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Restructuring and Other Items, net
 9 Months Ended
Oct. 02, 2016
Restructuring and Other Items, net [Abstract]  
Restructuring and Other Items, net
Note 3.   Restructuring and Other Items, net

During 2014, the Company announced a restructuring program that will result in a 10% permanent reduction of its workforce.  The reductions include elimination of duplicate corporate functions, deployment of our shared service model, and consolidation and alignment of various corporate functions and regional locations across the Company.
 
During the third quarter and first nine months of 2015, the Company incurred impairment charges of $5.3 million and $21.1 million, respectively, for underutilized equipment which was abandoned by the Company for its Coiled Tubing business, within the Energy Services segment.  During the third quarter and first nine months of 2015, the Company recorded restructuring charges of $5.2 million and $6.2 million, respectively, for lease termination costs, reduction in force, and inventory write-offs associated with exiting the Coiled Tubing service line and restructuring other on-shore service lines within the Energy Services segment.
 
During the third quarter and first nine months of 2016, the Company incurred additional restructuring charges of $(2.3) million and $27.4 million, respectively, for lease termination costs, inventory write-offs and impairment of assets relating to its exit from the Nitrogen and Pipeline product lines and restructuring of other onshore services within the Energy Services segment as a result of the significant reduction in oil prices and overcapacity in the onshore oil service market.   Included in the $2.3 million income recorded in the third quarter were gains on previously impaired assets of $2.9 million. The company expects to realize annualized savings from this restructuring program of $11.5 million.
 
The following table outlines the amount of restructuring charges recorded within the Condensed Consolidated Statements of Income.
 
 
 
Three Months Ended
  
Nine Months Ended
 
 
 
Oct. 2,
  
Sept. 27,
  
Oct. 2,
  
Sept. 27,
 
(millions of dollars)
 
2016
  
2015
  
2016
  
2015
 
 
            
Restructuring Charges
 
$
0.6
  
$
5.2
  
$
11.8
  
$
6.2
 
Impairment of Assets
  
-
   
5.3
   
18.5
   
21.1
 
Other
  
(2.9
)
  
-
   
(2.9
)
  
-
 
          Total restructuring and other items, net
 
$
(2.3
)
 
$
10.5
  
$
27.4
  
$
27.3
 
 
At October 2, 2016, the Company had $3.9 million included within accrued liabilities within our Condensed Consolidated Balance Sheets for cash expenditures needed to satisfy remaining obligations under these workforce reduction initiatives.  The Company expects to pay these amounts by the end of December 2016.

The following table is a reconciliation of our restructuring liability balance as of October 2, 2016:

  
(millions of dollars)
 
Restructuring liability, December 31, 2015
 
$
7.9
 
Additional provisions
  
11.8
 
Cash payments
  
(15.5
)
Other
  
(0.3
)
Restructuring liability,  October 2, 2016
 
$
3.9