Snapple 2008 Annual Report Download - page 105

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The Company does not expect to incur significant additional non-recurring charges over the next 12 months
with respect to the restructuring items listed above.
Restructuring liabilities are included in accounts payable and accrued expenses on the Consolidated Balance
Sheets. Restructuring liabilities as of December 31, 2008, 2007, and 2006, along with charges to expense, cash
payments and non-cash charges for those years were as follows (in millions):
Workforce
Reduction
Costs
External
Consulting
Closure
Costs Other Total
Balance as of January 1, 2006 ...................... $ 1 $— $— $ 1 $ 2
2006 Charges to expense ........................ 9 9 1 8 27
2006 Cash payments............................ (7) (12) (1) (6) (26)
Non-cash items ............................... (1) 3 — (3) (1)
Balance as of December 31, 2006.................... 2 — — — 2
2007 Charges to expense ........................ 47 10 5 14 76
2007 Cash payments............................ (22) (13) (5) (12) (52)
Non-cash items ............................... 2 4 — (2) 4
Balance as of December 31, 2007.................... 29 1 — — 30
2008 Charges to expense ........................ 30 3 1 23 57
2008 Cash payments............................ (37) (4) (1) (15) (57)
Non-cash items ............................... (16) — — (6) (22)
Balance as of December 31, 2008.................... $ 6 $— $— $ 2 $ 8
Organizational Restructuring
The Company initiated a restructuring program in the fourth quarter of 2007 intended to create a more efficient
organization which resulted in the reduction of employees in the Company’s corporate, sales and supply chain
functions. The table below summarizes the charges for the years ended December 31, 2008 and 2007 and the
cumulative costs to date by operating segment (in millions). The Company does not expect to incur significant
additional charges related to the organizational restructuring.
2008 2007
Cumulative
Costs to Date
Costs for the
Year Ended
December 31,
Beverage Concentrates ..................................... $19 $15 $34
Finished Goods .......................................... 9 6 15
Bottling Group ........................................... — 4 4
Mexico and the Caribbean .................................. 1 1 2
Corporate ............................................... 10 6 16
Total................................................. $39 $32 $71
Integration of the Bottling Group
In conjunction with the formation of the Bottling Group segment in 2006, the Company began the integration
of the Bottling Group business, which included standardization of processes within the Bottling Group as well as
integration of the Bottling Group with the other operations of the Company. The table below summarizes the
81
DR PEPPER SNAPPLE GROUP, INC.
NOTES TO AUDITED CONSOLIDATED FINANCIAL STATEMENTS — (Continued)