Restructuring Costs

During the nine months ended September 30, 2015, we recorded net pre-tax restructuring costs totaling $344 million for new and ongoing restructuring actions. We recorded charges in the segments as follows:



(Dollars in millions)
Otis	$	32
UTC Climate, Controls & Security	67
Pratt & Whitney	37
UTC Aerospace Systems	64
Eliminations and other	5
Restructuring costs recorded within continuing operations	205
Restructuring costs recorded within discontinued operations	139
Total	$	344

During the nine months ended September 30, 2015, we incurred restructuring costs that were recorded within discontinued operations of $139 million, which includes approximately $110 million of net settlements and curtailment losses for pension benefits. There were no curtailment losses related to discontinued operations for the quarter and nine months ended September 30, 2014. Restructuring charges incurred during the nine months ended September 30, 2015 primarily relate to actions initiated during 2015 and 2014, and were recorded as follows:



(Dollars in millions)
Cost of sales	$	106
Selling, general and administrative	99
Restructuring costs recorded within continuing operations	205
Restructuring costs recorded within discontinued operations	139
Total	$	344

2015 Actions. During the nine months ended September 30, 2015, we recorded net pre-tax restructuring costs totaling $271 million, including $61 million in cost of sales, $68 million in selling, general and administrative expenses, and $142 million in discontinued operations. The 2015 actions relate to ongoing cost reduction efforts, including workforce reductions and the consolidation of field operations.

We are targeting the majority of the remaining workforce and all facility related cost reduction actions for completion during 2015 and 2016. No specific plans for significant other actions have been finalized at this time. The following table summarizes the accrual balance and utilization by cost type for the 2015 restructuring actions:



(Dollars in millions)	Severance			Facility Exit, Lease Termination and Other Costs			Total
Restructuring accruals at July 1, 2015	$	89		$	—		$	89
Net pre-tax restructuring costs	157			9			166
Utilization and foreign exchange	(157		)	(7		)	(164		)
Balance at September 30, 2015	$	89		$	2		$	91

The following table summarizes expected, incurred and remaining costs for the 2015 restructuring actions by segment:



(Dollars in millions)	Expected Costs		Costs Incurred Quarter Ended March 31, 2015			Costs Incurred Quarter Ended June 30, 2015			Costs Incurred Quarter Ended September 30, 2015			Remaining Costs at September 30, 2015
Otis	$	26	$	—		$	(4	)	$	(12	)	$	10
UTC Climate, Controls & Security	49		(16		)	(12		)	(11		)	10
Pratt & Whitney	19		(1		)	(2		)	(10		)	6
UTC Aerospace Systems	68		(47		)	4			(13		)	12
Eliminations and other	5		—			(1		)	(4		)	—
Discontinued operations	164		—			(26		)	(116		)	22
Total	$	331	$	(64	)	$	(41	)	$	(166	)	$	60

2014 Actions. During the nine months ended September 30, 2015, we recorded net pre-tax restructuring costs totaling $73 million for restructuring actions initiated in 2014, including $44 million in cost of sales and $29 million in selling, general and administrative expenses. The 2014 actions relate to ongoing cost reduction efforts, including workforce reductions and the consolidation of field operations. The following table summarizes the accrual balances and utilization by cost type for the 2014 restructuring actions:



(Dollars in millions)	Severance			Facility Exit, Lease Termination and Other Costs			Total
Restructuring accruals at July 1, 2015	$	123		$	6		$	129
Net pre-tax restructuring costs	19			6			25
Utilization and foreign exchange	(24		)	(9		)	(33		)
Balance at September 30, 2015	$	118		$	3		$	121

The following table summarizes expected, incurred and remaining costs for the 2014 restructuring actions by segment:



(Dollars in millions)	Expected Costs		Costs Incurred in 2014			Costs Incurred Quarter Ended March 31, 2015			Costs Incurred Quarter Ended June 30, 2015			Costs Incurred Quarter Ended September 30, 2015			Remaining Costs at September 30, 2015
Otis	$	129	$	(98	)	$	(6	)	$	(4	)	$	(6	)	$	15
UTC Climate, Controls & Security	127		(86		)	(7		)	(18		)	(5		)	11
Pratt & Whitney	118		(64		)	(10		)	(2		)	(13		)	29
UTC Aerospace Systems	83		(72		)	—			(1		)	(1		)	9
Eliminations and other	5		(5		)	—			—			—			—
Discontinued operations	20		(20		)	—			—			—			—
Total	$	482	$	(345	)	$	(23	)	$	(25	)	$	(25	)	$	64

2013 Actions. As of September 30, 2015, we have approximately $42 million of accrual balances remaining related to 2013 actions.