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Benefit Obligations
3 Months Ended
Mar. 31, 2014
Compensation and Retirement Disclosure [Abstract]  
Benefit Obligations
Benefit Obligations
In November 2013, the Company announced it would amend its US postretirement health care plan to (a) eliminate eligibility for all current and future US non-union employees; (b) terminate its US postretirement health care plan on December 31, 2014 for all US participants; and (c) offer certain eligible US participants a lump-sum buyout payment if they irrevocably waive all future benefits under the US postretirement health care plan and end their participation before December 31, 2014. These actions generated a prior service credit of $92 million, which was recorded to Accumulated other comprehensive income in December 2013, net in the consolidated balance sheets. The prior service credit is being amortized ratably into the consolidated statements of operations through December 31, 2014. The Company recognized $20 million of prior service credit amortization as part of net periodic benefit cost during the three months ended March 31, 2014. During the three months ended March 31, 2014, the Company made $30 million in lump-sum buyout payments to certain eligible US individuals.
The components of net periodic benefit costs are as follows:
 
Three Months Ended March 31,
 
2014
 
2013
 
Pension
Benefits
 
Postretirement
Benefits
 
Pension
Benefits
 
Postretirement
Benefits
 
(In $ millions)
Service cost
3

 

 
9

 
1

Interest cost
42

 
2

 
39

 
2

Expected return on plan assets
(54
)
 

 
(56
)
 

Amortization of prior service cost (credit), net

 
(19
)
 

 

Total
(9
)
 
(17
)
 
(8
)
 
3


Commitments to fund benefit obligations during 2014 are as follows:
 
As of
March 31,
2014
 
Total
Expected
2014
 
(In $ millions)
Cash contributions to defined benefit pension plans
6

 
27

Benefit payments to nonqualified pension plans
6

 
22

Benefit payments to other postretirement benefit plans
36

 
54


The Company’s estimates of its US defined benefit pension plan contributions reflect the provisions of the Pension Protection Act of 2006.
The Company participates in a multiemployer defined benefit plan in Germany covering certain employees. The Company’s contributions to the multiemployer defined benefit plan are based on specified percentages of employee contributions and totaled $2 million for the three months ended March 31, 2014.