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PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS
 3 Months Ended
Mar. 31, 2015
PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS
PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS
The components of net periodic benefit costs (credits) are:
 
PENSION
 
QUARTER ENDED
DOLLAR AMOUNTS IN MILLIONS
MARCH 2015
 
MARCH 2014
Service cost(1)
$
15

 
$
14

Interest cost
65

 
69

Expected return on plan assets
(118
)
 
(116
)
Amortization of actuarial loss
44

 
31

Amortization of prior service cost
1

 
1

Total net periodic benefit cost (credit)
$
7

 
$
(1
)
(1)
Service cost includes $1 million for quarter ended 2014 for employees that were part of the Real Estate Divestiture. These charges are included in our results of discontinued operations.
 
OTHER POSTRETIREMENT BENEFITS
 
QUARTER ENDED
DOLLAR AMOUNTS IN MILLIONS
MARCH 2015
 
MARCH 2014
Interest cost
$
3

 
$
3

Amortization of actuarial loss
2

 
3

Amortization of prior service credit
(2
)
 
(48
)
Other
—

 
(4
)
Total net periodic benefit cost (credit)
$
3

 
$
(46
)

During fourth quarter 2013, we decided to eliminate post-Medicare health funding for certain salaried retirees after 2014. We recognized a pretax gain of $45 million in first quarter 2014 from this plan amendment. This gain is included in "Other operating income, net" in our Consolidated Statement of Operations and reflected in the amortization of prior service credit in the table above.

FAIR VALUE OF PENSION PLAN ASSETS
As disclosed in our Annual Report on Form 10-K for the year ended December 31, 2014, the value reported for our pension plan assets at the end of 2014 was estimated. Additional information regarding the year-end values generally becomes available to us during the first half of the following year. We expect to complete the valuation of our pension plan assets during second quarter 2015. The final adjustments could affect net pension periodic benefit cost.
EXPECTED CONTRIBUTIONS AND BENEFIT PAYMENTS
In 2015 we expect to:
•
be required to contribute approximately $38 million for our Canadian registered plan;
•
be required to contribute or make benefit payments for our Canadian nonregistered plans of $3 million;
•
make benefit payments of $19 million for our U.S. nonqualified pension plans; and
•
make benefit payments of $26 million for our U.S. and Canadian other postretirement plans.
We do not anticipate making a contribution to our U.S. qualified pension plan for 2015.