Restructuring and Asset Impairment Charges

9 Months Ended

Sep. 30, 2013

Restructuring and Related Activities [Abstract]

Restructuring and Asset Impairment Charges

Closed Restructuring Program

Between 2008 and 2011 and in recognition of the very challenging economic environment, we were intensely focused on reducing our operating costs. During this period, we reduced our employee headcount from approximately 10,900 at January 1, 2008 (the beginning of the restructuring period) to approximately 7,500 at December 31, 2011 (the end of the restructuring period). Additionally, we reduced our branch network from 697 locations at January 1, 2008 to 529 locations at December 31, 2011. For the nine months ended September 30, 2013, the restructuring charges primarily reflected branch closure charges due to continuing lease obligations at vacant facilities.

RSC Merger Related Restructuring Program

In the second quarter of 2012, we initiated a restructuring program related to severance costs and branch closure charges associated with the RSC acquisition. The branch closure charges principally relate to continuing lease obligations at vacant facilities closed subsequent to the RSC acquisition. As of September 30, 2013, our employee headcount is approximately 11,700 and our branch network has 822 rental locations. We do not expect to incur significant additional charges in connection with the restructuring, which was complete as of June 30, 2013 (the end of the restructuring period).

The table below provides certain information concerning our restructuring charges for the nine months ended September 30, 2013:



	Reserve Balance at		Charged to Costs and Expenses(1)		Payments and Other			Reserve Balance at
Description	December 31, 2012		Charged to Costs and Expenses(1)		Payments and Other			September 30, 2013
Closed Restructuring Program
Branch closure charges	$	19	$	3	$	(8	)	$	14
Severance costs	—		—		—			—
Total	$	19	$	3	$	(8	)	$	14
RSC Merger Related Restructuring Program
Branch closure charges	$	33	$	7	$	(16	)	$	24
Severance costs	9		2		(8		)	3
Total	$	42	$	9	$	(24	)	$	27
Total
Branch closure charges	$	52	$	10	$	(24	)	$	38
Severance costs	9		2		(8		)	3
Total	$	61	$	12	$	(32	)	$	41

_________________


(1)	Reflected in our condensed consolidated statements of income as “Restructuring charge.” These charges are not allocated to our reportable segments.

Asset Impairment Charges

In addition to the restructuring charges discussed above, during the three and nine months ended September 30, 2013, we recorded asset impairment charges of $0 and $4, respectively, in our general rentals segment. During the three and nine months ended September 30, 2012, we recorded asset impairment charges of $10 and $13, respectively, in our general rentals segment. The asset impairment charges are primarily reflected in non-rental depreciation and amortization in the accompanying consolidated statements of income and principally relate to write-offs of leasehold improvements and other fixed assets in connection with the restructuring activity discussed above.

- 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.

+ References+ Details