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REPOSITIONING AND OTHER (GAINS) CHARGES
 12 Months Ended
Dec. 31, 2025
Restructuring and Related Activities [Abstract]  
REPOSITIONING AND OTHER (GAINS) CHARGES REPOSITIONING AND OTHER (GAINS) CHARGES
A summary of net repositioning and other (gains) charges follows:
 Years Ended December 31,
202520242023
Severance$138 $136 $162 
Asset impairments11 22 41 
Exit costs61 63 132 
Reserve adjustments(57)(97)(56)
Total net repositioning charges153 124 279 
Asbestos-related charges and loss on asbestos liabilities divestiture, net of insurance and reimbursements1
214 61 534 
Probable and reasonably estimable environmental liabilities, net of reimbursements268 37 35 
Gain on Resideo indemnification and reimbursement agreement termination1
(802)— — 
Other charges— 17 (4)
Total net repositioning and other (gains) charges
$(167)$239 $844 
1
Refer to Note 19 Commitments and Contingencies for further discussion of the 2025 asbestos liabilities divestiture transaction and gain related to the Resideo indemnification and reimbursement agreement termination.
The following table summarizes the pre-tax distribution of total net repositioning and other (gains) charges by classification in the Consolidated Statement of Operations:
 Years Ended December 31,
202520242023
Cost of products and services sold$513 $109 $680 
Selling, general and administrative expenses122 113 163 
Other (income) expense(802)17 1 
Total net repositioning and other (gains) charges
$(167)$239 $844 
The following table summarizes the pre-tax amount of total net repositioning and other (gains) charges by reportable business segment. These amounts are excluded from segment profit as described in Note 22 Segment Financial Data:
 Years Ended December 31,
202520242023
Aerospace Technologies$(3)$(3)$23 
Industrial Automation77 60 139 
Building Automation41 25 58 
Energy and Sustainability Solutions8 18 7 
Corporate and All Other(290)139 617 
Total net repositioning and other (gains) charges
$(167)$239 $844 
NET REPOSITIONING CHARGES
In 2025, the Company recognized gross repositioning charges totaling $210 million, including severance costs of $138 million related to workforce reductions of 3,425 manufacturing and administrative positions primarily in the Company's Industrial Automation and Building Automation reportable business segments. The workforce reductions related to productivity and ongoing functional transformation initiatives. The repositioning charges included asset impairments of $11 million related to the write-down of certain assets primarily within the Company's Industrial Automation reportable business segment and corporate function. The repositioning charges included exit costs of $61 million related to current period costs incurred for closure obligations associated with site transitions in the Company's Industrial Automation reportable business segment and corporate function. Also, $57 million of previously established reserves, primarily for severance, were returned to income due to higher-than-expected voluntary exits and adjustments to the scope of previously announced repositioning actions.
In 2024, the Company recognized gross repositioning charges totaling $221 million, including severance costs of $136 million related to workforce reductions of 3,486 manufacturing and administrative positions mainly in the Company's Industrial Automation reportable business segment and corporate function. The workforce reductions related to productivity and ongoing functional transformation initiatives. The repositioning charges included asset impairments of $22 million related to the write-down of certain assets primarily within the Company's Building Automation reportable business segment. The repositioning charges included exit costs of $63 million related to current period costs incurred for closure obligations associated with site transitions in the Company's Industrial Automation reportable business segment. Also, $97 million of previously established reserves, primarily for severance, were returned to income due to higher-than-expected voluntary exits and adjustments to the scope of previously announced repositioning actions.
In 2023, the Company recognized gross repositioning charges totaling $335 million, including severance costs of $162 million related to workforce reductions of 5,854 manufacturing and administrative positions mainly in the Company's Industrial Automation and Building Automation reportable business segments. The workforce reductions related to productivity and ongoing functional transformation initiatives. The repositioning charges included asset impairments of $41 million related to the write-down of certain assets within the Company's Industrial Automation reportable business segment and corporate function. The repositioning charges included exit costs of $132 million related to current period costs incurred for closure obligations associated with site transitions in the Company's Industrial Automation reportable business segment. Also, $56 million of previously established reserves, primarily for severance, were returned to income due to higher-than-expected voluntary exits and adjustments to the scope of previously announced repositioning actions.
The following table summarizes the status of the Company's repositioning reserves, excluding amounts that are included in Liabilities held for sale in the Consolidated Balance Sheet:
Severance
Costs		Asset
Impairments		Exit
Costs		Total
Balance at December 31, 2022$229 $— $74 $303 
Charges162 41 132 335 
Usage—cash(170)— (110)(280)
Usage—noncash— (36)— (36)
Divestitures— (4)(5)(9)
Adjustments(42)(1)(13)(56)
Foreign currency translation6 — 13 19 
Balance at December 31, 2023185 — 91 276 
Charges136 22 63 221 
Usage—cash(92)— (97)(189)
Usage—noncash— (6)— (6)
Adjustments(41)(16)(40)(97)
Foreign currency translation
— — (2)(2)
Reclassifications to Liabilities held for sale
(14)— (8)(22)
Balance at December 31, 2024174 — 7 181 
Charges138 11 61 210 
Usage—cash(90)— (63)(153)
Usage—noncash— (10)— (10)
Adjustments(52)(1)(3)(56)
Foreign currency translation6 — — 6 
Reclassifications to Liabilities held for sale(6)— — (6)
Balance at December 31, 2025$170 $— $2 $172 
Certain repositioning projects will recognize exit costs in future periods when the actual liability is incurred. Such exit costs incurred in 2025, 2024, and 2023 were $60 million, $57 million, and $53 million, respectively.