Restructuring Activities

9 Months Ended

Sep. 30, 2014

Restructuring and Related Activities [Abstract]

The Company incurred restructuring expenses of $3.3 million and $0.6 million in the three months ended September 30, 2014 and 2013, respectively, and $6.6 million and $2.9 million in the nine months ended September 30, 2014 and 2013, respectively.

In the Paper segment, restructuring expenses were $2.5 million and $0.2 million for the three months ended September 30, 2014 and 2013, respectively, and $2.5 million and $1.7 million for the nine months ended September 30, 2014 and 2013, respectively. Expenses in 2014 related primarily to severance accruals for employees of our Brazil manufacturing facility and a loss on the sale of our Lee Mills plant. In 2013, these expenses primarily related to severance and early retirement expenses in the French operations for ongoing accruals over the remaining service lives of affected employees related to previously announced actions.

The Reconstituted Tobacco segment restructuring expenses were $0.8 million and $0.1 million for the three months ended September 30, 2014 and 2013, respectively, and $4.1 million and $0.9 million for the nine months ended September 30, 2014 and 2013, respectively. During the three and nine months ended September 30, 2014, restructuring expenses primarily related to a voluntary redundancy program at our Spay, France facility. The 2013 expenses were for severance and early retirement expenses in the French operations for ongoing accruals over the remaining service lives of affected employees related to previously announced actions.

Restructuring liabilities were classified within Accrued Expenses in each of the consolidated balance sheets as of September 30, 2014 and December 31, 2013. Changes in the restructuring liabilities, substantially all of which are employee-related, during the periods ended September 30, 2014 and December 31, 2013 are summarized as follows ($ in millions):



	Nine Months Ended			Year Ended
	September 30, 2014			December 31, 2013
Balance at beginning of year	$	4.7		$	3.4
Accruals for announced programs	5.8			3.9
Cash payments	(3.5		)	(2.7		)
Exchange rate impacts	(0.4		)	0.1
Balance at end of period	$	6.6		$	4.7

- 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.

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