PENSION AND POSTRETIREMENT BENEFIT PLANS

6 Months Ended

Jun. 30, 2016

Compensation and Retirement Disclosure [Abstract]

Pension and Other Postretirement Benefits [Text Block]

PENSION AND POSTRETIREMENT BENEFIT PLANS

The net periodic benefit cost/(credit) of defined benefit pension and postretirement benefit plans includes:

	Three Months Ended June 30,												Six Months Ended June 30,
	Pension Benefits						Other Benefits						Pension Benefits						Other Benefits
Dollars in Millions	2016			2015			2016			2015			2016			2015			2016			2015
Service cost – benefits earned during the year	$	7		$	6		$	1		$	1		$	13		$	12		$	2		$	2
Interest cost on projected benefit obligation	49			60			2			3			100			121			5			6
Expected return on plan assets	(106		)	(103		)	(6		)	(6		)	(210		)	(205		)	(12		)	(13		)
Amortization of prior service credits	(1		)	(1		)	(1		)	(2		)	(2		)	(2		)	(2		)	(3		)
Amortization of net actuarial loss	21			26			—			1			40			50			—			2
Curtailments and settlements	25			36			—			—			47			63			—			—
Special termination benefits	—			—			—			—			1			—			—			—
Net periodic benefit cost/(credit)	$	(5	)	$	24		$	(4	)	$	(3	)	$	(11	)	$	39		$	(7	)	$	(6	)

Pension settlement charges were recognized after determining that the annual lump sum payments will likely exceed the annual interest and service costs for certain pension plans, including the primary U.S. pension plan. The charges included the acceleration of a portion of unrecognized actuarial losses.

Non-current pension liabilities were $1,182 million at June 30, 2016 and $765 million at December 31, 2015. The increase resulted primarily from a lower discount rate assumed in the remeasurement of U.S. plan benefit obligations.

Defined contribution plan expense in the U.S. was $50 million and $45 million for the three months ended June 30, 2016 and 2015, respectively, and $92 million and $89 million for the six months ended June 30, 2016 and 2015, respectively.