Components of Net Periodic Benefit Cost

9 Months Ended

Mar. 31, 2023

Retirement Benefits [Abstract]

Components of Net Periodic Benefit Cost

Components of Net Periodic Benefit Cost

    Net periodic benefit cost for benefit plans included the following components:

	Three Months Ended March 31,				Nine Months Ended March 31,
($ in millions)	2023		2022		2023		2022
Service cost	$	4	$	6	$	13	$	18
Interest cost	12		9		36		30
Expected return on plan assets	(14)		(14)		(42)		(47)
Amortization of actuarial loss	1		1		2		4
Amortization of prior service credit	(1)		(1)		(3)		(3)
Settlement costs	—		—		—		3
Net periodic benefit cost	$	2	$	1	$	6	$	5

    Service cost is included in operating income. All other components of net periodic benefit cost other than service cost are recorded within other non-operating income, net.

    On October 12, 2021, the Company contracted with Pacific Life Insurance Company to purchase a group annuity contract and to transfer $186 million of its pension plan assets and related benefit obligations. This transaction required a remeasurement of the pension plan assets and obligations and resulted in the recognition of a $3 million non-cash pension settlement loss in the nine months ended March 31, 2022.