Annual report pursuant to Section 13 and 15(d)


12 Months Ended
Dec. 31, 2022
Restructuring and Related Activities [Abstract]  
Restructuring and Related Activities Disclosure
On March 17, 2022, the Board indefinitely suspended our operations in Russia due to the ongoing conflict in Ukraine. At the time of suspension, our Russian operations included a wholly-owned distributor in Russia, an Unconsolidated JV with KAMAZ (a Russian truck manufacturer) and direct sales into Russia from our other business segments. As a result of the suspension of operations, we evaluated the recoverability of assets in Russia and assessed other potential liabilities. We experienced and expect to continue to experience an inability to collect customer receivables and may be the subject of litigation as a consequence of our suspension of commercial operations in Russia. We recorded a charge of $111 million during 2022 related to these actions. As of December 31, 2022, we had no inventory and approximately $14 million of receivables in Russia, all of which are fully reserved. In addition, we have cash balances of $66 million, some of which will be used to fund ongoing employee, tax and contract settlement obligations. The following summarizes the costs associated with the suspension of our Russian operations in our Consolidated Statements of Net Income:
Year ended
In millions December 31,
Statement of Net Income Location
Inventory write-downs $ 17  Cost of sales
Accounts receivable reserves 41  Other operating expense, net
Impairment and other joint venture costs 31  Equity, royalty and interest income from investees
Other 22  Other operating expense, net
Russian suspension costs, net of recoveries $ 111   
We will continue to evaluate the situation as conditions evolve and may take additional actions as deemed necessary in future periods.