NOTE 3. PENSION AND OTHER POSTRETIREMENT BENEFITS
We sponsor funded and unfunded domestic and foreign defined benefit pension and other postretirement plans. Contributions to these plans were as follows:
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Three months ended |
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Nine months ended |
In millions |
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October 2,
2016 |
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September 27,
2015 |
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October 2,
2016 |
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September 27,
2015 |
Defined benefit pension plans |
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Voluntary contribution |
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$ |
16 |
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$ |
7 |
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$ |
101 |
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$ |
79 |
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Mandatory contribution |
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5 |
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|
5 |
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|
23 |
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|
87 |
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Defined benefit pension contributions |
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$ |
21 |
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$ |
12 |
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$ |
124 |
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$ |
166 |
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Other postretirement plans |
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$ |
4 |
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$ |
8 |
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$ |
32 |
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$ |
33 |
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Defined contribution pension plans |
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$ |
17 |
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$ |
14 |
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$ |
53 |
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$ |
56 |
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We anticipate making $22 million of additional defined benefit pension contributions during the remainder of 2016. The estimated $146 million of pension contributions for the full year include voluntary contributions of approximately $103 million. These contributions may be made from trusts or company funds either to increase pension assets or to make direct benefit payments to plan participants. We expect our 2016 net periodic pension cost to approximate $42 million.
The components of net periodic pension and other postretirement benefit costs under our plans were as follows:
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Pension |
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U.S. Plans |
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U.K. Plans |
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Other Postretirement Benefits |
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|
Three months ended |
In millions |
|
October 2,
2016 |
|
September 27,
2015 |
|
October 2,
2016 |
|
September 27,
2015 |
|
October 2,
2016 |
|
September 27,
2015 |
Service cost |
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$ |
22 |
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$ |
20 |
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$ |
5 |
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$ |
7 |
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$ |
— |
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$ |
— |
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Interest cost |
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26 |
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|
25 |
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|
13 |
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|
14 |
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|
4 |
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|
4 |
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Expected return on plan assets |
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(50 |
) |
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(47 |
) |
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(17 |
) |
|
(23 |
) |
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— |
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|
— |
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Recognized net actuarial loss |
|
9 |
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|
11 |
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|
3 |
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|
8 |
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|
1 |
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|
1 |
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Net periodic benefit cost |
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$ |
7 |
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$ |
9 |
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$ |
4 |
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$ |
6 |
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$ |
5 |
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$ |
5 |
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Pension |
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U.S. Plans |
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U.K. Plans |
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Other Postretirement Benefits |
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Nine months ended |
In millions |
|
October 2,
2016 |
|
September 27,
2015 |
|
October 2,
2016 |
|
September 27,
2015 |
|
October 2,
2016 |
|
September 27,
2015 |
Service cost |
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$ |
68 |
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|
$ |
60 |
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|
$ |
16 |
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$ |
20 |
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$ |
— |
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|
$ |
— |
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Interest cost |
|
82 |
|
|
76 |
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|
39 |
|
|
42 |
|
|
12 |
|
|
12 |
|
Expected return on plan assets |
|
(152 |
) |
|
(142 |
) |
|
(55 |
) |
|
(68 |
) |
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— |
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|
— |
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Recognized net actuarial loss |
|
23 |
|
|
34 |
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|
11 |
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|
25 |
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|
4 |
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|
3 |
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Net periodic benefit cost |
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$ |
21 |
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|
$ |
28 |
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$ |
11 |
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$ |
19 |
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$ |
16 |
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$ |
15 |
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