RESTRUCTURING CHARGES

6 Months Ended

Jun. 30, 2022

We periodically take action to improve operating efficiencies, typically in connection with business acquisitions or changes in the economic environment. Our footprint and headcount reductions and organizational integration actions relate to discrete, unique restructuring events, primarily reflected in the following plans.

In 2020, the Company committed to workforce reduction plans in the United States and globally, as part of the Company's continued cost reduction efforts. The workforce reduction plans included a voluntary retirement program, and other voluntary and involuntary severance actions. These actions are substantially complete. The Company has incurred $209 million in employee termination costs related to these actions through June 30, 2022. Cash settlement of $187 million has been paid to date with the remaining cash settlement of $22 million expected to be paid over the duration of 2022 and 2023.

In addition, we ceased production in our Naples, Italy manufacturing plant and exited the facility in 2020. The collective dismissal procedure was completed in 2021. In connection with this action, we have incurred approximately $144 million total costs comprising $43 million in asset impairment costs, $26 million in other associated costs and $75 million in employee-related costs through June 30, 2022. Cash settlement of $97 million has been paid to date with the remaining nominal cash settlement to be paid in 2022.

The following table summarizes the changes to our restructuring liability during the six months ended June 30, 2022:


Millions of dollars	December 31, 2021		Charges to Earnings		Cash Paid		Non-Cash and Other		June 30, 2022
Employee termination costs	$	53	$	2	$	(25)	$	—	$	30
Asset impairment costs	8		5		—		(5)		8
Facility exit costs	—		1		(1)		—		—
Other exit costs	(4)		2		(2)		—		(4)
Total	$	57	$	10	$	(28)	$	(5)	$	34

The following table summarizes the restructuring charges by operating segment for the periods presented:


	Three Months Ended June 30,				Six Months Ended June 30,
Millions of dollars	2022		2021		2022		2021
North America	$	—	$	—	$	—	$	—
EMEA	5		7		10		25
Latin America	—		—		—		—
Asia	—		1		—		2
Corporate / Other	—		—		—		1
Total	$	5	$	8	$	10	$	28