Pension (Tables)

12 Months Ended

Dec. 31, 2020

Retirement Benefits [Abstract]

Summary of the Projected Benefit Obligations and Assets Related to Pension Plans

The following table summarizes the projected benefit obligations and assets related to our U.S. and non-U.S. pension plans as of, and for the years ended December 31:

	Pension Benefits
(In millions)	2020		2019
Change in benefit obligation
Benefit obligation, January 1	$	5,314	$	4,741
Service cost	2		2
Interest cost	168		194
Litigation settlement	—		142
Actuarial losses, net (1)	416		574
Benefits paid from plan assets	(285)		(325)
Benefits paid — other	(15)		(14)
Benefit obligation, December 31	5,600		5,314
Change in plan assets
Fair value of plan assets, January 1	4,441		4,151
Actual return on plan assets	449		594
Benefits paid	(285)		(325)
Contributions	18		21
Fair value of plan assets, December 31	4,623		4,441
Funded status	$	(977)	$	(873)
Liability in Consolidated Balance Sheets
Accrued expenses and other liabilities	$	(15)	$	(18)
Other non-current liabilities	$	(962)	$	(855)

(1)2020 Loss reflects a decrease in the discount rate, partially offset by a favorable change in the mortality assumption; 2019 loss reflects a decrease in the discount rate and an unfavorable change in the mortality assumption.

Benefit Payments

The following benefit payments are expected to be paid in:

(In millions)	Pension Benefits
2021	$	328
2022	$	313
2023	$	316
2024	$	316
2025	$	315
2026-2030	$	1,551

Postretirement Benefits Liability Adjustment Included in AOCI

Amounts reflected in the pension liabilities shown above that have not yet been reported in net income and, therefore, have been included in Accumulated other comprehensive loss consisted of the following as of December 31:

	Pension Benefits
(In millions)	2020		2019
Unrecognized net (losses)	$	(2,277)	$	(2,132)
Unrecognized prior service cost	(5)		(5)
Postretirement benefits liability adjustment	$	(2,282)	$	(2,137)

Components of Net Pension Cost

Net pension cost was as follows:

	Pension Benefits
(In millions)	2020		2019		2018
Service cost	$	2	$	2	$	3
Interest cost	168		194		169
Expected long-term return on plan assets	(260)		(245)		(257)
Amortization of:
Prior actuarial losses, net	78		59		70
Prior service cost	—		—		—
Litigation settlement - plan amendment	—		142		32
Settlement loss	—		10		—
Net (benefit) cost	$	(12)	$	162	$	17

Assumptions Used for Pension

	2020		2019
Discount rate:
Pension benefit obligation	2.49	%	3.30	%
Pension benefit cost	3.30	%	4.23	%
Expected long-term return on plan assets:
Pension benefit cost	6.75	%	6.75	%
Mortality table for pension obligations	White Collar mortality table with MP 2020 projection scale		White Collar mortality table with MP 2019 projection scale

Fair Value of Pension Assets by Category

The fair values of pension assets by category are as follows as of December 31, 2020 and 2019.

(In millions)	2020		2019
Debt securities:
Federal government and agency	$	9	$	—
Corporate	1,680		1,906
Asset-backed	53		41
Fund investments	380		460
Total debt securities	2,122		2,407
Equity securities:
Domestic	978		582
International, including funds and pooled separate accounts (1)	471		419
Total equity securities	1,449		1,001
Securities partnerships	463		531
Real estate funds, including pooled separate accounts (1)	219		230
Commercial mortgage loans	95		96
Hedge funds	1		24
Guaranteed deposit account contract	98		100
Cash equivalents and other current assets, net	176		52
Total pension assets at fair value	$	4,623	$	4,441

(1)A pooled separate account has several participating benefit plans and each owns a share of the total pool of investments.

Annual Expense for 401(k) Plans

The Company’s annual expense for these plans was as follows:

(In millions)	2020		2019		2018
Expense	$	243	$	256	$	196