CHARGES FOR INTEGRATION AND RESTRUCTURING, CLOSURES AND ASSET IMPAIRMENTS



	QUARTER ENDED				YEAR-TO-DATE ENDED
DOLLAR AMOUNTS IN MILLIONS	JUNE 2017		JUNE 2016		JUNE 2017		JUNE 2016
Integration and restructuring charges related to our merger with Plum Creek:
Termination benefits	$	—	$	3	$	6	$	48
Acceleration of share-based compensation and pension related benefits related to qualifying terminations	—		2		—		26
Professional services	2		—		5		39
Other integration and restructuring costs	—		3		3		5
Total integration and restructuring charges related to our merger with Plum Creek	2		8		14		118
Charges related to closures and other restructuring activities:
Termination benefits	1		3		2		3
Other closures and restructuring costs	1		1		1		2
Total charges related to closures and other restructuring activities	2		4		3		5
Impairments of long-lived assets	147		2		147		2
Total charges for integration and restructuring, closures and impairments	$	151	$	14	$	164	$	125

INTEGRATION, RESTRUCTURING AND CLOSURES

During 2017, we incurred and accrued for termination benefits (primarily severance) and non-recurring professional services costs directly attributable to our merger with Plum Creek.

During 2016, we incurred and accrued for termination benefits (primarily severance), accelerated share-based payment costs, and accelerated pension benefits based upon actual and expected qualifying terminations of certain employees as a result of restructuring decisions made subsequent to the merger. We also incurred non-recurring professional services costs for investment banking, legal and consulting, and certain other fees directly attributable to our merger with Plum Creek.

Changes in accrued severance related to restructuring during the year-to-date period ended June 30, 2017, were as follows:



DOLLAR AMOUNTS IN MILLIONS
Accrued severance as of December 31, 2016	$	26
Charges	8
Payments	(19		)
Accrued severance as of June 30, 2017	$	15

Accrued severance is recorded within the "Wages, salaries and severance pay" component of "Accrued liabilities" on our Consolidated Balance Sheet as detailed in Note 9: Accrued Liabilities. The majority of the accrued severance balance as of June 30, 2017, is expected to be paid within one year.

IMPAIRMENTS OF LONG-LIVED ASSETS

The impairment of long-lived assets charge recognized in second quarter 2017, related to the impairment of our Uruguayan timberlands and manufacturing business. On June 2, 2017, our Board of Directors approved an agreement to sell all of the Company's equity in the Uruguayan business to a consortium led by BTG Pactual's Timberland Investment Group (TIG.) As a result of this agreement, the related assets met the criteria to be classified as held for sale. This designation required us to record the related assets at fair value, less an amount of estimated selling costs, and thus recognize a $147 million noncash pretax impairment charge. This amount was recorded in the Timberlands segment. The fair value of the related assets was primarily based on the agreed upon cash purchase price of $403 million. Refer to Note 3: Held for Sale and Discontinued Operations for further details of the related purchase agreement.