XML 23 R13.htm IDEA: XBRL DOCUMENT
v3.22.1

Costs Associated with Rationalization Programs | 3 Months Ended
--- | ---
Mar. 31, 2022
Restructuring and Related Activities [Abstract] |
Costs Associated with Rationalization Programs | NOTE 4. COSTS ASSOCIATED WITH RATIONALIZATION PROGRAMS In order to maintain our global competitiveness, we have implemented rationalization actions over the past several years to reduce high-cost and excess manufacturing capacity and operating and administrative costs. The following table presents a roll-forward of the liability balance between periods:
|  | Associate- |  |  |  |  |  |  |
(In millions) |  | Related Costs |  |  | Other Costs |  |  | Total |
Balance at December 31, 2021 |  | $ | 88 |  |  | $ | — |  |  | $ | 88 |
2022 Charges |  |  | 5 |  |  |  | 7 |  |  |  | 12 |
Incurred, net of foreign currency translation of $(2) million and $0 million, respectively |  |  | (31 | ) |  |  | (7 | ) |  |  | (38 | )
Reversed to the Statement of Operations |  |  | (1 | ) |  |  | — |  |  |  | (1 | )
Balance at March 31, 2022 |  | $ | 61 |  |  | $ | — |  |  | $ | 61 |
The accrual balance at March 31, 2022 is expected to be substantially utilized in the next 12 months and includes $24 million related to global plans to reduce Selling, Administrative and General Expense ("SAG") headcount, $10 million related to the permanent closure of our Gadsden, Alabama tire manufacturing facility ("Gadsden"), $8 million to modernize two of our tire manufacturing facilities in Germany, and $5 million related to the closed Amiens, France tire manufacturing facility. The remainder of the accrual balance is comprised of various other plans to reduce headcount and improve operating efficiency. The following table shows net rationalization charges included in Income before Income Taxes:
|  | Three Months Ended |
|  | March 31, |
(In millions) |  | 2022 |  |  | 2021 |
Current Year Plans |  |  |  |  |  |
Associate Severance and Other Related Costs |  | $ | — |  |  | $ | 20 |
Current Year Plans - Net Charges |  | $ | — |  |  | $ | 20 |
Prior Year Plans |  |  |  |  |  |
Associate Severance and Other Related Costs |  | $ | 4 |  |  | $ | 20 |
Benefit Plan Curtailments/Settlements/Termination Benefits |  |  | — |  |  |  | — |
Other Exit Costs |  |  | 7 |  |  |  | 10 |
Prior Year Plans - Net Charges |  | $ | 11 |  |  | $ | 30 |
Total Net Charges |  | $ | 11 |  |  | $ | 50 |
Substantially all of the new charges for the three months ended March 31, 2022 and 2021 relate to future cash outflows. There were no net current year plan charges for the three months ended March 31, 2022. Net current year plan charges for the three months ended March 31, 2021 primarily related to a plan to reduce SAG headcount in Europe, Middle East and Africa (“EMEA”). Net prior year plan charges for the three months ended March 31, 2022 included $7 million related to the permanent closure of Gadsden, $5 million related to the modernization of two of our tire manufacturing facilities in Germany and reversals of $1 million for actions no longer needed for their originally intended purpose. Net prior year plan charges for the three months ended March 31, 2021 included $14 million related to the modernization of two of our tire manufacturing facilities in Germany, $8 million related to the permanent closure of Gadsden and $8 million related to various other plans to reduce headcount and improve operating efficiency. Ongoing rationalization plans had approximately $830 million i n charges incurred prior to 2022 and approximately $30 million is expected to be incurred in future periods. In the first three months of 2022, approximately 50 associates were released under plans initiated in prior years. Approximately 150 associates remain to be released under all ongoing rationalization plans.

X
- References No definition available. + Details
Name: | us-gaap_RestructuringAndRelatedActivitiesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section S99 -Paragraph 2 -Subparagraph (SAB Topic 5.P.4(e)) -URI http://asc.fasb.org/extlink&oid=115931487&loc=d3e140904-122747 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=6394359&loc=d3e17939-110869 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -URI http://asc.fasb.org/topic&trid=2175745 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=6394359&loc=d3e17939-110869 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 420 -SubTopic 10 -Section 50 -Paragraph 1 -Subparagraph (b)(2) -URI http://asc.fasb.org/extlink&oid=6394359&loc=d3e17939-110869 + Details
Name: | us-gaap_RestructuringAndRelatedActivitiesDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration