Rationalization Charges

9 Months Ended

Sep. 30, 2020

Restructuring and Related Activities [Abstract]

We continually evaluate cost reduction opportunities across each of our businesses, including rationalizations of our existing facilities through plant closings and downsizings. We use a disciplined approach to identify opportunities that generate attractive cash returns. Rationalization charges by business segment were as follows:



	Three Months Ended				Nine Months Ended
	Sept. 30, 2020		Sept. 30, 2019		Sept. 30, 2020		Sept. 30, 2019
	(Dollars in thousands)
Metal containers	$	1,639	$	3,035	$	4,755	$	42,280
Closures	787		72		2,229		5,979
Plastic containers	79		88		263		335
	$	2,505	$	3,195	$	7,247	$	48,594

Activity in reserves for our rationalization plans were as follows:


	Employee Severance and Benefits		Plant Exit Costs		Non-Cash Asset Write-Down		Total
	(Dollars in thousands)
Balance at December 31, 2019	$	42,815	$	898	$	—	$	43,713
Charged to expense	4,138		2,005		1,104		7,247
Utilized and currency translation	(5,410)		(2,251)		(1,104)		(8,765)
Balance at September 30, 2020	$	41,543	$	652	$	—	$	42,195

Rationalization reserves as of September 30, 2020 were recorded in our Condensed Consolidated Balance Sheets as accrued liabilities of $4.8 million and other liabilities of $37.4 million. Exclusive of the footprint optimization plan for our metal container business and our resulting withdrawal from the Central States, Southeast and Southwest Areas Pension Plan, or the Central States Pension Plan, announced in 2019, remaining expenses and cash expenditures for our rationalization plans are expected to be $2.1 million and $3.9 million, respectively. Remaining expenses for the accretion of interest for the withdrawal liability related to the Central States Pension Plan are expected to average approximately $1.1 million per year and be recognized annually for the next twenty years, and remaining cash expenditures for the withdrawal liability related to the Central States Pension Plan are expected to be approximately $3.1 million annually for the next twenty years, beginning in 2020.