Restructuring and Impairment

12 Months Ended

Dec. 31, 2022

Restructuring and Related Activities [Abstract]

One Clarivate Program

During the second quarter of 2021, the Company approved a restructuring plan to streamline operations within targeted areas of the Company to reduce operational costs, with the primary cost savings driver being from a reduction in workforce.

During the years ended December 31, 2022 and 2021, components of the pre-tax charges included $16.7 and $17.3 in severance costs and $— and $2.7 in other costs, respectively. Of the total pre-tax charges incurred during the year ended December 31, 2022, $9.3, $3.0, and $4.4 were attributed to our A&G, LS&H, and IP segments, respectively. Of the total pre-tax charges incurred during the year ended December 31, 2021, $7.0, $3.9, and $9.1 were attributed to our A&G, LS&H, and IP segments, respectively. As of December 31, 2022, the Company does not expect to incur any significant further costs associated with this program.

ProQuest Acquisition Integration Program

During the fourth quarter of 2021, the Company approved a restructuring plan to streamline operations within targeted areas of the Company to reduce operational costs, with the primary cost savings driver being from a reduction in workforce.

During the years ended December 31, 2022 and 2021, components of the pre-tax charges included $22.9 and $1.9 in severance costs and $26.5 and $0.0 in other costs, respectively. Of the total pre-tax charges incurred during the year ended December 31, 2022, $26.5, $7.6, and $15.3 were attributed to our A&G, LS&H, and IP segments, respectively. Of the total pre-tax charges incurred during the year ended December 31, 2021, $0.7, $0.4 and $0.8 were attributed to our A&G, LS&H, and IP segments, respectively.

Other Restructuring Programs

During 2020 and the fourth quarter of 2019, we engaged a strategic consulting firm to assist us in optimizing our structure and cost base, resulting in the implementation of several cost-saving and margin improvement programs designed to generate substantial incremental cash flows. As of December 31, 2022, the Company does not expect to incur any significant further costs associated with these programs.

During the years ended December 31, 2022 and 2021, components of the pre-tax charges included $(0.4) and $38.1 in severance costs and $1.0 and $69.5 in other costs, respectively. Of the total pre-tax charges incurred during the year ended December 31, 2022, $0.4, $0.0, and $0.2 were attributed to our A&G, LS&H, and IP segments, respectively. Of the total pre-tax charges incurred during the year ended December 31, 2021, $24.9, $23.9, and $58.8 were attributed to our A&G, LS&H, and IP segments, respectively.

The table below summarizes the activity related to the restructuring reserves across each of Clarivate's cost-saving programs.


Restructuring Programs	Severance and Related Benefit Costs		Costs Associated with Exit and Disposal Costs(1)		Total



























Reserve Balance as of December 31, 2020	$	25.7	$	3.8	$	29.5
Expenses recorded(2)	57.3		72.2		129.5
Payments made	(48.8)		(35.2)		(84.0)
Noncash items	(5.9)		(40.1)		(46.0)
Reserve Balance as of December 31, 2021	$	28.3	$	0.7	$	29.0
Expenses recorded(2)	39.2		27.5		66.7
Payments made	(51.5)		(3.5)		(55.0)
Noncash items	(4.5)		(24.6)		(29.1)
Reserve Balance as of December 31, 2022	$	11.5	$	0.1	$	11.6
(1) Relates to lease abandonment, contract exit and legal and advisory fees.
(2) Severance and related benefit cost includes non-cash adjustments, primarily related to the acceleration of stock based compensation awards.

The following table is a summary of charges incurred related to the Company's restructuring programs for the years ended December 31, 2022, 2021 and 2020.









	Year Ended December 31,
	2022		2021		2020
Severance and related benefit costs	$	39.2	$	57.3	$	39.9
Costs associated with exit and disposal activities(1)	3.2		11.1		8.5
Costs associated with lease abandonment	24.3		61.1		7.7
Total restructuring and impairment	$	66.7	$	129.5	$	56.1
(1) Relates primarily to contract exit costs, legal and advisory fees.

Lease Remeasurements

In connection with the Company's digital workplace transformation initiative to enable colleagues to work remotely, the Company had ceased the use of select leased sites during the year ended December 31, 2022 and 2021. As a result, the Company recorded a non-cash adjustment to Restructuring and impairment within the Consolidated Statement of Operations based on the estimate of future recoverable cash flows of $23.6 and $57.3 for the year ended December 31, 2022 (consisting of operating and finance leases) and 2021, respectively. Additionally, the Company incurred $0.7 and $3.3 in lease termination fees during the year ended December 31, 2022 and 2021, respectively.