v3.26.3
Accrued Liabilities
 9 Months Ended
Sep. 30, 2026
Accrued Liabilities, Current [Abstract]  
Accrued Liabilities
Note 12. Accrued Liabilities
September 30,
2026		December 31,
2025
(Dollars in millions)
Customer pricing reserve$97 $88 
Compensation, benefit and other employee related79 81 
Repositioning8 6 
Product warranties and performance guarantees - short-term (Note 20)
13 13 
Income and other taxes29 32 
Customer advances and deferred income (1)
26 17 
Accrued interest27 12 
Short-term lease liability (Note 14)
14 13 
Accrued freight13 9 
Designated and undesignated derivatives (Note 17)
34 11 
Environmental reserve1 3 
Other (primarily operating expenses)
15 10 
$356 $295 
(1)Customer advances and deferred income include $16 million and $10 million of contract liabilities as of September 30, 2026 and December 31, 2025, respectively. See Note 3, Revenue Recognition and Contracts with Customers.
The Company accrues repositioning costs related to projects to optimize its product costs and right-size our organizational structure. Expenses related to the repositioning accruals are included in Cost of goods sold and Selling, general and administrative expenses in our Consolidated Interim Statements of Operations.
The following tables summarize the activity in our repositioning accrual:
Severance Costs
Other Costs
Total
(Dollars in millions)
Balance at December 31, 2025
$6 $— $6 
Charges17 — 17 
Usage—cash(15)— (15)
Balance at September 30, 2026
$8 $— $8 
Severance Costs
Other Costs
Total
(Dollars in millions)
Balance at December 31, 2024
$12 $— $12 
Charges8 — 8 
Usage—cash(10)— (10)
Balance at September 30, 2025
$10 $— $10