The Collaborative International Dictionary of English v.0.48:

Severance \Sev"er*ance\, n.
   1. The act of severing, or the state of being severed;
      partition; separation. --Milman.
      [1913 Webster]

   2. (Law) The act of dividing; the singling or severing of two
      or more that join, or are joined, in one writ; the putting
      in several or separate pleas or answers by two or more
      disjointly; the destruction of the unity of interest in a
      joint estate. --Bouvier.
      [1913 Webster]

U.S. Gazetteer (1990):

Severance, CO (town, FIPS 69150)
  Location: 40.52241 N, 104.84961 W
  Population (1990): 106 (46 housing units)
  Area: 0.5 sq km (land), 0.0 sq km (water)
Severance, KS (city, FIPS 64025)
  Location: 39.76686 N, 95.24885 W
  Population (1990): 98 (53 housing units)
  Area: 0.3 sq km (land), 0.0 sq km (water)
  Zip code(s): 66087
Severance, NY
  Zip code(s): 12872

Moby Thesaurus II by Grady Ward, 1.0:

69 Moby Thesaurus words for "severance":
   abscission, alteration, amputation, analysis, anatomization,
   atomization, butchering, change, chopping, clearance, cleavage,
   cutting, demarcation, deportation, desynonymization, detachment,
   dichotomy, differencing, differentiation, discard, discrimination,
   disequalization, disjunction, disposal, disposition, distinction,
   distinguishment, diversification, division, ejection, elimination,
   enucleation, eradication, excision, exile, expatriation, expulsion,
   fission, individualization, individuation, laceration, liquidation,
   modification, mutilation, ostracism, outlawing, outlawry,
   particularization, personalization, purge, removal, rending,
   resection, riddance, ripping, scission, section, segregation,
   separation, severalization, slashing, slicing, specialization,
   splitting, surgery, suspension, tearing, variation, withdrawal