Schedule of Restructuring and Other Charges |
Restructuring and other
charges for each year in the three-year period ended
December 31, 2016 were comprised of the following:
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|
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|
|
|
|
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2016 |
|
|
2015 |
|
|
2014 |
|
|
Asset
impairments
|
|
$ |
155 |
|
|
$ |
311 |
|
|
$ |
328 |
|
|
Asset retirement
obligations
|
|
|
97 |
|
|
|
76 |
|
|
|
87 |
|
|
Layoff costs
|
|
|
32 |
|
|
|
199 |
|
|
|
157 |
|
|
Environmental
remediation
|
|
|
26 |
|
|
|
86 |
|
|
|
28 |
|
|
Legal matters in Italy
(R)
|
|
|
- |
|
|
|
201 |
|
|
|
- |
|
|
Net (gain) loss on
divestitures of businesses (C)
|
|
|
(3 |
) |
|
|
25 |
|
|
|
214 |
|
|
Other
|
|
|
47 |
|
|
|
92 |
|
|
|
66 |
|
|
Reversals of previously
recorded layoff and other exit costs
|
|
|
(36 |
) |
|
|
(7 |
) |
|
|
(17 |
) |
|
Restructuring and other
charges
|
|
$ |
318 |
|
|
$ |
983 |
|
|
$ |
863 |
|
| * |
In 2016, 2015, and 2014,
Other includes $1, $32, and $23, respectively, related to the
allocation of restructuring charges to Alcoa Corporation from
ParentCo (see Note A). |
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Schedule of Restructuring and Other Charges by Reportable Segments, Pretax |
Alcoa Corporation does not
include Restructuring and other charges in the results of its
reportable segments. The impact of allocating such charges to
segment results would have been as follows:
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|
|
|
|
|
|
|
|
|
2016 |
|
|
2015 |
|
|
2014 |
|
|
Bauxite
|
|
$ |
18 |
|
|
$ |
16 |
|
|
$ |
- |
|
|
Alumina
|
|
|
182 |
|
|
|
212 |
|
|
|
283 |
|
|
Aluminum
|
|
|
96 |
|
|
|
610 |
|
|
|
559 |
|
|
Cast Products
|
|
|
(1 |
) |
|
|
2 |
|
|
|
(2 |
) |
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Energy
|
|
|
23 |
|
|
|
84 |
|
|
|
- |
|
|
Rolled Products
|
|
|
- |
|
|
|
9 |
|
|
|
- |
|
|
Segment total
|
|
|
318 |
|
|
|
933 |
|
|
|
840 |
|
|
Corporate
|
|
|
- |
|
|
|
50 |
|
|
|
23 |
|
|
Total restructuring and
other charges
|
|
$ |
318 |
|
|
$ |
983 |
|
|
$ |
863 |
|
|
Activity and Reserve Balances for Restructuring Charges |
Activity and reserve
balances for restructuring charges were as follows:
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|
|
|
|
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|
|
|
|
|
|
Layoff
costs |
|
|
Other
exit costs |
|
|
Total |
|
|
Reserve balances at
December 31, 2013
|
|
$ |
58 |
|
|
$ |
14 |
|
|
$ |
72 |
|
|
2014:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash payments
|
|
|
(120 |
) |
|
|
(7 |
) |
|
|
(127 |
) |
|
Restructuring
charges
|
|
|
138 |
|
|
|
158 |
|
|
|
296 |
|
|
Other*
|
|
|
(26 |
) |
|
|
(152 |
) |
|
|
(178 |
) |
|
Reserve balances at
December 31, 2014
|
|
|
50 |
|
|
|
13 |
|
|
|
63 |
|
|
2015:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash payments
|
|
|
(65 |
) |
|
|
(1 |
) |
|
|
(66 |
) |
|
Restructuring
charges
|
|
|
199 |
|
|
|
423 |
|
|
|
622 |
|
|
Other*
|
|
|
(47 |
) |
|
|
(420 |
) |
|
|
(467 |
) |
|
Reserve balances at
December 31, 2015
|
|
|
137 |
|
|
|
15 |
|
|
|
152 |
|
|
2016:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash payments
|
|
|
(74 |
) |
|
|
(35 |
) |
|
|
(109 |
) |
|
Restructuring
charges
|
|
|
32 |
|
|
|
168 |
|
|
|
200 |
|
|
Other*
|
|
|
(57 |
) |
|
|
(120 |
) |
|
|
(177 |
) |
|
Reserve balances at
December 31, 2016
|
|
$ |
38 |
|
|
$ |
28 |
|
|
$ |
66 |
|
| * |
Other includes reversals of
previously recorded restructuring charges and the effects of
foreign currency translation. In 2016, 2015, and 2014, Other for
layoff costs also included a reclassification of $16, $35, and $24,
respectively, in pension and/or other postretirement benefits
costs, as these obligations were included in Alcoa
Corporation’s separate liability for pension and other
postretirement benefits obligations (see Note N). Additionally in
2016, 2015, and 2014, Other for other exit costs also included a
reclassification of the following restructuring charges: $97, $76,
and $87, respectively, in asset retirement and $26, $86, and $28,
respectively, in environmental obligations, as these liabilities
were included in Alcoa Corporation’s separate reserves for
asset retirement obligations (see Note Q) and environmental
remediation (see Note R). |
|