Restructuring (Tables)

6 Months Ended

Jun. 30, 2019


	Three Months Ended				Six Months Ended				Cumulative
	June 30,				June 30,				Life-to-date
	2019		2018		2019		2018		Charges		Segment
Terneuzen Compounding Restructuring ⁽¹⁾
Asset impairment/accelerated depreciation	$	—	$	0.3	$	—	$	0.6	$	3.1
Employee termination benefits		(0.4)		0.2		(0.4)		0.3		0.6
Contract terminations		—		—		—		—		0.3
Decommissioning and other		—		0.2		0.2		0.2		1.6
Terneuzen Subtotal	$	(0.4)	$	0.7	$	(0.2)	$	1.1	$	5.6	Performance Plastics
Livorno Plant Restructuring ⁽²⁾
Asset impairment/accelerated depreciation	$	—	$	0.4	$	—	$	0.4	$	14.7
Employee termination benefits		—		—		—		—		5.4
Contract terminations		—		—		—		—		0.3
Decommissioning and other		0.1		0.1		0.3		0.4		4.0
Livorno Subtotal	$	0.1	$	0.5	$	0.3	$	0.8	$	24.4	Latex Binders
Other Restructurings		—		0.3		—		0.4			Various
Total Restructuring Charges	$	(0.3)	$	1.5	$	0.1	$	2.3

(1)

In March 2017, the Company announced plans to upgrade its production capability for compounded resins with the construction of a new state-of-the art compounding facility to replace its existing compounding facility in Terneuzen, The Netherlands. As of June 30, 2019, the new facility is complete, noting certain ongoing quality assurance activities. Substantive production at the prior facility ceased and decommissioning

activities began during the second quarter of 2019, which are expected to continue through 2020. The Company estimates it will incur decommissioning and other charges of approximately $0.6 million throughout 2019 and 2020, the majority of which are expected to be paid during the remainder of 2019 and the first half of 2020.

(2)

In August 2016, the Company announced its plan to cease manufacturing activities at its latex binders manufacturing facility in Livorno, Italy. Production at the facility ceased in October 2016 and decommissioning activities began in the fourth quarter of 2016. In June 2018, the Company entered into a preliminary agreement to sell the land where the former facility is located, subject to certain activities being completed prior to closing. The sale is considered probable to close within one year following the balance sheet date; therefore, as of both June 30, 2019 and December 31, 2018, the land is recorded as held-for-sale within “Other current assets” at a value of $12.0 million and the deferred tax liability associated with that land is recorded as held-for-sale within “Accrued expenses and other current liabilities” at a value of $2.9 million on the Company’s condensed consolidated balance sheets. In conjunction with the execution of this agreement, the Company received $1.3 million of the purchase price as a prepayment, which is recorded within “Accrued expenses and other current liabilities” on the condensed consolidated balance sheets as of June 30, 2019 and December 31, 2018. The Company expects to incur a limited amount of additional decommissioning costs associated with this plant shutdown through the closing date of the sale, which will be expensed as incurred.

Rollforward of Liability Balances


	Balance at						Balance at
	December 31, 2018		Expenses		Deductions⁽¹⁾		June 30, 2019
Employee termination benefits	$	6.4	$	(0.3)	$	(4.9)	$	1.2
Contract terminations		0.3		—		—		0.3
Decommissioning and other		—		0.4		(0.4)		—
Total	$	6.7	$	0.1	$	(5.3)	$	1.5

(1)

Primarily includes payments made against the existing accrual, as well as immaterial impacts of foreign currency remeasurement.