Restructuring Activities

12 Months Ended

Dec. 31, 2022

Restructuring and Related Activities [Abstract]

Restructuring Activities

Restructuring Activities

For the year ended December 31, 2022, the Company incurred $12.1 million of restructuring charges and $9.3 million of other related costs associated with restructuring activities. These charges were incurred in connection with the Company’s Reinvent SEE business transformation.

In December 2018, the Board of Directors approved our Reinvent SEE business transformation, which included the related restructuring program (“Program”). Spend associated with our previously existing restructuring programs at the time of Reinvent SEE’s approval was substantially completed as of December 31, 2020 and is not included in the restructuring program totals below.

The Board of Directors originally approved the Program with a cumulative restructuring spend up to $220 million and a three-year term. The Board of Directors later extended the Program to the end of calendar year 2022, and it is now concluded.

Restructuring spend has been incurred as follows:

(In millions)	Total Restructuring Program		Total Program Spend
Costs of reduction in headcount as a result of reorganization	$	85	$	87
Other expenses associated with the Program	115		112
Total expense	200		199
Capital expenditures	20		20
Total estimated cash cost(1)	$	220	$	219

(1)    Total estimated cash cost excludes the impact of proceeds from the sale of property and equipment and foreign currency impact.

The Company incurred nominal, none, and $1.7 million of expenses related to a restructuring program associated with our 2019 acquisition of Automated Packaging Systems during the years ended December 31, 2022, 2021 and 2020, respectively. See Note 5, "Acquisition and Divestiture Activity," of the Notes for additional information related to our acquisitions.

The following table details our aggregate restructuring activities incurred under the Company's Program or prior restructuring programs at the time the expense was recorded as reflected in the Consolidated Statements of Operations: 

	Year Ended December 31,
(In millions)	2022		2021		2020
Other associated costs	$	9.3	$	16.5	$	19.6
Restructuring charges	12.1		14.5		11.0
Total charges	$	21.4	$	31.0	$	30.6
Capital expenditures	$	9.7	$	8.2	$	0.4

The aggregate restructuring accrual, spending and other activity for the years ended December 31, 2022, 2021 and 2020 and the accrual balance remaining at those year-ends were as follows:

(In millions)
Restructuring accrual at December 31, 2019	$	31.5
Accrual and accrual adjustments	11.0
Cash payments during 2020	(28.0)
Effect of changes in foreign currency exchange rates	(0.2)
Restructuring accrual at December 31, 2020	$	14.3
Accrual and accrual adjustments	14.5
Cash payments during 2021	(16.9)
Effect of changes in foreign currency exchange rates	(0.6)
Restructuring accrual at December 31, 2021	$	11.3
Accrual and accrual adjustments	12.1
Cash payments during 2022	(8.6)
Effect of changes in foreign currency exchange rates	(0.1)
Restructuring accrual at December 31, 2022	$	14.7

We expect to pay the remaining December 31, 2022 accrual balance of $14.7 million within the next twelve months. This amount is included in Accrued restructuring costs on the Consolidated Balance Sheets at December 31, 2022.

One of the components of the Reinvent SEE business transformation was to enhance the operational efficiency of the Company by acting as "One SEE". The Program was approved by our Board of Directors as a consolidated program benefiting both Food and Protective. Of the total remaining restructuring accrual of $14.7 million as of December 31, 2022, $6.7 million was attributable to Food and $8.0 million was attributable to Protective.