restructuring charges included $81 million of asset impairments and $17 million of restructuring charges, including severance, in the Fibers segment due to the closure of the Workington, UK acetate tow manufacturing site which was substantially completed in 2015. Additionally, management decided not to continue a growth initiative that was reported in "Other". This resulted in the Company recognizing asset impairments of $8 million and restructuring charges of $3 million.

Net asset impairments and restructuring charges included $4 million of restructuring charges primarily for severance associated with the integration of Taminco Corporation.

Reconciliations of the beginning and ending restructuring liability amounts are as follows:



	Balance at January 1, 2017		Provision/ Adjustments		Non-cash Reductions/ Additions			Cash Reductions			Balance at December 31, 2017
Noncash charges	$	—	$	1	$	(1	)	$	—		$	—
Severance costs	42		6		—			(29		)	19
Site closure & restructuring costs	13		1		1			(5		)	10
Total	$	55	$	8	$	—		$	(34	)	$	29



	Balance at January 1, 2016		Provision/ Adjustments		Non-cash Reductions/ Additions			Cash Reductions			Balance at December 31, 2016
Noncash charges	$	—	$	12	$	(12	)	$	—		$	—
Severance costs	55		32		—			(45		)	42
Site closure & restructuring costs	11		1		4			(3		)	13
Total	$	66	$	45	$	(8	)	$	(48	)	$	55



	Balance at January 1, 2015		Provision/ Adjustments		Non-cash Reductions/ Additions			Cash Reductions			Balance at December 31, 2015
Noncash charges	$	—	$	107	$	(107	)	$	—		$	—
Severance costs	13		67		1			(26		)	55
Site closure & restructuring costs	15		9		3			(16		)	11
Total	$	28	$	183	$	(103	)	$	(42	)	$	66

Substantially all costs remaining for severance are expected to be applied to the reserves within one year.