XML 59 R39.htm IDEA: XBRL DOCUMENT v3.25.0.1
Restructuring and other impairment charges (Tables)
 12 Months Ended
Dec. 31, 2024
Restructuring and Related Activities [Abstract]  
Summary of Current Cost Estimates by Major Type of Cost
The following table provides a summary of the cost estimates by major type of expense associated with the 2024 Footprint realignment plan:
Total estimated amount expected to be incurred
Plan expense estimates:
(Dollars in millions)
Restructuring charges (1)
$16 million to $20 million
Restructuring related charges (2)
$21 million to $26 million
Total restructuring and restructuring related charges
$37 million to $46 million
(1)    Substantially all of the charges consist of employee termination benefit cost.
(2)     Consists of pre-tax charges related to accelerated depreciation and other costs directly related to the plan, primarily project management costs and costs to relocate manufacturing operations and support functions to the new locations. Substantially all of the charges are expected to be recognized within costs of goods sold.
The following table provides a summary of the cost estimates by major type of expense associated with the 2023 Footprint realignment plan:
Total estimated amount expected to be incurred
Plan expense estimates:(Dollars in millions)
Restructuring charges (1)
$4 million to $6 million
Restructuring related charges (2)
$7 million to $9 million
Total restructuring and restructuring related charges
$11 million to $15 million
(1)    Substantially all of the charges consist of employee termination benefit cost.
(2)     Restructuring related charges represent costs that are directly related to the 2023 Footprint realignment plan and principally constitute costs to transfer manufacturing operations to existing lower-cost locations and project management costs. Substantially all of these charges are expected to be recognized within cost of goods sold.
Schedule of Restructuring Reserve
The following table summarizes the restructuring reserve activity related to our 2024 Restructuring plan, 2024 Footprint realignment plan and 2023 Footprint realignment plan:
2024 Restructuring plan
2024 Footprint realignment plan
2023 Footprint realignment plan
Balance at December 31, 2022
$— $— $— 
Subsequent accruals— — 1,451 
Cash payments— — (108)
Balance at December 31, 2023 (1)
— — 1,343 
Accruals
6,100 11,203 1,377 
Cash payments(777)(1,442)(32)
Foreign currency translation and other427 961 — 
Balance at December 31, 2024 (1)
$5,750 $10,722 $2,688 
(1)The restructuring reserves as of December 31, 2024 and 2023 consisted mainly of accruals related to termination benefits. Other costs (facility closure, employee relocation, equipment relocation and outplacement costs) were expensed and paid in the same period.
Restructuring and Other Impairment Charges
The restructuring and impairment charges recognized for the years ended December 31, 2024, 2023, and 2022 consisted of the following:
2024
Termination benefits
Other Costs (1)
Total
2024 Restructuring plan$6,086 $14 $6,100 
2024 Footprint realignment plan11,164 39 11,203 
2023 Restructuring plan(1,524)82 (1,442)
2023 Footprint realignment plan1,344 33 1,377 
2022 Restructuring plan(1,454)22 (1,432)
Other restructuring programs (2)
(1,665)16 (1,649)
Total restructuring charges13,951 206 14,157 
Asset impairment charges
— 7,834 7,834 
Total restructuring and other impairment charges
$13,951 $8,040 $21,991 
2023
Termination benefits
Other Costs (1)
Total
2023 Restructuring plan$12,535 $— $12,535 
2023 Footprint realignment plan1,451 — 1,451 
2022 Restructuring plan2,759 369 3,128 
Respiratory divestiture plan(946)17 (929)
Other restructuring programs (3)
(1,015)434 (581)
Total restructuring and other impairment charges
$14,784 $820 $15,604 
2022
Termination benefits
Other Costs (1)
Total
2022 Restructuring plan$15,465 $58 $15,523 
Respiratory divestiture plan504 74 578 
2019 Footprint realignment plan(1,120)133 (987)
2018 Footprint realignment plan1,230 846 2,076 
Other restructuring programs (3)
1,306 306 1,612 
Total restructuring charges17,385 1,417 18,802 
Asset impairment charges— 1,497 1,497 
Total restructuring and other impairment charges
$17,385 $2,914 $20,299 
(1)Includes facility closure, contract termination and other exit costs.
(2)Includes activity primarily related to our 2018 and 2019 Footprint realignment plans, which have concluded.
(3)Includes activity primarily related to a restructuring plan initiated in the first quarter of 2022 that is designed to relocate manufacturing operations at certain of our facilities (the "2022 Manufacturing relocation plan") and our 2014, 2018, and 2019 Footprint realignment plans, which have concluded.