Restructuring and Other Charges, Net

9 Months Ended

Jun. 27, 2025

Restructuring and Other Charges, Net

2. Restructuring and Other Charges, Net

Net restructuring and other charges consisted of the following:


	For the				For the
	Quarters Ended				Nine Months Ended
	June 27,		June 28,		June 27,		June 28,
	2025		2024		2025		2024

	(in millions)
Restructuring charges, net	$	10	$	16	$	97	$	57
Gain on divestiture		(1)		(21)		(1)		(10)
Costs related to change in place of incorporation		—		3		11		11
Other charges, net		5		8		2		9
Restructuring and other charges, net	$	14	$	6	$	109	$	67

Restructuring Charges, Net

Net restructuring charges by segment were as follows:


	For the				For the
	Quarters Ended				Nine Months Ended
	June 27,		June 28,		June 27,		June 28,
	2025		2024		2025		2024

	(in millions)
Transportation Solutions	$	7	$	9	$	66	$	26
Industrial Solutions		3		7		31		31
Restructuring charges, net	$	10	$	16	$	97	$	57

Activity in our restructuring reserves was as follows:


	Balance at										Currency		Balance at
	September 27,				Changes in		Cash		Non-Cash		Translation		June 27,
	2024		Charges		Estimate		Payments		Items		and Other		2025

	(in millions)
Fiscal 2025 Actions:
Employee severance	$	—	$	77	$	—	$	(15)	$	—	$	5	$	67
Property, plant, and equipment		—		3		—		—		(3)		—		—
Total		—		80		—		(15)		(3)		5		67
Fiscal 2024 Actions:
Employee severance		72		2		(2)		(35)		—		1		38
Property, plant, and equipment		—		1		2		—		(3)		—		—
Total		72		3		—		(35)		(3)		1		38
Pre-Fiscal 2024 Actions:
Employee severance		186		11		(6)		(85)		—		(3)		103
Facility and other exit costs		15		8		—		(14)		—		—		9
Property, plant, and equipment		—		1		—		—		(1)		—		—
Total		201		20		(6)		(99)		(1)		(3)		112
Total Activity	$	273	$	103	$	(6)	$	(149)	$	(7)	$	3	$	217

Fiscal 2025 Actions

During fiscal 2025, we initiated a restructuring program associated with footprint consolidation and cost structure improvements in both of our segments. During the nine months ended June 27, 2025, we recorded restructuring charges of $80 million in connection with this program. We expect to complete all restructuring actions commenced during the nine months ended June 27, 2025 by the end of fiscal 2032 and to incur additional charges of approximately $15 million related primarily to facility exit costs in the Industrial Solutions segment.

Fiscal 2024 Actions

During fiscal 2024, we initiated a restructuring program to optimize our manufacturing footprint and improve the cost structure of the organization. In connection with this program, during the nine months ended June 27, 2025 and June 28, 2024, we recorded restructuring charges of $3 million and $24 million, respectively. We expect to complete all restructuring actions commenced during fiscal 2024 by the end of fiscal 2025 and anticipate that additional charges related to actions commenced during fiscal 2024 will be insignificant.

Pre-Fiscal 2024 Actions

During the nine months ended June 27, 2025 and June 28, 2024, we recorded net restructuring charges of $14 million and $33 million, respectively, related to pre-fiscal 2024 actions. We expect to incur additional charges of approximately $10 million in connection with the restructuring actions commenced prior to fiscal 2024.

Total Restructuring Reserves

Restructuring reserves included on the Condensed Consolidated Balance Sheets were as follows:


	June 27,		September 27,
	2025		2024

	(in millions)
Accrued and other current liabilities	$	185	$	233
Other liabilities		32		40
Restructuring reserves	$	217	$	273

Divestiture

During the nine months ended June 28, 2024, we sold one business for net cash proceeds of $59 million. In connection with the divestiture, we recorded a pre-tax gain on sale of $10 million in the nine months ended June 28, 2024. The business sold was reported in our Transportation Solutions segment.

Change in Place of Incorporation

During both the nine months ended June 27, 2025 and June 28, 2024, we incurred costs of $11 million related to our change in place of incorporation from Switzerland to Ireland. See Note 1 for additional information regarding the change.