Restructuring Activities

12 Months Ended

Dec. 31, 2020

Restructuring and Related Activities [Abstract]

During 2020, we implemented certain cost reduction actions across all segments and corporate to appropriately size our workforce with demand as well as eliminate redundant work. Costs were primarily related to headcount reductions. These actions resulted in total restructuring costs of $13.6 for the year ended December 31, 2020, consisting of mainly employee severance costs ($10.1). As previously reported, on July 17, 2020, we announced internally our intention to transfer operations of our heat exchanger leased facility in Tulsa, Oklahoma to our Beasley, Texas location at which we own 260 acres of land. This was a cost reduction measure within our Heat Transfer Systems segment to continue to structure the business for profitable growth and capacity efficiency. Total costs related to this action are expected to be approximately $9.0, of which $2.7 has been spent year to date, associated with severance, relocation and moving expenses. We expect this project to be completed by June 30, 2021. We are closely monitoring our end markets and order rates and will continue to take appropriate and timely actions as necessary.

During 2019, we implemented certain cost reduction or avoidance actions, including facility consolidations at certain of our U.S. properties, and a streamlining of the commercial activities surrounding our Lifecycle business in our Repair, Service & Leasing segment, geographic realignment of our manufacturing capacity and a facility closure in Asia, as well as departmental restructuring, including headcount reductions in each of our four segments. These actions resulted in total restructuring costs of $15.6, consisting of employee severance costs, disposals of property, plant and equipment and other costs. Restructuring costs for 2019 reflect a $1.6 credit to Repair, Service & Leasing segment restructuring costs recorded in the second quarter of 2019 due to the successful negotiation of a lease termination for a facility for our previous Lifecycle business. These restructuring activities were substantially completed by the end of 2019.

During 2018, we implemented certain cost reduction or avoidance actions, primarily related to departmental restructuring, including headcount reductions resulting in associated severance costs. We executed a strategic realignment of our segment structure, which resulted in severance charges during 2018. These actions resulted in total restructuring costs of $4.3 for the year ended December 31, 2018.

The following table is a summary of the severance and other restructuring costs, which includes employee-related costs, facility rent and exit costs, relocation, recruiting, travel and other, for the years ended December 31, 2020, 2019 and 2018:


	Year Ended December 31,
	2020		2019		2018
Severance:
Cost of sales	$	4.6	$	2.9	$	—
Selling, general, and administrative expenses	5.5		1.4		3.1
Total severance costs	10.1		4.3		3.1
Other restructuring:
Cost of sales	1.1		9.3		0.8
Selling, general, and administrative expenses	2.4		2.0		0.4
Total other restructuring costs	3.5		11.3		1.2

Total restructuring costs	$	13.6	$	15.6	$	4.3

We are closely monitoring our end markets and order rates and will continue to take appropriate and timely actions as necessary.

The following tables summarize our restructuring accrual activities:


	Year Ended December 31, 2020
	Cryo Tank Solutions		Heat Transfer Systems		Specialty Products		Repair, Service & Leasing		Corporate		Total
Balance as of December 31, 2019	$	0.5	$	0.2	$	—	$	—	$	0.2	$	0.9
Restructuring charges	2.7		7.4		0.7		0.2		2.6		13.6
Cash payments and other	(2.7)		(7.4)		(0.7)		(0.2)		(2.7)		(13.7)
Balance as of December 31, 2020	$	0.5	$	0.2	$	—	$	—	$	0.1	$	0.8


	Year Ended December 31, 2019
	Cryo Tank Solutions		Heat Transfer Systems		Specialty Products		Repair, Service & Leasing		Corporate		Total
Balance as of December 31, 2018	$	0.7	$	—	$	—	$	—	$	0.1	$	0.8
Restructuring charges	9.1		4.5		0.3		1.5		0.2		15.6
Property, plant and equipment impairment	(3.9)		(1.7)		—		—		—		(5.6)
Cash payments and other	(5.4)		(2.6)		(0.3)		(1.5)		(0.1)		(9.9)
Balance as of December 31, 2019	$	0.5	$	0.2	$	—	$	—	$	0.2	$	0.9


	Year Ended December 31, 2018
	Cryo Tank Solutions		Heat Transfer Systems		Specialty Products		Repair, Service & Leasing		Corporate		Total
Balance as of December 31, 2017	$	0.3	$	—	$	—	$	—	$	1.1	$	1.4
Restructuring charges (credits)	1.7		0.7		(0.3)		(0.1)		2.3		4.3
Cash payments and other	(1.3)		(0.7)		0.3		0.1		(3.3)		(4.9)
Balance as of December 31, 2018	$	0.7	$	—	$	—	$	—	$	0.1	$	0.8