Postretirement Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2020

Retirement Benefits [Abstract]

Defined benefit contributions by employer

Matching obligations, the majority of which were funded in cash in connection with the plans, and other company contributions are as follows:

(in millions)	Defined Contribution
2020	$	56
2019	49
2018	39

Summary of amounts recorded within accumulated other comprehensive income

The following table provides a summary of the funded status of our Post-retirement Plans, the presentation of such balances and a summary of amounts recorded within accumulated other comprehensive income:

(in millions)	December 31, 2020						December 31, 2019
	Pension		Other		Total		Pension		Other		Total
Fair value of plan assets	$	691	$	—	$	691	$	605	$	—	$	605
Projected benefit obligation	(1,155)		(44)		(1,199)		(959)		(49)		(1,008)
Funded status	$	(464)	$	(44)	$	(508)	$	(354)	$	(49)	$	(403)
Amounts recognized in the balance sheet
Other non-current assets	$	27	$	—	$	27	$	58	$	—	$	58
Accrued and other current liabilities	(13)		(3)		(16)		(13)		(3)		(16)
Accrued post-retirement benefits	(478)		(41)		(519)		(399)		(46)		(445)
Net amount recognized	$	(464)	$	(44)	$	(508)	$	(354)	$	(49)	$	(403)
Accumulated other comprehensive income (loss):
Net actuarial losses	$	(409)	$	(18)	$	(427)	$	(330)	$	(19)	$	(349)
Prior service credit	(3)		9		6		(3)		7		4
Total	$	(412)	$	(9)	$	(421)	$	(333)	$	(12)	$	(345)

Schedule of Net Benefit Costs

The components of net periodic benefit cost for our defined benefit pension plans are as follows:

	Year Ended December 31,
(in millions)	2020		2019		2018
Domestic defined benefit pension plans:
Service cost	$	3	$	3	$	3
Interest cost	3		4		4
Expected return on plan assets	(7)		(8)		(7)
Amortization of net actuarial loss	3		1		2
Net periodic benefit cost	$	2	$	—	$	2
International defined benefit pension plans:
Service cost	$	13	$	9	$	9
Interest cost	16		19		19
Expected return on plan assets	(14)		(27)		(35)
Amortization of net actuarial loss	14		9		9
Settlement	—		9		1
Net periodic benefit cost	$	29	$	19	$	3
Total net periodic benefit cost	$	31	$	19	$	5

The components of net periodic benefit cost for other post-retirement employee benefit plans are as follows:

	Year Ended December 31,
(in millions)	2020		2019		2018
Interest cost	2		2		2
Amortization of prior service credit	(3)		(4)		(4)
Amortization of net actuarial loss	2		2		2
Net periodic benefit cost	$	1	$	—	$	—

Schedule of Changes in Accumulated Postemployment Benefit Obligations

Other changes in benefit obligations recognized in other comprehensive loss, as they pertain to other post-retirement employee benefit plans are as follows:

	Year Ended December 31,
(in millions)	2020		2019		2018
Net loss (gain)	$	1	$	(2)	$	1
Prior service credit	(5)		—		(3)
Amortization of prior service credit	3		4		4
Amortization of net actuarial loss	(2)		(2)		(2)
Losses (gains) recognized in other comprehensive loss	$	(3)	$	—	$	—
Total losses (gains) recognized in comprehensive income	$	(2)	$	—	$	—

Summary of the funded status of postretirement plans

The benefit obligation, fair value of plan assets, funded status, and amounts recognized in the consolidated financial statements for our defined benefit domestic and international pension plans were:

	Domestic Plans				International Plans
	December 31,				December 31,
(in millions)	2020		2019		2020		2019
Change in benefit obligation:
Benefit obligation at beginning of year	$	113	$	99	$	846	$	763
Service cost	3		3		13		9
Interest cost	3		4		16		19
Benefits paid	(6)		(7)		(34)		(28)
Actuarial loss (gain)	10		15		130		104
Plan amendments, settlements and curtailments	—		—		(1)		(23)
Foreign currency translation/other	—		(1)		62		2
Benefit obligation at end of year	$	123	$	113	$	1,032	$	846
Change in plan assets:
Fair value of plan assets at beginning of year	$	105	97		$	500	$	470
Employer contributions	—		—		24		16
Actual return on plan assets	14		17		70		52
Benefits paid	(6)		(7)		(34)		(28)
Plan amendments, settlements and curtailments	—		—		(1)		(23)
Foreign currency translation/other	—		(2)		19		13
Fair value of plan assets at end of year	$	113	$	105	$	578	$	500
Unfunded status of the plans	$	(10)	$	(8)	$	(454)	$	(346)

Projected benefit obligations

The following table provides a roll-forward of the projected benefit obligation for the other post-retirement employee benefit plans:

(in millions)	2020		2019
Change in benefit obligation:
Benefit obligation at beginning of year	$	49	$	52
Service cost	—		—
Interest cost	2		2
Benefits paid	(3)		(3)
Actuarial gain/(loss)	1		(2)
Plan Amendment and other	(5)		—
Benefit obligation at the end of year	$	44	$	49

