Restructuring Charges and Asset Impairment

9 Months Ended

Sep. 30, 2016

Restructuring and Related Activities [Abstract]

Restructuring Charges and Asset Impairment

Restructuring Charges and Asset Impairments

Restructuring charges

Activity in our restructuring reserves for the nine months ended September 30, 2016 and 2015 was as follows:

	Severance and benefits costs			Other exit costs			Total
Balance at January 1, 2016	$	43,700		$	3,722		$	47,422
Expenses, net	36,791			1,660			38,451
Cash payments	(47,241		)	(3,920		)	(51,161		)
Balance at September 30, 2016	$	33,250		$	1,462		$	34,712
Balance at January 1, 2015	$	81,836		$	8,343		$	90,179
Expenses, net	9,196			(1,183		)	8,013
Cash payments	(42,708		)	(3,348		)	(46,056		)
Balance at September 30, 2015	$	48,324		$	3,812		$	52,136

Restructuring charges also include pension settlement charges of $2 million and $1 million for the nine months ended September 30, 2016 and 2015, respectively.

The majority of the remaining restructuring reserves are expected to be paid over the next 12 to 24 months; however, due to certain international labor laws and long-term lease agreements, some payments will extend beyond 24 months. We expect to fund these payments from cash flows from operations.

Asset impairments

For the nine months ended September 30, 2016, asset impairment charges totaled $9 million and consisted primarily of a loss of $5 million on the sale of a facility and an impairment charge of $3 million related to a building. For the nine months ended September 30, 2015, asset impairment charges totaled $5 million and consisted primarily of a loss on the sale of our world headquarters building.