RESTRUCTURING COSTS

The restructuring charge for the year ended December 31, 2015 was $10 million. The components of the restructuring charges for the years ended December 31, 2015, 2014 and 2013 were as follows:



	Years Ended December 31,
	2015		2014			2013
Personnel-related costs (1)	$	3	$	—		$	—
Facility-related costs (2)	3		(1		)	3
Accelerated depreciation related to asset disposals	—		—			1
Other restructuring costs (3)	4		—			—
Total restructuring charges	$	10	$	(1	)	$	4

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(1)	Personnel-related costs consist of severance costs provided to employees who have been terminated and duplicate payroll costs during transition.


(2)	Facility-related costs consist of costs associated with planned facility closures such as contract termination costs, lease payments that will continue to be incurred under the contract for its remaining term without economic benefit to the Company and other facility and employee relocation related costs.


(3)	Other restructuring costs consist of costs related to professional fees, consulting fees and other costs associated with restructuring activities.

2015-2016 Business Optimization Initiative

During the fourth quarter of 2015, the Company implemented a business optimization initiative that focuses on maximizing the efficiency and effectiveness of the cost structure of each of the Company's business units. The action is designed to improve client service levels across each of the business units while enhancing the Company's profitability and incremental margins. The plan focuses on several key areas of opportunity which include process improvement efficiencies, office footprint optimization, leveraging technology and media spend, centralized procurement and organizational design. Activities undertaken in connection with the restructuring plan are expected to be substantially completed by the end of 2016.

The following is a reconciliation of the beginning and ending restructuring reserve balances for the 2015-2016 Business Optimization Initiative:



	Personnel-related costs		Facility-related costs		Accelerated depreciation related to asset disposals		Other restructuring costs			Total
Balance at October 1, 2015	$	—	$	—	$	—	$	—		$	—
Restructuring charges	3		3		—		4			10
Costs paid or otherwise settled	—		—		—		(1		)	(1		)
Balance at December 31, 2015	$	3	$	3	$	—	$	3		$	9

The following is a reconciliation of the total amounts expected to be incurred from the 2015-2016 Business Optimization Initiative:



	Total amount expected to be incurred		Amount incurred in 2015		Total amount remaining to be incurred
Personnel-related costs	$	17	$	3	$	14
Facility-related costs	13		3		10
Accelerated depreciation related to asset disposals	1		—		1
Other restructuring costs	6		4		2
Total	$	37	$	10	$	27

The following is a reconciliation of the total amounts expected to be incurred from the 2015-2016 Business Optimization Initiative by reportable segment:



	Total amount expected to be incurred		Amount incurred in 2015		Total amount remaining to be incurred
Real Estate Franchise Services	$	2	$	—	$	2
Company Owned Real Estate Brokerage Services	20		5		15
Relocation Services	8		1		7
Title and Settlement Services	1		—		1
Corporate and Other	6		4		2
Total	$	37	$	10	$	27

2013 Corporate Headquarters Relocation

During the second quarter of 2013, the Company completed the relocation of its corporate headquarters from Parsippany, New Jersey to Madison, New Jersey. As a result of this relocation, the Company recognized a $4 million restructuring charge in 2013 which was primarily comprised of lease payments on the former corporate headquarters through October 2013. For the year ended December 31, 2013, the Company utilized all $4 million of the restructuring accrual.