Annual report pursuant to Section 13 and 15(d)

TRANSFORMATION STRATEGY

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TRANSFORMATION STRATEGY
 12 Months Ended
Dec. 31, 2019
Restructuring and Related Activities [Abstract]  
TRANSFORMATION STRATEGY TRANSFORMATION STRATEGY COSTS
In the first quarter of 2018, we launched the first phase of a multi-year, enterprise-wide transformation strategy impacting our organization. Over the next several years additional phases will be implemented. The program includes investments, as well as changes in processes and technology, that impact global direct and indirect operating costs.
The table below presents the transformation strategy costs for the years ended December 31, 2019 and 2018 (in millions):
 
 
Year Ended December 31,
Transformation Strategy Costs
 
2019
 
2018
Compensation and benefits
 
$
166

 
$
262

Total other expenses
 
89

 
98

Total Transformation Strategy Costs
 
$
255

 
$
360

 
 
 
 
 
Income Tax Benefit from Transformation Strategy Costs
 
(59
)
 
(87
)
After Tax Transformation Strategy Costs
 
$
196

 
$
273

The income tax effects of transformation strategy costs are calculated by multiplying the amount of the adjustments by the statutory tax rates applicable in each tax jurisdiction.