Accumulated benefit obligation and fair value of the plans' assets

For defined benefit pension plans in which the ABO was in excess of the fair value of the plans’ assets, the projected benefit obligation, ABO and fair value of the plans’ assets were as follows:

	December 31,
(in millions)	2020		2019
Projected benefit obligation	$	1,026	$	562
Accumulated benefit obligation	983		526
Fair value of plan assets	535		150

Components of net periodic benefit cost and other amounts recognized in other comprehensive income

Other changes in plan assets and benefit obligations recognized in other comprehensive loss, as they pertain to our defined benefit pension plans are as follows:

	Year Ended December 31,
(in millions)	2020		2019		2018
Domestic defined benefit pension plans:
Net (gain) loss	$	3	$	6	$	1
Amortization of net actuarial loss	(3)		(1)		(2)
(Gains) losses recognized in other comprehensive loss	$	—	$	5	$	(1)
International defined benefit pension plans:
Net (gain) loss	$	74	$	79	$	35
Prior service credit	—		—		3
Amortization of net actuarial loss	(14)		(9)		(9)
Settlement	—		(9)		(1)
Foreign Exchange	19		3		(15)
(Gains) losses recognized in other comprehensive loss	$	79	$	64	$	13
Total (gains) losses recognized in other comprehensive loss	$	79	$	69	$	12
Total (gains) losses recognized in comprehensive income	$	110	$	88	$	17

Weighted-average assumptions used to determine projected benefit obligations and net periodic benefit cost

The following table provides the weighted-average assumptions used to determine projected benefit obligations and net periodic benefit cost, as they pertain to our pension plans.

	2020				2019				2018
	U.S.		Int’l		U.S.		Int’l		U.S.		Int’l
Benefit Obligation Assumptions
Discount rate	2.50	%	1.06	%	3.25	%	1.80	%	4.50	%	2.60	%
Rate of future compensation increase	NM		2.79	%	NM		2.94	%	NM		2.92	%
Net Periodic Benefit Cost Assumptions
Discount rate	3.25	%	1.80	%	4.50	%	2.60	%	3.75	%	2.43	%
Expected long-term return on plan assets	6.50	%	2.82	%	7.75	%	6.96	%	8.00	%	7.23	%
Rate of future compensation increase	NM		2.94	%	NM		2.92	%	NM		2.93	%

NM    Not meaningful. The pension benefits for future service for all the U.S. pension plans are based on years of service and not impacted by future compensation increases.

Actual plan returns

The table below provides the weighted average actual rate of return generated on all of our plan assets during each of the years presented as compared to the weighted average expected long-term rates of return utilized in calculating the net periodic benefit costs.

	2020		2019		2018
Expected long-term rate of return on plan assets	3.46	%	7.09	%	7.34	%
Actual rate of return (loss) on plan assets	14.06	%	12.59	%	(3.85)	%

Allocation of plan assets

The following table provides the actual asset allocations of plan assets as of December 31, 2020 and 2019, and the related asset target allocation ranges by asset category:

	2020		2019		Target Allocation Ranges
Equity securities	20.8	%	18.6	%	15-60%
Fixed income	22.9	%	31.7	%	10-50%
Hedge funds	0.1	%	2.0	%	0-25%
Private equity	—	%	—	%	0-20%
Cash, insurance contracts and other	56.2	%	47.7	%	0-60%

The following table provides the fair value of plan assets held by our pension benefit plans by asset class:

	2020										2019
(in millions)	Level 1		Level 2		Level 3		NAV Practical Expedient		Total		Level 1		Level 2		Level 3		NAV Practical Expedient		Total
Equity securities
Global stock funds/securities	$	38	$	66	$	—	$	14	$	118	$	90	$	—	$	—	$	13	$	103
Diversified growth and income funds	—		—		—		26		26		—		—		—		9		9
Fixed income
Corporate bonds	1		97		—		7		105		86		—		—		5		91
Government bonds	—		19		—		28		47		35		—		—		27		62
Hedging instruments	—		6		—		—		6		4		35		—		—		39
Hedge funds	—		—		—		1		1		—		—		—		12		12
Insurance contracts and other			—		384		—		384				—		13		3		16
Cash & cash equivalents	4		—		—		—		4		273		—		—		—		273
Total plan assets subject to leveling	$	43	$	188	$	384	$	76	$	691	$	488	$	35	$	13	$	69	$	605

Reconciliation of the beginning and ending balances of fair value measurements with pension plans using significant unobservable inputs (level 3)

The following table presents a reconciliation of the beginning and ending balances of fair value measurement within our pension plans using significant unobservable inputs (Level 3):

(in millions)	Insurance Contracts and Other
Balance, December 31, 2018	$	12
Purchases, sales, settlements, net	1
Currency impact	—
Balance, December 31, 2019	$	13
Purchases, sales, settlements, net	314
Actual return on plan assets	44
Currency impact	13
Balance, December 31, 2020	$	384

Expected benefit payments

The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid as follows:

(in millions)	Pension		Other Benefits
2021	$	38	$	3
2022	39		3
2023	40		3
2024	40		3
2025	42		3
Years 2026 - 2030	220		12