Note 17—Other Charges, Net

The components of other charges, net for the years ended December 31, 2016, 2015 and 2014, were as follows (in millions):

	2016		2015			2014
Acquisition-related expenses (income), net	$	9.0	$	(7.2	)	$	2.9
Professional fees incurred in connection with internal investigation		—		0.4			3.2
Pension settlement charge		—		10.2			—
Information technology transformation costs		6.2		8.9			4.0
Restructuring charges		9.8		8.1			11.1
Long-lived asset impairments		0.8		4.6			11.5

Other charges, net	$	25.8	$	25.0		$	32.7

Restructuring Initiatives

2016

The Company commenced a restructuring initiative in 2016 to address lower demand in the Bruker CALID and Bruker Nano Groups as a result of delays in European academic funding and ongoing weakness in several of the industrial end market segments that affect the Bruker Nano Group. This initiative is intended to improve the Bruker CALID and Bruker Nano Group operating results in response to these market conditions. Restructuring actions will result in a reduction of approximately 125 employees within the Bruker CALID and Bruker Nano Groups.

The following is a summary of the restructuring expenses related to this initiative which are recorded in the accompanying consolidated statements of income and comprehensive income for the year ended December 31, 2016:

	2016
	Severance and Exit Costs		Inventory Writedown and Asset Impairment		Total
Cost of revenues	$	4.4	$	2.4	$	6.8
Other charges, net		3.4		0.2		3.6

	$	7.8	$	2.6	$	10.4

Total restructuring and other one-time charges related to this initiative in 2016 and 2017 are expected to be between $11.0 and $13.0 million, of which $8.4 to $10.0 million relate to employee separation and facility exit costs and $2.6 to $3.0 million relate to estimated inventory write-downs and asset impairments.

2015

The Company commenced a restructuring initiative in the second quarter of 2015 within the Bruker BioSpin Group, which was developed as a result of a revenue decline that occurred during the second half of 2014 and continued during the first half of 2015. This initiative was intended to improve Bruker BioSpin Group's operating results. Restructuring actions resulted in a reduction of employee headcount within the Bruker BioSpin Group of approximately 9% and the closure and consolidation of a Bruker BioSpin Group manufacturing facility.

	2016						2015
	Severance and Exit Costs		Inventory Writedown and Asset Impairment		Total		Severance and Exit Costs		Inventory Writedown and Asset Impairment		Total
Cost of revenues	$	2.2	$	—	$	2.2	$	10.2	$	2.1	$	12.3
Other charges, net		1.1		—		1.1		1.8		2.1		3.9

	$	3.3	$	—	$	3.3	$	12.0	$	4.2	$	16.2

As of December 31, 2016, expenses incurred under this restructuring initiative were substantially complete.

2014

In 2014, the Company commenced and executed various productivity improvement initiatives within the BSI Segment in an effort to optimize its operations. These restructuring initiatives included the divestiture of certain non-core businesses, outsourcing of various manufacturing activities, transferring or ceasing operations at certain facilities and an overall right-sizing within the Company based on the then current business environments.

Restructuring charges for the years ended December 31, 2016, 2015 and 2014 included charges for various other programs which were recorded in the accompanying consolidated statements of income and comprehensive income as follows:

	2016		2015		2014
Cost of revenues	$	2.0	$	8.9	$	25.0
Other charges, net		5.1		4.2		11.1

	$	7.1	$	13.1	$	36.1

The following table sets forth the changes in the restructuring reserves for the years ended December 31, 2016, 2015 and 2014 (in millions):

	Total			Severance			Exit Costs			Provisions for Excess Inventory
Balance at December 31, 2013	$	11.5		$	8.4		$	1.1		$	2.0
Restructuring charges		36.1			15.5			8.8			11.8
Cash payments		(22.9	)		(14.6	)		(8.2	)		(0.1	)
Non-cash adjustments		(7.5	)		(1.4	)		(0.3	)		(5.8	)
Foreign currency impact		(1.1	)		(0.8	)		(0.1	)		(0.2	)

Balance at December 31, 2014	$	16.1		$	7.1		$	1.3		$	7.7
Restructuring charges		29.3			15.9			6.4			7.0
Cash payments		(18.0	)		(11.9	)		(5.1	)		(1.0	)
Non-cash adjustments		(2.9	)		(0.2	)		(0.2	)		(2.5	)
Foreign currency impact		(1.4	)		(0.6	)		—			(0.8	)

Balance at December 31, 2015	$	23.1		$	10.3		$	2.4		$	10.4
Restructuring charges		20.8			10.6			7.2			3.0
Cash payments		(22.1	)		(15.6	)		(5.6	)		(0.9	)
Non-cash adjustments		(5.4	)		(0.4	)		(0.3	)		(4.7	)
Foreign currency impact		(0.2	)		—			—			(0.2	)

Balance at December 31, 2016	$	16.2		$	4.9		$	3.7		$	7.6

For the years ended December 31, 2016 and 2014, all restructuring charges related to the BSI Segment. For the year ended December 31, 2015, restructuring charges of $28.4 million related to the BSI Segment and $0.9 million related to the BEST Segment.