RESTRUCTURING AND ASSET RELATED CHARGES - NET

DowDuPont Cost Synergy Program

In September and November 2017, DowDuPont and the company approved post-merger restructuring actions under the DowDuPont Cost Synergy Program (the “Synergy Program”), adopted by the DowDuPont Board of Directors. The plan is designed to integrate and optimize the organization following the Merger and in preparation for the Intended Business Separations. Based on all actions approved to date under the Synergy Program, DuPont expects to record total pre-tax restructuring charges of $430 million to $600 million, comprised of approximately $320 million to $360 million of severance and related benefits costs; $110 million to $140 million of costs related to contract terminations; and up to $100 million of asset related charges. The Synergy Program includes certain asset actions that are reflected in the preliminary fair value measurement of DuPont’s assets as of the merger date. Current estimated total pre-tax restructuring charges could be impacted by future adjustments to the preliminary fair value of DuPont’s assets.

As a result of these actions, the company recorded pre-tax restructuring charges of $187 million for the period September 1 through December 31, 2017, consisting of severance and related benefit costs of $153 million, contract termination costs of $31 million and asset related charges of $3 million.

For the three months ended March 31, 2018, DuPont recorded a pre-tax charge of $97 million, consisting of severance and related benefit costs of $68 million and contract termination costs of $29 million. The charge for the three months ended March 31, 2018 was recognized in restructuring and asset related charges - net in the company's interim Consolidated Statements of Operations. Substantially all of the remaining restructuring charges are expected to be incurred in 2018 and the related actions, including employee separations, associated with this plan are expected to be substantially complete by the end of 2019.

DuPont account balances and activity for the Synergy Program in the Successor period are summarized below:



(In millions)	Severance and Related Benefit Costs			Contract Termination Charges			Total
Balance as of December 31, 2017	$	133		$	28		$	161
Charges to loss from continuing operations for the three months ended March 31, 2018	68			29			97
Payments	(31		)	(16		)	(47		)
Net translation adjustment	1			—			1
Balance as of March 31, 2018	$	171		$	41		$	212

2017 Restructuring Program

At March 31, 2018, total liabilities related to the program were $15 million. The actions associated with this plan were substantially complete in 2017. A complete discussion of restructuring initiatives is included in the company's 2017 Annual Report in Note 5, "Restructuring and Asset Related Charges - Net."

During the three months ended March 31, 2017, a net charge of $152 million was recorded, consisting of $119 million of asset related charges and $33 million of severance and related benefit costs. The asset related charges mainly consist of accelerated depreciation associated with the closure of the safety and construction product line at the Cooper River manufacturing site located near Charleston, South Carolina.