XML 24 R12.htm IDEA: XBRL DOCUMENT v3.25.1
Restructuring Accruals
 3 Months Ended
Mar. 31, 2025
Restructuring Accruals  
Restructuring Accruals

​

6. Restructuring Accruals

Selected information related to the restructuring accruals for the three months ended March 31, 2025 and 2024 is as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Fit to Win program

​

​

Other Restructuring

​

​

​

​

​

Employee

​

Asset

​

Other

​

Employee

​

Asset

​

Other

​

Total

​

    

Costs

​

Impairment

​

Exit Costs

    

Costs

​

Impairment

​

Exit Costs

​

Restructuring

Balance at January 1, 2025

​

$

51

​

$

—

​

$

18

​

$

7

​

$

—

​

$

4

​

$

80

Charges

​

​

50

​

​

14

​

​

18

​

​

​

​

​

​

​

​

​

​

​

82

Write-down of assets to net realizable value

​

​

​

​

​

(14)

​

​

​

​

​

​

​

​

​

​

​

​

​

​

(14)

Net cash paid, principally severance and related benefits

​

 

(23)

​

​

​

​

​

(4)

​

 

(1)

​

​

​

​

​

​

​

 

(28)

Balance at March 31, 2025

​

$

78

​

$

—

​

$

32

​

$

6

​

$

—

​

$

4

​

$

120

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Other Restructuring

​

​

​

​

​

​

​

​

​

​

​

Employee

​

Asset

​

Other

​

Total

​

​

​

​

​

​

​

​

Costs

​

Impairment

​

Exit Costs

​

Restructuring

Balance at January 1, 2024

​

​

​

​

​

​

​

​

​

​

$

27

​

$

—

​

$

12

​

$

39

Net cash paid, principally severance and related benefits

​

​

​

​

​

​

​

​

​

​

 

(8)

​

​

​

​

​

(2)

​

 

(10)

Balance at March 31, 2024

​

​

​

​

​

​

​

​

​

​

$

19

​

$

—

​

$

10

​

$

29

​

When a decision is made to take restructuring actions, the Company manages and accounts for them programmatically apart from the ongoing operations of the business. Information related to major programs is presented separately, while minor initiatives are presented on a combined basis.

As of March 31, 2025, the Company’s only major restructuring program was the Fit to Win initiative, which is expected to reduce redundant production capacity and begin to optimize the network, as well as streamline other cost areas, such as selling, general and administrative expenses.  The Fit to Win initiative began in the second half of 2024 and is expected to last at least through 2025. Details regarding charges, payments and other changes to the Fit to Win restructuring accruals are presented in the table above. Management does not yet have an estimate for the total restructuring charges to be incurred with this program, however, the total charges are expected to be material. As of March 31, 2024, no major restructuring programs were in effect.

For the three months ended March 31, 2025, the Company recorded restructuring, asset impairment and other charges of approximately $82 million to Other expense, net in the Condensed Consolidated Results of Operations, of which all related to the Fit to Win program. These charges consisted of employee costs, such as severance and benefit-related costs, write-down of assets and other exit costs in the Americas segment ($6 million), Europe segment ($52 million) and Retained corporate costs and other ($24 million). As of March 31, 2025, the Company has incurred cumulative charges of approximately $283 million related to the Fit to Win program. Additional restructuring charges are expected in future quarters when management completes their assessment to reduce redundant production capacity and streamline costs. The Company expects that the majority of the remaining cash expenditures related to the accrued employee and other exit costs will be paid out over the next several years.

The Company’s decisions to curtail selected production capacity have resulted in write-downs of certain long-lived assets to the extent their carrying value exceeded fair value or fair value less cost to sell. The Company classified the assumptions used to determine the fair value of the impaired assets in the period that the measurement was taken as Level 3 (third-party appraisals, where applicable) in the fair value hierarchy as set forth in the general accounting

principles for fair value measurements. For the asset impairments recorded during the three months ended March 31, 2025, the remaining carrying value of the impaired assets was approximately $0.