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SEC Filings

10-K
INTERPUBLIC GROUP OF COMPANIES, INC. filed this Form 10-K on 02/22/2016
Entire Document
 

Management’s Discussion and Analysis of Financial Condition and Results of Operations - (continued)
(Amounts in Millions, Except Per Share Amounts)



Restructuring and Other Reorganization-Related (Reversals) Charges, net
The components of restructuring and other reorganization-related (reversals) charges, net for all of our restructuring plans are listed below.
 
Years ended December 31,
 
2015

2014

2013
Severance and termination costs
$
0.0

 
$
0.1

 
$
55.9

Lease termination costs
(0.7
)
 
0.1

 
4.2

Other exit costs
(0.1
)
 
0.0

 
0.5

Total restructuring and other reorganization-related (reversals) charges, net
$
(0.8
)
 
$
0.2

 
$
60.6

2013 Restructuring Plan
In the fourth quarter of 2013, we implemented a cost savings initiative (the "2013 Plan") to better align our cost structure with our revenue, primarily in Continental Europe. In connection with this initiative, we identified and initiated restructuring actions resulting in pre-tax charges in 2013 of $61.2 related to the 2013 Plan, comprised of severance and termination costs of $55.9, lease termination costs of $4.8 and other exit costs of $0.5. In 2015, we recorded an additional $0.1 of net restructuring reversals related to the 2013 Plan at our Integrated Agency Networks ("IAN") segment. All restructuring actions were substantially completed by the end of the first quarter of 2014, with remaining payments expected to be made through 2021.
A summary of the 2013 Plan restructuring liability activity is listed below.
 
 
December 31, 2014
 
Net Restructuring Reversals
 
Cash Payments
 
Foreign Currency Translation Adjustment
 
December 31, 2015
Severance and termination costs
 
$
4.4

 
$
0.0

 
$
(2.1
)
 
$
(0.2
)
 
$
2.1

Lease termination costs
 
2.6

 
(0.1
)
 
(1.0
)
 
(0.1
)
 
1.4

Total
 
$
7.0

 
$
(0.1
)
 
$
(3.1
)
 
$
(0.3
)
 
$
3.5


EXPENSES AND OTHER INCOME
 
Years ended December 31,
 
2015
 
2014
 
2013
Cash interest on debt obligations
$
(74.6
)
 
$
(78.9
)
 
$
(110.7
)
Non-cash interest
(11.2
)
 
(6.0
)
 
(12.0
)
Interest expense
(85.8
)
 
(84.9
)
 
(122.7
)
Interest income
22.8

 
27.4

 
24.7

Net interest expense
(63.0
)
 
(57.5
)
 
(98.0
)
Other expense, net
(46.7
)
 
(10.2
)
 
(32.3
)
Total (expenses) and other income
$
(109.7
)
 
$
(67.7
)
 
$
(130.3
)

20