Restructuring Costs And Other Charges

6 Months Ended

Jun. 30, 2021

Restructuring Costs And Other Charges [Abstract]

Restructuring Costs And Other Charges

(12) Restructuring Costs and Other Charges:

Restructuring and other charges consists of severance and employee costs related to workforce reductions. It also includes professional fees related to our Chapter 11 Cases that were incurred after the emergence date as well as professional fees related to our restructuring and transformation that were incurred prior to the Petition Date.

During the four months ended April 30, 2021, we incurred $7 million of severance and employee costs resulting from workforce reductions. During the two months ended June 30, 2021, we incurred $11 million in expenses consisting of $2 million of severance and employee costs resulting from workforce reductions and $9 million of professional fees related to our balance sheet restructuring.

During the six-month period ended June 30, 2020, we incurred $84 million in restructuring expenses consisting of $8 million directly associated with transformation initiatives, $4 million of severance and employee costs resulting from workforce reductions, and $72 million of consulting and advisory costs related to our balance sheet restructuring activities through the Petition Date.

The following is a summary of the changes in the liabilities established for restructuring and other related programs:

($ in millions)
Balance at January 1, 2021 (Predecessor)	$	2
Severance expense		7
Cash payments during the period		(2)
Balance at April 30, 2021 (Predecessor)	$	7
Balance at April 30, 2021 (Successor)	$	7
Severance expense		2
Other costs		9
Cash payments during the period		(7)
Balance at June 30, 2021 (Successor)	$	11