Following the closing of the Allergan acquisition, AbbVie implemented an integration plan designed to reduce costs, integrate and optimize the combined organization. To achieve these integration objectives, AbbVie expects to incur total charges of approximately $2 billion through 2022. These costs will consist of severance and employee benefit costs (cash severance, non-cash severance including accelerated equity award compensation expense, retention and other termination benefits) and other integration expenses.

The following table summarizes the charges associated with the Allergan acquisition integration plan:


		Severance and employee benefits						Other integration
	Three months ended March 31,						Three months ended March 31,
(in millions)			2021		2020			2021		2020
Cost of products sold			$	6	$	—		$	15	$	—
Research and development			—		—			51		—
Selling, general and administrative			17		—			50		38
Total charges			$	23	$	—		$	116	$	38

The following table summarizes the cash activity in the recorded liability associated with the integration plan for the three months ended March 31, 2021:


(in millions)	Severance and employee benefits		Other integration
Accrued balance as of December 31, 2020	$	367	$	20
Charges	21		108


Payments and other adjustments	(46)		(102)
Accrued balance as of March 31, 2021	$	342	$	26

AbbVie recorded restructuring charges of $38 million for the three months ended March 31, 2021 and $17 million for the three months ended March 31, 2020.

The following table summarizes the cash activity in the restructuring reserve for the three months ended March 31, 2021:


(in millions)
Accrued balance as of December 31, 2020	$	90
Restructuring charges	38
Payments and other adjustments	(36)
Accrued balance as of March 31, 2021	$	92