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RESTRUCTURING AND OTHER COSTS | 12 Months Ended
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Dec. 31, 2023
Restructuring and Related Activities [Abstract] |
RESTRUCTURING AND OTHER COSTS | RESTRUCTURING AND OTHER COSTS Restructuring and other costs for the years ended December 31, 2023, 2022 and 2021 were as follows:
Affected Line Item in the Consolidated Statements of Operations |  | Year Ended December 31,
(in millions) |  | 2023 |  | 2022 |  | 2021
Cost of products sold |  | $ | 4 |  |  | $ | — |  |  | $ | (3) |
Selling, general, and administrative expenses |  | 3 |  |  | — |  |  | 6 |
Restructuring and other costs |  | 67 |  |  | 14 |  |  | 17 |
Total Restructuring and other costs |  | $ | 74 |  |  | $ | 14 |  |  | $ | 20 |
Restructuring and other costs of $67 million recorded in the year ended December 31, 2023 consisted primarily of employee severance benefits and other restructuring costs related to the plan approved by the Board of Directors of the Company on February 14, 2023. This plan seeks to restructure the Company’s business to improve operational performance and drive shareholder value creation through a new operating model with four operating segments, optimization of central functions and overall management infrastructure, and other efforts aimed at cost savings. The restructuring plan anticipates a reduction in the Company’s global workforce of approximately 8% to 10%, subject to co-determination processes with employee representative groups in countries where required which are now substantially complete. The Company expects to incur between $115 and $135 million in non-recurring charges, comprising $80 to $100 million in restructuring expenditures and charges, primarily related to employee transition, severance payments, employee benefits and facility closure costs, and $35 million in other non-recurring costs which mostly consist of consulting, legal and other professional service fees. The plan is expected to be substantially completed by mid-2024. The estimates of these charges and their timing are subject to several assumptions, including local law requirements in various jurisdictions and co-determination aspects in countries where required. Actual amounts may differ materially from estimates. In addition, the Company may incur other charges or cash expenditures in connection with this plan which are not currently contemplated. The liabilities associated with the Company’s restructuring plans are recorded in Accrued liabilities and Other noncurrent liabilities in the Consolidated Balance Sheets. Activity in the Company’s restructuring accruals at December 31, 2023 was as follows:
|  | Severance
(in millions) |  | 2021 and Prior Plans |  | 2022 Plans |  | 2023 Plans |  | Total
Balance at December 31, 2022 |  | $ | 4 |  |  | $ | 3 |  |  | $ | — |  |  | $ | 7 |
Provisions and adjustments |  | — |  |  | 2 |  |  | 62 |  |  | 64 |
Amounts applied |  | (2) |  |  | (3) |  |  | (24) |  |  | (29) |
Change in estimates |  | — |  |  | (2) |  |  | (1) |  |  | (3) |
Balance at December 31, 2023 |  | $ | 2 |  |  | $ | — |  |  | $ | 37 |  |  | $ | 39 |
|  | Other Restructuring Costs
(in millions) |  | 2021 and Prior Plans |  | 2022 Plans |  | 2023 Plans |  | Total
Balance at December 31, 2022 |  | $ | — |  |  | $ | 1 |  |  | $ | — |  |  | $ | 1 |
Provisions and adjustments |  | 1 |  |  | — |  |  | 9 |  |  | 10 |
Amounts applied |  | (1) |  |  | — |  |  | (8) |  |  | (9) |
Change in estimates |  | — |  |  | — |  |  | (1) |  |  | (1) |
Balance at December 31, 2023 |  | $ | — |  |  | $ | 1 |  |  | $ | — |  |  | $ | 1 |
The cumulative amounts for the provisions and adjustments and amounts applied for all the plans by segment were as follows:
(in millions) |  | December 31, 2022 |  | Provisions and Adjustments |  | Amounts Applied |  | Change in Estimates |  | December 31, 2023
Connected Technology Solutions |  | $ | 3 |  |  | $ | 18 |  |  | $ | (8) |  |  | $ | — |  |  | $ | 13 |
Essential Dental Solutions |  | 4 |  |  | 25 |  |  | (10) |  |  | (2) |  |  | 17 |
Orthodontic and Implant Solutions |  | 1 |  |  | 16 |  |  | (7) |  |  | (1) |  |  | 9 |
Wellspect Healthcare |  | — |  |  | 5 |  |  | (3) |  |  | (1) |  |  | 1 |
All Other |  | — |  |  | 10 |  |  | (10) |  |  | — |  |  | — |
Total |  | $ | 8 |  |  | $ | 74 |  |  | $ | (38) |  |  | $ | (4) |  |  | $ | 40 |
The Company’s restructuring accruals at December 31, 2022 were as follows:
|  | Severances
(in millions) |  | 2020 and Prior Plans |  | 2021 Plans |  | 2022 Plans |  | Total
Balance at December 31, 2021 |  | $ | 5 |  |  | $ | 9 |  |  | $ | — |  |  | $ | 14 |
Provisions and adjustments |  | 1 |  |  | 1 |  |  | 9 |  |  | 11 |
Amounts applied |  | (3) |  |  | (6) |  |  | (5) |  |  | (14) |
Change in estimates |  | (2) |  |  | (1) |  |  | (1) |  |  | (4) |
Balance at December 31, 2022 |  | $ | 1 |  |  | $ | 3 |  |  | $ | 3 |  |  | $ | 7 |
|  | Other Restructuring Costs
(in millions) |  | 2020 and Prior Plans |  | 2021 Plans |  | 2022 Plans |  | Total
Balance at December 31, 2021 |  | $ | 4 |  |  | $ | — |  |  | $ | — |  |  | $ | 4 |
Provisions and adjustments |  | 1 |  |  | 2 |  |  | 2 |  |  | 5 |
Amounts applied |  | (4) |  |  | (2) |  |  | (1) |  |  | (7) |
Change in estimates |  | (1) |  |  | — |  |  | — |  |  | (1) |
Balance at December 31, 2022 |  | $ | — |  |  | $ | — |  |  | $ | 1 |  |  | $ | 1 |
The cumulative amounts for the provisions and adjustments and amounts applied for all the plans by segment were as follows:
(in millions) |  | December 31, 2021 |  | Provisions and Adjustments |  | Amounts Applied |  | Change in Estimates |  | December 31, 2022
Connected Technology Solutions |  | $ | 7 |  |  | $ | 5 |  |  | $ | (5) |  |  | $ | (4) |  |  | $ | 3 |
Essential Dental Solutions |  | 5 |  |  | 4 |  |  | (5) |  |  | — |  |  | 4 |
Orthodontic and Implant Solutions |  | 5 |  |  | 2 |  |  | (5) |  |  | (1) |  |  | 1 |
Wellspect Healthcare |  | 1 |  |  | 1 |  |  | (2) |  |  | — |  |  | — |
All Other |  | — |  |  | 4 |  |  | (4) |  |  | — |  |  | — |
Total |  | $ | 18 |  |  | $ | 16 |  |  | $ | (21) |  |  | $ | (5) |  |  | $ | 8 |

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- Definition The entire disclosure of costs incurred for restructuring including, but not limited to, exit and disposal activities, remediation, implementation, integration, asset impairment, and charges against earnings from the write-down of assets. + References No definition available. + Details
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