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RESTRUCTURING CHARGES | 9 Months Ended
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Sep. 30, 2018
Restructuring and Related Activities [Abstract] |
RESTRUCTURING CHARGES | RESTRUCTURING CHARGES On March 21, 2016, we announced that we had made the decision to close a combined total of 433,000 tons of chlor alkali capacity across three separate locations. Associated with this action, we have permanently closed our Henderson, NV chlor alkali plant with 153,000 tons of capacity and have reconfigured the site to manufacture bleach and distribute caustic soda and hydrochloric acid. Also, the capacity of our Niagara Falls, NY chlor alkali plant has been reduced from 300,000 tons to 240,000 tons and the chlor alkali capacity at our Freeport, TX facility was reduced by 220,000 tons. This 220,000 ton reduction was entirely from diaphragm cell capacity. For the three months ended September 30, 2018 and 2017, we recorded pretax restructuring charges of $3.3 million and $8.8 million respectively, for employee severance and related benefit costs, facility exit costs and lease and other contract termination costs related to these actions. For the nine months ended September 30, 2018 and 2017, we recorded pretax restructuring charges of $12.4 million and $23.7 million, respectively, for employee severance and related benefit costs, employee relocation costs, facility exit costs and lease and other contract termination costs related to these actions. We expect to incur additional restructuring charges through 2020 of approximately $14 million related to these capacity reductions. On December 12, 2014, we announced that we had made the decision to permanently close the portion of the Becancour, Canada chlor alkali facility that has been shut down since late June 2014. This action reduced the facility’s chlor alkali capacity by 185,000 tons. Subsequent to the shut down, the plant predominantly focuses on bleach and hydrochloric acid, which are value-added products, as well as caustic soda. For the three months ended September 30, 2018 and 2017, we recorded pretax restructuring charges of zero and $0.4 million, respectively, for facility exit costs related to this action. For the nine months ended September 30, 2018 and 2017, we recorded pretax restructuring charges of $1.3 million and $2.2 million, respectively, for facility exit costs related to this action. We expect to incur additional restructuring charges through 2018 of less than $1 million related to the shut down of this portion of the facility. On November 3, 2010, we announced that we made the decision to relocate the Winchester centerfire pistol and rifle ammunition manufacturing operations from East Alton, IL to Oxford, MS. Consistent with this decision in 2010, we initiated an estimated $110 million five-year project, which included approximately $80 million of capital spending. The capital spending was partially financed by $31 million of grants provided by the State of Mississippi and local governments. During 2016, the final rifle ammunition production equipment relocation was completed. The following table summarizes the 2018 and 2017 activities by major component of these restructuring actions and the remaining balances of accrued restructuring costs as of September 30, 2018 and 2017:
| Employee severance and related benefit costs |  | Lease and other contract termination costs |  | Employee relocation costs |  | Facility exit costs |  | Total
| ($ in millions)
Balance at January 1, 2017 | $ | 3.4 |  |  | $ | 7.5 |  |  | $ | — |  |  | $ | 1.8 |  |  | $ | 12.7 |
Restructuring charges: |  |  |  |  |  |  |  |  |
First quarter | — |  |  | 5.7 |  |  | 0.2 |  |  | 2.3 |  |  | 8.2 |
Second quarter | — |  |  | 5.8 |  |  | 0.1 |  |  | 2.6 |  |  | 8.5 |
Third quarter | — |  |  | 7.0 |  |  | — |  |  | 2.2 |  |  | 9.2 |
Amounts utilized | (3.0 | ) |  | (4.6 | ) |  | (0.3 | ) |  | (8.8 | ) |  | (16.7 | )
Balance at September 30, 2017 | $ | 0.4 |  |  | $ | 21.4 |  |  | $ | — |  |  | $ | 0.1 |  |  | $ | 21.9 |
Balance at January 1, 2018 | $ | 1.8 |  |  | $ | 3.3 |  |  | $ | — |  |  | $ | — |  |  | $ | 5.1 |
Restructuring charges: |  |  |  |  |  |  |  |  |
First quarter | — |  |  | 0.4 |  |  | — |  |  | 3.6 |  |  | 4.0 |
Second quarter | 0.1 |  |  | 3.7 |  |  | — |  |  | 2.6 |  |  | 6.4 |
Third quarter | 0.3 |  |  | 0.3 |  |  | — |  |  | 2.7 |  |  | 3.3 |
Amounts utilized | (1.8 | ) |  | (1.6 | ) |  | — |  |  | (7.9 | ) |  | (11.3 | )
Balance at September 30, 2018 | $ | 0.4 |  |  | $ | 6.1 |  |  | $ | — |  |  | $ | 1.0 |  |  | $ | 7.5 |
The following table summarizes the cumulative restructuring charges of these 2016, 2014 and 2010 restructuring actions by major component through September 30, 2018:
|  | Chlor Alkali Products and Vinyls |  | Winchester |  | Total
|  | Becancour |  | Capacity Reductions |  |
|  | ($ in millions)
Write-off of equipment and facility |  | $ | 3.5 |  |  | $ | 78.1 |  |  | $ | — |  |  | $ | 81.6 |
Employee severance and related benefit costs |  | 2.7 |  |  | 5.9 |  |  | 14.7 |  |  | 23.3 |
Facility exit costs |  | 5.9 |  |  | 30.7 |  |  | 2.3 |  |  | 38.9 |
Pension and other postretirement benefits curtailment |  | — |  |  | — |  |  | 4.1 |  |  | 4.1 |
Employee relocation costs |  | — |  |  | 1.7 |  |  | 6.0 |  |  | 7.7 |
Lease and other contract termination costs |  | 5.3 |  |  | 40.0 |  |  | — |  |  | 45.3 |
Total cumulative restructuring charges |  | $ | 17.4 |  |  | $ | 156.4 |  |  | $ | 27.1 |  |  | $ | 200.9 |
As of September 30, 2018, we have incurred cash expenditures of $107.3 million and non-cash charges of $86.1 million related to these restructuring actions. The remaining balance of $7.5 million is expected to be paid out through 2020.

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- Definition The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -URI http://asc.fasb.org/topic&trid=2175745 + Details
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