Restructuring and Impairment Activities

The Company incurred restructuring and impairment expenses of $25.6 million, $14.6 million and $13.1 million in the years ended December 31, 2016, 2015 and 2014, respectively.

In the EP segment, restructuring and impairment expenses were $4.0 million, $14.4 million and $11.3 million during the years ended December 31, 2016, 2015 and 2014, respectively.

In 2016, restructuring and impairment expenses in the EP segment consisted of $3.4 million related to severance expenses in the French, Brazilian and U.S. operations for ongoing accruals over the remaining service lives of affected employees related to previously announced actions as well as $0.6 million of impairment charges to certain of the Company's manufacturing equipment in Poland and Brazil.

In 2015, restructuring and impairment expenses in the EP segment consisted of $7.8 million related to severance expenses in the French, Brazilian and U.S. operations for ongoing accruals over the remaining service lives of affected employees related to previously announced actions as well as $1.4 million of impairment charges to certain of the Company's Polish and Brazilian manufacturing equipment and $5.2 million of loss recognized to adjust the recorded value of equipment at the Philippines RTL location to its estimated fair value less cost to sell as discussed in more detail below.

During 2014, restructuring and impairment expenses in the EP segment primarily related to $9.4 million related to severance expenses in the French, Brazilian and U.S. operations for ongoing accruals over the remaining service lives of affected employees related to previously announced actions as well as losses on disposal of the Company's Lee Mills and Golden Hills manufacturing facilities of $1.0 million and asset impairment expenses at the Company's manufacturing facility in Canada of $0.9 million.

The fair value of the RTL Philippines facility was determined by using independent appraisals of certain assets, which are considered significant unobservable inputs, or Level 3 inputs.

The Company incurred $21.3 million, reversed $0.2 million and incurred $0.4 million in restructuring and impairment expenses in 2016, 2015, and 2014, respectively, within the AMS segment. During 2016, $20.7 million of the expense in the AMS segment was attributable to the impairment of the DelStar trade name, as discussed in Note 9. Intangible Assets. The remaining amount in 2016 and the total expense in 2015 and 2014 related to accruals for severance incurred during the acquisition of the assets from Smith & Nephew in December 2014.

Additionally, the Company incurred $0.3 million, $0.4 million, and $1.4 million in 2016, 2015, and 2014, respectively, in restructuring expenses related to accruals for severance expenses within supporting overhead departments which were not allocated to a specific segment.

Restructuring liabilities were classified within Accrued expenses in each of the Consolidated Balance Sheets as of December 31, 2016 and 2015. Changes in the restructuring liabilities, substantially all of which are employee-related, are summarized as follows ($ in millions):



	2016			2015
Balance at beginning of year	$	7.7		$	8.7
Accruals for announced programs	4.3			8.0
Cash payments	(8.4		)	(8.3		)
Exchange rate impacts	0.7			(0.7		)
Balance at end of period	$	4.3		$	7.7

Long-lived assets to be sold are classified as held for sale in the period in which all of the following criteria are met: management, having the authority to approve the action, commits to a plan to sell the assets; the asset are available for immediate sale in present condition subject only to terms that are usual and customary for sales of such assets; an active program to locate a buyer and other actions required to complete the plan to sell the assets have been initiated; the sale of the assets is probable, and transfer of the assets is expected to qualify for recognition as a completed sale within one year, except if events or circumstances beyond our control extend the period of time required to sell the assets beyond one year; the assets are being actively marketed for sale at a price that is reasonable in relation to current fair value; and actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn.

A long-lived asset that is classified as held for sale is initially measured at the lower of its carrying value or fair value less any costs to sell. Any loss resulting from this measurement is recognized in the period in which the held for sale criteria are met. Conversely, gains are not recognized on the sale of a long-lived asset until the date of sale. The fair value of a long-lived asset less any costs to sell is assessed each reporting period it remains classified as held for sale and any reduction in fair value is reported as an adjustment to the carrying value of the asset. Upon being classified as held for sale, depreciation is ceased. Long-lived assets to be disposed of other than by sale are continued to be depreciated. Upon determining that a long-lived asset meets the criteria to be classified as held for sale, the assets and liabilities of the disposal group, if material, are reported in the line item "Assets held for sale" in our condensed consolidated balance sheets.

In early 2015, the Company made the decision to dispose of the Company’s mothballed RTL facility and related equipment in the Philippines. These assets are included in the EP segment. During 2015, the Company reclassified the equipment at this location, along with the land and building associated with the property, from Property, plant and equipment, net, to Assets held for sale on the consolidating balance sheets. The reclassifications were made for all assets that are expected to be sold within one year of the balance sheet date and, as of December 31, 2015, all of the physical assets of this entity were classified as Assets held for sale. As discussed above, during the year ended December 31, 2015, the Company incurred $5.2 million in impairment expense to write-down the carrying value of these assets to the net realizable value. There were no impairment charges related to these assets recorded during 2016.