Kraft 2013 Annual Report Download - page 56

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54
As of December 28, 2013, we have incurred Restructuring Program costs of $585 million since the inception of the
Restructuring Program. We have spent $261 million in cash. We expect to complete the Restructuring Program by
the end of 2014.
We recorded Restructuring Program costs and spending in the consolidated financial statements as follows:
For the Years Ended
December 28,
2013 December 29,
2012
Restructuring costs - Asset impairment and exit costs $ 108 $ 141
Implementation costs - Cost of sales 77 97
Implementation costs - Selling, general and administrative expenses 65 34
Spin-Off transition costs - Selling, general and administrative expenses 32 31
$ 282 $ 303
We incurred non-cash costs of $157 million in the year ended December 28, 2013 and $151 million in the year
ended December 28, 2012. We spent cash of $150 million in the year ended December 28, 2013 and $111 million
in the year ended December 29, 2012 related to our Restructuring Program.
Restructuring Program Costs by Segment:
During the years ended December 28, 2013 and December 29, 2012, we recorded Restructuring Program costs
within segment operating income as follows:
For the Year Ended December 28, 2013 For the Year Ended December 29, 2012
Restructuring
Costs Implementation
Costs
Spin-Off
Transition
Costs Total Restructuring
Costs Implementation
Costs
Spin-Off
Transition
Costs Total
(in millions)
Beverages $ 19 $ 22 $ — $ 41 $ 44 $ 19 $ — $ 63
Cheese 26 62 — 88 26 72 — 98
Refrigerated Meals 18 17 — 35 19 11 — 30
Meals & Desserts 14 12 — 26 15 9 — 24
Enhancers & Snack Nuts 12 12 — 24 17 8 — 25
Canada 10 7 — 17 9 5 — 14
Other Businesses 9 10 — 19 11 7 — 18
Corporate expenses — — 32 32 — — 31 31
Total $ 108 $ 142 $ 32 $ 282 $ 141 $ 131 $ 31 $ 303
Restructuring Costs Liability:
At December 28, 2013, the restructuring costs liability balance within other current liabilities was as follows:
Severance
and Related
Costs Asset
Write-downs Total
(in millions)
Liability balance, December 30, 2012 $ 44 $ — $ 44
Restructuring costs 80 28 108
Cash spent on restructuring costs (61) — (61)
Non-cash items (44) (28) (72)
Liability balance, December 28, 2013 $ 19 $ — $ 19
Other Cost Savings Initiatives:
We recorded approximately $8 million of corporate expenses in selling, general and administrative expenses
related to our other cost savings initiatives during the year ended December 28, 2013.