Retirement Benefit Plans

3 Months Ended

Jul. 31, 2020

Retirement Benefits [Abstract]

Retirement Benefit Plans

Retirement Benefit Plans

The Company sponsors various retirement benefit plans, including defined benefit pension plans, post-retirement medical plans, defined contribution savings plans, and termination indemnity plans, covering substantially all U.S. employees and many employees outside the U.S. The net periodic benefit cost of the defined benefit pension plans included the following components for the three months ended July 31, 2020 and July 26, 2019:

	U.S.				Non-U.S.
	Three months ended				Three months ended
(in millions)	July 31, 2020		July 26, 2019		July 31, 2020		July 26, 2019
Service cost	$	27	$	26	$	17	$	15
Interest cost	27		32		6		7
Expected return on plan assets	(61)		(56)		(14)		(15)
Amortization of net actuarial loss	18		14		6		3
Net periodic benefit cost	$	11	$	16	$	15	$	10

Components of net periodic benefit cost other than the service component are recognized in other non-operating income, net in the consolidated statements of income.

Subsequent to July 31, 2020, as part of the Simplification restructuring program, the Company offered certain eligible U.S. employees voluntary early retirement packages. The acceptance of this offer for eligible employees will result in a charge of approximately $100 million, consisting primarily of incremental pension and post-retirement costs, which will be recognized in earnings in the second quarter of fiscal year 2021. See Note 5 for additional information on the Simplification restructuring program.