We initiate restructuring actions to keep our cost structure competitive. Charges generally arise from severance related to workforce reductions, and to a lesser degree, facility exit and lease termination costs associated with the consolidation of office and manufacturing operations. Due to the size, nature and frequency of these discrete actions, they are fundamentally different from the Company's ongoing productivity initiatives.

During the quarters and six months ended June 30, 2025 and 2024, we recorded restructuring costs for new and ongoing restructuring actions, including UpLift actions, as follows:


	Quarter Ended June 30, 2025						Quarter Ended June 30, 2024
(dollars in millions)	UpLift		Other		Total		UpLift		Other		Total
Cost of products and services sold	$	(2)	$	6	$	4	$	2	$	4	$	6
Selling, general and administrative	27		6		33		4		1		5

Total	$	25	$	12	$	37	$	6	$	5	$	11


	Six Months Ended June 30, 2025						Six Months Ended June 30, 2024
(dollars in millions)	UpLift		Other		Total		UpLift		Other		Total
Cost of products and services sold	$	7	$	21	$	28	$	2	$	9	$	11
Selling, general and administrative	38		14		52		5		15		20

Total	$	45	$	35	$	80	$	7	$	24	$	31

UpLift Restructuring Actions and Transformation Costs. In 2023, we announced UpLift to transform our operating model. UpLift includes, among other aspects, the standardization of our processes and improvement of our supply chain procurement, as well as organizational changes which result in restructuring actions.

UpLift restructuring actions were approved in the years ended December 31, 2023 and 2024, as well as in the quarter and six months ended June 30, 2025, with further actions expected through the year ending December 31, 2025. These costs are primarily severance related costs. We expect these actions initiated to be substantially completed and cash to be paid by the end of 2025. Expected total costs and remaining costs to incur for the actions initiated are approximately $126 million and $26 million, respectively.

In the quarter and six months ended June 30, 2025, we incurred $18 million and $41 million, compared to $15 million and $27 million in the same periods of 2024, respectively, of incremental, non-restructuring costs associated with transforming our operating model as a part of UpLift ("UpLift transformation costs"), which are recorded in Other income (expense), net in the Condensed Consolidated Statements of Operations. The UpLift transformation costs are primarily for consultants, third-party service providers and personnel focused on designing and implementing a centralized service delivery model that supports our new organizational structure, including the standardization of our supply chain and digital technology procurement.

Other Restructuring Actions. The Other restructuring expenses incurred during the quarters and six months ended June 30, 2025 and 2024, were primarily the result of restructuring programs initiated during 2025 and 2024 related to severance and facility exit costs. We are targeting to complete in 2025 the majority of the remaining restructuring actions initiated in the quarter and six months ended June 30, 2025 and the full year 2024, with certain utilization beyond 2025 due to contractual obligations or legal requirements in the applicable jurisdictions. Expected total costs and remaining costs to incur for the other restructuring actions initiated are $83 million and $36 million, respectively. Expected total and remaining costs are related to approximately 60% to New Equipment and 40% to Service.

In January 2025, we announced the reorganization of our operations in China. Among other aspects, this reorganization will result in restructuring actions of approximately $40 million. These actions include severance related costs, and we expect these actions to be mostly completed and any cash to be paid by the end of 2025. Amounts related to the reorganization of operations in China are included within Other restructuring.


(dollars in millions)	UpLift Actions		Other Actions		Total Restructuring Actions
Restructuring accruals as of December 31, 2024	$	13	$	24	$	37
Net restructuring costs	45		35		80
Utilization, foreign exchange and other costs	(22)		(30)		(52)
Restructuring accruals as of June 30, 2025	$	36	$	29	$	65