Honeywell 2002 Annual Report Download - page 214

plant and equipment held for sale and capable of being taken out of service and
actively marketed in the period of impairment. Exit costs related principally to
incremental costs to exit facilities, including lease termination losses
negotiated or subject to reasonable estimation related mainly to closed
facilities in our Automation and Control Solutions and Specialty Materials
reportable segments. Also, $76 million of previously established severance
accruals were returned to income in 2002, due to fewer employee separations than
originally anticipated and higher than expected voluntary employee attrition
resulting in reduced severance liabilities in our Aerospace, Automation and
Control Solutions and Specialty Materials reportable segments.
In 2001, we recognized a repositioning charge of $1,016 million for the cost of
actions designed to reduce our cost structure and improve our future
profitability. These actions consisted of announced global workforce reductions
of approximately 20,000 manufacturing and administrative positions across all of
our reportable segments, which are substantially complete. The repositioning
charge also included asset impairments and other exit costs related to plant
closures and the rationalization of manufacturing capacity and infrastructure,
principally in our Specialty Materials, Engines, Systems and Services and
Transportation and Power Systems businesses, including the shutdown of our
Turbogenerator product line. Other exit costs consisted of
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