Restructuring

The following table summarizes the impact of the Company’s restructuring charges on the condensed consolidated statements of operations:



	Three Months Ended
	March 31,
	2018		2017
Cost of sales – services and software	$	2.0	$	3.0
Cost of sales – systems	0.6		0.6
Selling and administrative expense	1.3		8.4
Research, development and engineering expense	—		0.9
Total	$	3.9	$	12.9

The following table summarizes the Company’s type of restructuring charges by reportable operating segment:



	Three Months Ended
	March 31,
	2018		2017
Severance
Services	$	1.7	$	4.7
Software	0.5		0.1
Systems	0.9		1.8
Corporate	0.8		6.3
Total severance	$	3.9	$	12.9

DN2020 Plan

During 2016, the Company launched a multi-year integration and transformation program, known as DN2020. The DN2020 plan focuses on the utilization of cost efficiencies and synergy opportunities that result from the transformational acquisition of Wincor Nixdorf AG (Diebold Nixdorf AG), which aligns employee activities with the Company's goal of delivering cost reductions of approximately $240 by the year 2020. The Company incurred restructuring charges of $3.8 and $12.9 for the three months ended March 31, 2018 and 2017, respectively, related to DN2020. The Company anticipates additional restructuring costs of approximately $50 primarily related to severance anticipated for completion of the Company's integration and transformation plans throughout the three lines of business to be incurred through the end of DN2020.

Delta Program

At the beginning of the 2015, Diebold Nixdorf AG initiated the Delta Program related to restructuring and realignment. As part of a change process that has spanned several years, the Delta Program is designed to hasten the expansion of software and professional services operations and to further enhance profitability in the services business. This program includes expansion in the high-end fields of managed services and outsourcing. It also involves capacity adjustments on the hardware side, enabling the Company to respond more effectively to market volatility while maintaining its abilities with innovation. There were no charges during the periods presented. As of the date of the acquisition of Diebold Nixdorf AG, the restructuring accrual balance acquired was $45.5 and consisted of severance activities. During the third quarter of 2017, the Company recorded a measurement period adjustment of $8.2 to the acquired restructuring accrual resulting in a final fair value of $37.3. As of March 31, 2018, the Company does not anticipate additional restructuring costs to be incurred through the end of the plan.

Strategic Alliance Plan

During 2016, the Company entered into a strategic alliance plan with the Inspur Group, a Chinese cloud computing and data center company, to develop, manufacture and distribute banking solutions in China. The Company incurred $0.1 restructuring charges during the three months ended March 31, 2018 related to this plan. There were no charges during 2017. The Company anticipates minimal additional restructuring costs to be incurred through the end of the plan.

The following table summarizes the Company's cumulative total restructuring costs by plan as of March 31, 2018:



	DN2020 Plan		Delta Program		Strategic Alliance		Total

Services	$	54.5	$	0.1	$	3.1	$	57.7
Software	8.5		1.8		0.5		10.8
Systems	21.9		—		4.6		26.5
Corporate	8.7		1.3		—		10.0
Total	$	93.6	$	3.2	$	8.2	$	105.0

The following table summarizes the Company’s restructuring accrual balances and related activity for the three months ended March 31:



	2018			2017
Balance at January 1	$	54.0		$	89.9
Liabilities incurred	3.9			12.9
Liabilities paid/settled	(10.2		)	(27.2		)
Balance at March 31	$	47.7		$	75.6