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Special Charges
12 Months Ended
Dec. 31, 2016
Restructuring and Related Activities [Abstract]  
Special Charges
SPECIAL CHARGES

Enrichment Cessation and Evolving Business Needs

The cessation of enrichment at the Paducah Gaseous Diffusion Plant (the “Paducah GDP”) and evolving business needs have resulted in workforce reductions since July 2013. Special charges include related termination benefits less severance paid by the Company and invoiced to the U.S. Department of Energy (“DOE”) for its share of employee severance pursuant to the USEC Privatization Act.

In the second quarter of 2016, the Company commenced a project to align its corporate structure to the scale of its ongoing business operations and to update related information technology. The Company has incurred advisory costs related to the reengineering project of $1.0 million in 2016. In addition, special charges in 2016 included termination benefits of $0.3 million related to voluntary workforce reductions.

Piketon Demonstration Facility

In September 2015, Centrus completed a successful three-year demonstration of American Centrifuge technology at its facility in Piketon, Ohio, with 120 machines linked together in a cascade to simulate industrial operating conditions. The demonstration effort was primarily funded by the U.S. government. As a result of reduced program funding, Centrus incurred a special charge of $8.7 million in the third quarter of 2015 for estimated employee termination benefits, consisting primarily of payments under its pre-existing severance plan. An additional $0.1 million special charge was incurred in the second quarter of 2016 as an adjustment to accrued severance benefits for current salary levels.

A summary of termination benefit activity and related liabilities follows (in millions):
 
Liability
Dec. 31,
2014
 
2015
 
Liability
Dec. 31,
2015
 
2016
 
Liability
Dec. 31,
2016
 

 
Special Charges
 

Paid
 
 
Special Charges
 

Paid
 
 
Workforce reductions:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Enrichment cessation and evolving business needs
$
2.4

 
$
4.5

(a)
$
(6.6
)
(a)
$
0.3

 
$
0.3

 
$
(0.5
)
 
$
0.1

 
Piketon demonstration facility

 
8.7

 
(0.3
)
 
8.4

 
0.1

 
(3.1
)
 
5.4

(b)
 
$
2.4

 
$
13.2

 
$
(6.9
)
 
$
8.7

 
$
0.4

 
$
(3.6
)
 
$
5.5

 

(a) Net of $0.4 million billed to and paid by DOE.
(b) Includes $2.1 million included in long-term liabilities.