Other (Income) Expense

Other (income) expense consists of:



	Three Months Ended September 30,						Nine Months Ended September 30,
($ in millions)	2017			2016			2017			2016
Restructuring and related charges:
Severance and post-employment benefits	$	—		$	1.4		$	—		$	7.8
Asset-related charges	—			0.9			—			15.9
Total restructuring and related charges	—			2.3			—			23.7
Venezuela currency devaluation	—			—			—			2.7
Venezuela deconsolidation	—			—			11.1			—
Development and licensing income	(9.5		)	(0.4		)	(10.3		)	(1.2		)
Contingent consideration costs	(0.2		)	—			0.5			1.9
Other items	0.2			0.6			1.8			2.0
Total other (income) expense	$	(9.5	)	$	2.5		$	3.1		$	29.1

Restructuring and Related Charges

On February 15, 2016, our Board of Directors approved a restructuring plan designed to repurpose several of our production facilities in support of growing high-value proprietary products and to realign operational and commercial activities to meet the needs of our new market-focused commercial organization.

During the three months ended September 30, 2016, we recorded $2.3 million in restructuring and related charges, consisting of $1.4 million for severance charges and $0.9 million for a non-cash asset write-down associated with the discontinued use of certain equipment. During the nine months ended September 30, 2016, we incurred $23.7 million in restructuring and related charges, consisting of $7.8 million for severance charges, $10.0 million for a non-cash asset write-down associated with the discontinued use of a trademark, and $5.9 million for non-cash asset write-downs associated with the discontinued use of a patent and certain equipment.

The following table presents activity related to our restructuring obligations:



($ in millions)	Severance and benefits			Asset-related charges			Other charges			Total
Balance, December 31, 2015	$	—		$	—		$	—		$	—
Charges	8.9			17.3			0.2			26.4
Cash payments	(3.0		)	—			—			(3.0		)
Non-cash asset write-downs	—			(17.3		)	(0.2		)	(17.5		)
Balance, December 31, 2016	5.9			—			—			5.9
Cash payments	(2.9		)	—			—			(2.9		)
Balance, 9/30/2017	$	3.0		$	—		$	—		$	3.0

The balance of the charges related to this plan will be recognized as incurred in 2017.

Other Items

On February 17, 2016, the Venezuelan government announced a devaluation of the Bolivar, from the previously-prevailing official exchange rate of 6.3 Bolivars to USD to 10.0 Bolivars to USD, and streamlined the previous three-tiered currency exchange mechanism into a dual currency exchange mechanism. As a result, during the nine months ended September 30, 2016, we recorded a $2.7 million charge. During the nine months ended September 30, 2017, as a result of the continued deterioration of conditions in Venezuela as well as our continued reduced access to USD settlement controlled by the Venezuelan government, we recorded a charge of $11.1 million related to the deconsolidation of our Venezuelan subsidiary, following our determination that we no longer met the U.S. GAAP criteria for control of that subsidiary. This charge included the derecognition of the carrying amounts of our Venezuelan subsidiary's assets and liabilities, as well as the write-off of our investment in our Venezuelan subsidiary, related unrealized translation adjustments and the elimination of intercompany accounts. As of April 1, 2017, our consolidated financial statements exclude the results of our Venezuelan subsidiary. We will continue to actively monitor the political and economic developments in Venezuela.

In addition, during the three and nine months ended September 30, 2017, we recognized development and licensing income of $9.5 million and $10.3 million, respectively, within Proprietary Products. During the three and nine months ended September 30, 2017, we recorded income of $9.1 million attributable to the reimbursement of certain costs related to a technology that we subsequently licensed to a third party. The license of technology to the third party may result in additional income in the future, contingent on commercialization of the related product. During both the three and nine months ended September 30, 2017 and 2016, we recorded income of $0.4 million and $1.2 million related to a nonrefundable customer payment of $20.0 million received in June 2013 in return for the exclusive use of the SmartDose technology platform within a specific therapeutic area. As of September 30, 2017, there was $13.2 million of unearned income related to this payment, of which $1.5 million was included in other current liabilities and $11.7 million was included in other long-term liabilities. The unearned income is being recognized as income on a straight-line basis over the remaining term of the agreement. The agreement does not include a future minimum purchase commitment from the customer.

Contingent consideration costs represent changes in the fair value of the SmartDose contingent consideration. Please refer to Note 8, Fair Value Measurements, for additional details.

Other items consist of foreign exchange transaction gains and losses, gains and losses on the sale of fixed assets, and miscellaneous income and charges.