Sears 2015 Annual Report Download - page 81

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The current portion of our liability for postretirement obligations is $15 million, which we expect to pay
during fiscal 2016.
Weighted-average assumptions used to determine plan obligations were as follows:
2015 2014 2013
SHC
Domestic
SHC
Domestic
SHC
Domestic
Sears
Canada
Pension benefits:
Discount Rate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.50% 3.70% 4.60% 4.20%
Rate of compensation increases . . . . . . . . . . . . . . . . . . . . . . . . . . N/A N/A N/A 3.50%
Postretirement benefits:
Discount Rate . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.00% 3.30% 4.00% 4.20%
Rate of compensation increases . . . . . . . . . . . . . . . . . . . . . . . . . . N/A N/A N/A 3.50%
The increase in the discount rate in 2015 resulted in a decrease in the 2015 year-end pension obligation of
approximately $470 million.
Net Periodic Benefit Cost
The components of net periodic benefit cost were as follows:
2015 2014 2013
millions
SHC
Domestic
SHC
Domestic
Sears
Canada Total
SHC
Domestic
Sears
Canada Total
Pension benefits:
Interest cost. . . . . . . . . . . . . . . . . . . . . . . . $211 $221 $36 $257 $219 $56 $275
Expected return on plan assets . . . . . . . . . (249)(246)(52)(298)(224)(76)(300)
Recognized net loss and other . . . . . . . . . 268 115 8 123 167 34 201
Net periodic benefit cost. . . . . . . . . . . . . . $230 $90 $(8) $ 82 $162 $14 $176
Postretirement benefits:
Interest cost. . . . . . . . . . . . . . . . . . . . . . . . $5$8$3$11 $8$12 $20
Expected return on assets . . . . . . . . . . . . . — — — — — (2)(2)
Recognized net loss and other . . . . . . . . . (7)(1)(1)(2)— — —
Net periodic benefit cost. . . . . . . . . . . . . . $(2) $ 7$2$9$8$10 $18
SEARS HOLDINGS CORPORATION
Notes to Consolidated Financial Statements—(Continued)
81