Restructuring Related Activities (Tables)

9 Months Ended

Sep. 30, 2015

Restructuring and Related Cost [Line Items]

Restructuring and related costs

The following presents these costs (credits) by major type and line item within our accompanying unaudited condensed consolidated statements of operations, as well as by program:

Three Months Ended September 30, 2015
(in millions)	Termination Benefits		Accelerated Depreciation		Transfer Costs		Other		Total
Restructuring charges	$	5	$	—	$	—	$	2	$	7
Restructuring-related expenses:
Cost of products sold	—		—		5		—		5
Selling, general and administrative expenses	—		1		—		8		9
	—		1		5		8		14
	$	5	$	1	$	5	$	10	$	21

All charges incurred in the third quarter of 2015 are related to the 2014 Restructuring Plan.

Three Months Ended September 30, 2014
(in millions)	Termination Benefits			Accelerated Depreciation		Transfer Costs		Other		Total
Restructuring charges	$	—		$	—	$	—	$	2	$	2
Restructuring-related expenses:
Cost of products sold	—			—		9		—		9
Selling, general and administrative expenses	—			1		—		5		6
	—			1		9		5		15
	$	—		$	1	$	9	$	7	$	17
(in millions)	Termination Benefits			Accelerated Depreciation		Transfer Costs		Other		Total
2014 Restructuring plan	$	(1	)	$	1	$	9	$	7	$	16
2011 Restructuring plan (including the Expansion)	1			—		—		—		1
	$	—		$	1	$	9	$	7	$	17

Nine Months Ended September 30, 2015
(in millions)	Termination Benefits			Accelerated Depreciation		Transfer Costs		Other		Total
Restructuring charges	$	13		$	—	$	—	$	3	$	16
Restructuring-related expenses:
Cost of products sold	—			—		20		—		20
Selling, general and administrative expenses	—			3		—		19		22
	—			3		20		19		42
	$	13		$	3	$	20	$	22	$	58
(in millions)	Termination Benefits			Accelerated Depreciation		Transfer Costs		Other		Total
2014 Restructuring plan	$	17		$	3	$	20	$	22	$	62
2011 Restructuring plan (including the Expansion)	(4		)	—		—		—		(4		)
	$	13		$	3	$	20	$	22	$	58
Nine Months Ended September 30, 2014
(in millions)	Termination Benefits			Accelerated Depreciation		Transfer Costs		Other		Total
Restructuring charges	$	19		$	—	$	—	$	18	$	37
Restructuring-related expenses:
Cost of products sold	—			—		15		—		15
Selling, general and administrative expenses	—			3		—		15		18
	—			3		15		15		33
	$	19		$	3	$	15	$	33	$	70
(in millions)	Termination Benefits			Accelerated Depreciation		Transfer Costs		Other		Total
2014 Restructuring plan	$	18		$	3	$	15	$	30	$	66
2011 Restructuring plan (including the Expansion)	1			—		—		3		4
	$	19		$	3	$	15	$	33	$	70

Cumulative restructuring charges

(in millions)	2014 Restructuring plan		2011 Restructuring plan (including the Expansion)			Total
Termination benefits	$	86	$	135		$	221
Net loss (gain) on fixed asset disposals	—		(1		)	(1		)
Other	28		113			141
Total restructuring charges	114		247			361
Accelerated depreciation	8		5			13
Transfer costs	45		—			45
Other	37		34			71
Restructuring-related expenses	90		39			129
	$	204	$	286		$	490

Cash payments associated with restructuring initiatives

We made cash payments of $20 million in the third quarter of 2015 and $66 million in the first nine months of2015 associated with our restructuring initiatives and as of September 30, 2015, we had made total cash payments of $446 million related to our 2014 Restructuring plan and 2011 Restructuring plan (including the Expansion) since committing to each plan. These payments were made using cash generated from operations, and are comprised of the following:

(in millions)	2014 Restructuring plan		2011 Restructuring plan (including the Expansion)		Total
Three Months Ended September 30, 2015
Termination benefits	$	6	$	—	$	6
Transfer costs	5		—		5
Other	9		—		9
	$	20	$	—	$	20
Nine Months Ended September 30, 2015
Termination benefits	$	24	$	—	$	24
Transfer costs	20		—		20
Other	22		—		22
	$	66	$	—	$	66
Program to Date
Termination benefits	$	55	$	133	$	188
Transfer costs	45		—		45
Other	59		154		213
	$	159	$	287	$	446

Summary of accrued expenses within accompanying unaudited condensed consolidated balance sheets

The following is a rollforward of the termination benefit liability associated with our 2014 Restructuring plan and 2011 Restructuring plan (including the Expansion), which is reported as a component of accrued expenses included in our accompanying unaudited condensed balance sheets:

(in millions)	2014 Restructuring plan			2011 Restructuring plan (including the Expansion)			Total
Accrued as of December 31, 2014	$	39		$	4		$	43
Charges (credits)	17			(4		)	13
Cash payments	(24		)	—			(24		)
Accrued as of September 30, 2015	$	32		$	—		$	32

2014 Restructuring plan [Member]

Restructuring and Related Cost [Line Items]

Restructuring and related costs

The following table provides a summary of our estimates of costs associated with the 2014 Restructuring plan by major type of cost:

Type of cost	Total estimated amount expected to be incurred
Restructuring charges:
Termination benefits	$115 million to $135 million
Other (1)	$25 million to $35 million
Restructuring-related expenses:
Other (2)	$110 million to $130 million
	$250 million to $300 million

(1) Consists primarily of consulting fees and costs associated with contract cancellations.

(2) Comprised of other costs directly related to the 2014 Restructuring plan, including program management, accelerated depreciation, and costs to transfer product lines among facilities.

2011 Restructuring Plan [Member]

Restructuring and Related Cost [Line Items]

Restructuring and related costs

The following provides a summary of our total costs associated with the 2011 Restructuring plan, including the Expansion, by major type of cost:

Type of cost	Total amounts incurred
Restructuring charges:
Termination benefits	$135 million
Other (1)	$112 million
Restructuring-related expenses:
Other (2)	$39 million
	$286 million

(1) Includes primarily consulting fees, gains and losses on disposals of fixed assets and costs associated with contract cancellations.

(2) Comprised of other costs directly related to the 2011 Restructuring plan, including the Expansion, such as program management, accelerated depreciation, retention and infrastructure-related costs.