Item 2.05. COSTS ASSOCIATED WITH EXIT OR DISPOSAL ACTIVITIES.

On September 15, 2020, and effective as of such date, Hill-Rom Holdings, Inc. (the "Company") committed to a workforce reduction plan (the "Plan") as part of the Company's continued business optimization initiatives. These initiatives are designed to advance the Company's strategy and growth platforms and improve its operations and cost structure. The Plan includes a voluntary retirement program and involuntary severance actions.

The Company expects the actions associated with the Plan to be substantially complete in fiscal 2021 and estimates that it will incur a restructuring charge of approximately $35 million, which is related to employee termination and severance costs. The Company expects substantially all of this restructuring charge to result in cash expenditures in fiscal 2021.

Disclosure Regarding Forward-Looking Statements

Certain statements in this report relating to the Company's restructuring charge expectations, related anticipated costs and cash expenditures, and the timing for completion of the actions associated with the Plan constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. It is important to note that forward-looking statements involve significant risks and uncertainties and are not guarantees of future performance, and the Company's actual results could differ materially from those set forth in any forward-looking statements. Factors that could cause actual results to differ materially from these expectations include, but are not limited to, the risk that timing for completion of the actions associated with the Plan may be delayed, or the risk that the expected restructuring charge and related costs may be more or less than anticipated. For a more in-depth discussion of factors that could cause actual results to differ from those contained in forward-looking statements, see the discussions under the heading "Risk Factors" in the Company's previously filed most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. The Company assumes no obligation to update or revise any forward-looking statements, unless required by law.


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