Upon close of the Merger, we began implementing restructuring initiatives to realize cost efficiencies and reduce redundancies. The major activities associated with the restructuring initiatives to date include contract termination costs associated with the rationalization of retail stores, distribution channels, duplicative network and backhaul services and other agreements, severance costs associated with the integration of redundant processes and functions and the decommissioning of certain small cell sites and distributed antenna systems to achieve synergies in network costs.

The following table summarizes the expenses incurred in connection with our restructuring initiatives:



(in millions)	Three Months Ended June 30, 2021		Six Months Ended June 30, 2021		Incurred to Date
Contract termination costs	$	3	$	9	$	187
Severance costs	3		19		404
Network decommissioning	42		54		551
Total restructuring plan expenses	$	48	$	82	$	1,142

The expenses associated with the restructuring initiatives are included in Costs of services and Selling, general and administrative in our Condensed Consolidated Statements of Comprehensive Income.

Our restructuring initiatives also include the acceleration or termination of certain of our operating and financing leases for cell sites, switch sites, retail stores, network equipment and office facilities. Incremental expenses associated with accelerating amortization of the right-of-use assets on lease contracts were $261 million and $384 million for the three and six months ended June 30, 2021, respectively, and are included within Costs of services and Selling, general and administrative in our Condensed Consolidated Statements of Comprehensive Income. No restructuring expenses were incurred related to the acceleration or termination of leases for the three and six months ended June 30, 2020.


(in millions)	December 31, 2020		Expenses Incurred		Cash Payments		Adjustments for Non-Cash Items (1)		June 30, 2021
Contract termination costs	$	81	$	9	$	(65)	$	—	$	25
Severance costs	52		19		(53)		(4)		14
Network decommissioning	30		54		(29)		(16)		39
Total	$	163	$	82	$	(147)	$	(20)	$	78

(1) Non-cash items consists of non-cash stock-based compensation included within Severance costs and the write-off of assets within Network decommissioning.

The liabilities accrued in connection with our restructuring initiatives are presented in Accounts payable and accrued liabilities in our Condensed Consolidated Balance Sheets.

Our restructuring activities are expected to occur over the next three years with substantially all costs incurred by the end of fiscal year 2023. We are evaluating additional restructuring initiatives, which are dependent on consultations and negotiation with certain counterparties and the expected impact on our business operations, which could affect the amount or timing of the restructuring costs and related payments.