Other Expense

Other expense consisted of:



($ in millions)	2017			2016			2015
Restructuring and related charges:
Severance and post-employment benefits	$	—		$	8.9		$	—
Asset-related charges	—			17.3			—
Other charges	—			0.2			—
Total restructuring and related charges	$	—		$	26.4		$	—
Pension settlement charge	—			—			50.4
Pension curtailment gain	—			(2.1		)	—
Executive retirement and related costs	—			—			10.9
Venezuela currency devaluation	—			2.7			—
Venezuela deconsolidation	11.1			—			—
Development and licensing income	(10.6		)	(1.5		)	(1.5		)
Contingent consideration	(2.4		)	2.3			1.1
Other items	3.9			(0.1		)	(0.8		)
Total other expense	$	2.0		$	27.7		$	60.1

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 2016, we incurred $26.4 million in restructuring and related charges in connection with this plan, consisting of $8.9 million for severance charges, $10.0 million for a non-cash asset write-down associated with the discontinued use of a trademark, $7.3 million for non-cash asset write-downs associated with the discontinued use of a patent and certain equipment, and $0.2 million for other charges.

The following table presents activity related to our restructuring obligations related to the 2016 restructuring plan:



($ 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
Charges	(0.7		)	—			0.7			—
Cash payments	(3.1		)	—			—			(3.1		)
Non-cash asset write-downs	—			—			(0.7		)	(0.7		)
Balance, December 31, 2017	$	2.1		$	—		$	—		$	2.1

Other Items

During 2015, we recorded a $50.4 million pension settlement charge, of which $47.0 million related to our purchase of a group annuity contract from MetLife and $3.4 million related to lump-sum payouts made to terminated vested participants of our U.S. qualified pension plan. Please refer to Note 13, Benefit Plans, for additional details.

During 2016, we recorded a pension curtailment gain of $2.1 million in connection with our decision to freeze both our U.S. qualified and non-qualified defined benefit pension plans as of January 1, 2019.

In addition, during 2015, we recorded a $10.9 million charge for executive retirement and related costs, including $2.4 million for a long-term incentive plan award for our previous Chief Executive Officer (“CEO”), $8.0 million for the revaluation of modified outstanding awards to provide for continued vesting for our previous CEO and Senior Vice President of Human Resources in conjunction with their retirement, and $0.5 million for other costs, including relocation and legal fees.

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 2016, we recorded a $2.7 million charge. In 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.

During 2017, we recognized development and licensing income of $10.6 million within Proprietary Products. 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 2017, 2016 and 2015, we recorded income of $1.5 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 December 31, 2017, there was $12.9 million of unearned income related to this payment, of which $1.5 million was included in other current liabilities and $11.4 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 represents changes in the fair value of the SmartDose contingent consideration. Please refer to Note 10, 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.