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RESTRUCTURING COSTS
 3 Months Ended
Mar. 31, 2026
Restructuring and Related Activities [Abstract]  
RESTRUCTURING COSTS RESTRUCTURING COSTS
The Company incurs costs associated with restructuring initiatives intended to improve operating performance, profitability and working capital levels. Actions associated with these initiatives may include improving productivity, workforce reductions and the consolidation of facilities. Due to the size, nature and frequency of these discrete plans, they are fundamentally different from the Company's ongoing productivity actions.

The Company recorded net pre-tax restructuring costs for new and ongoing restructuring initiatives as follows:

Three Months Ended
 March 31,
(In millions)20262025
Climate Solutions Americas$3 $3 
Climate Solutions Europe86 — 
Climate Solutions Asia Pacific, Middle East & Africa3 1 
Climate Solutions Transportation2 1 
Total Segment94 5 
Corporate and other14 3 
Total restructuring costs (1)
$108 $8 
Cost of sales$44 $2 
Selling, general and administrative64 6 
Total restructuring costs (1)
$108 $8 
(1) Restructuring costs include period-related charges.
The following table summarizes changes in the restructuring reserve, included in Accrued liabilities on the accompanying Unaudited Condensed Consolidated Balance Sheet:

Three Months Ended
March 31,
(In millions)20262025
Balance as of January 1,$102 $69 
Net pre-tax restructuring costs103 4 
Utilization, foreign exchange and other(46)(17)
Balance as of March 31,$159 $56 

As of March 31, 2026, the Company had $159 million accrued for costs associated with its announced restructuring initiatives. The balance relates to cost reduction efforts, primarily severance related across each of the Company's segments. The Company expects a majority of the balance to be utilized within 12 months.