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78
benefit cost from a 1% increase or decrease would be
approximately $1 million for both U.S. and non-U.S.
plans.
The plan is only funded in an amount equal to benefits
paid. The following table presents the changes in
benefit obligation and plan assets for 2015 and 2014:
In millions 2015 2014
U.S.
Plans
Non-
U.S.
Plans
U.S.
Plans
Non-
U.S.
Plans
Change in projected benefit
obligation:
Benefit obligation, January 1 $ 306 $ 59 $ 322 $ 72
Service cost 1111
Interest cost 11 5 14 6
Participants’ contributions 12 — 15 —
Actuarial (gain) loss —(1)14 19
Other ———(26)
Plan amendments —1—(7)
Benefits paid (57) (1) (62) (1)
Less: Federal subsidy 2— 2—
Currency Impact —(19)—(5)
Benefit obligation,
December 31 $ 275 $ 45 $ 306 $ 59
Change in plan assets:
Fair value of plan assets,
January 1 $—$—$—$ —
Company contributions 45 1 47 1
Participants’ contributions 12 — 15 —
Benefits paid (57) (1) (62) (1)
Fair value of plan assets,
December 31 $—$—$—$ —
Funded status, December 31 $ (275) $ (45) $(306)$ (59)
Amounts recognized in the
consolidated balance sheet
under ASC 715:
Current liability $ (29) $ (2) $(33)$ (2)
Non-current liability (246) (43) (273)(57)
$ (275) $ (45) $(306)$ (59)
Amounts recognized in
accumulated other
comprehensive income under
ASC 715 (pre-tax):
Net actuarial loss (gain) $42$15$44$ 23
Prior service credit (12) (2) (22) (5)
$30$13$22$ 18
The non-current portion of the liability is included with
the postemployment liability in the accompanying
consolidated balance sheet under Postretirement and
postemployment benefit obligation.
The components of the $8 million and ($5) million
increase and decrease in the amounts recognized in
OCI during 2015 for U.S. and non-U.S. plans,
respectively, consisted of:
In millions
U.S.
Plans
Non-
U.S.
Plans
Current year actuarial gain $4$
—
Amortization of actuarial (loss) gain (6) (1)
Current year prior service cost —1
Amortization of prior service credit 10 2
Currency impact —(7)
$8$
(5)
The portion of the change in the funded status that was
recognized in either net periodic benefit cost or OCI for
the U.S. plans was $17 million, $33 million and $63
million in 2015, 2014 and 2013, respectively. The
portion of the change in funded status for the non-U.S.
plans was $0 million, $14 million, and $19 million in
2015, 2014 and 2013, respectively.
The estimated amounts of net loss and prior service
credit that will be amortized from OCI into net U.S.
postretirement benefit cost in 2016 are expected to be
$6 million and $(4) million, respectively. The estimated
amounts for non-U.S. plans in 2016 are expected to be
$1 million and $(2) million, respectively.
At December 31, 2015, estimated total future
postretirement benefit payments, net of participant
contributions and estimated future Medicare Part D
subsidy receipts, were as follows:
In millions
Benefit
Payments
Subsidy
Receipts
Benefit
Payments
U.S.
Plans
U.S.
Plans
Non-
U.S.
Plans
2016 $31$ 1$ 2
2017 28 1 2
2018 27 1 2
2019 25 1 2
2020 24 1 3
2021 – 2025 98 6 21