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Pension and Other Postretirement Benefits (Tables)
 12 Months Ended
Dec. 31, 2024
Retirement Benefits [Abstract]  
Schedule of Pension, Postretirement and Supplemental Retirement Plans
The following tables provide certain information regarding the Company's pension, postretirement and supplemental retirement plans as of December 31, 2024 and 2023:
Defined Benefit Pension PlansPostretirement Benefit PlansSupplemental Retirement Plans
(Dollars in millions)202420232024202320242023
Change in benefit obligation:
Benefit obligation at beginning of year$165$162$1$1$17$17
Interest cost78——11
Actuarial (gain) loss(4)6————
Benefits paid(1)
(41)(12)——(1)(1)
Loss due to settlement—1————
Benefit obligation at end of year$127$165$1$1$17$17
Change in plan assets:
Fair value of plan assets at beginning of year$134$124$1$1$12$11
Actual return on plan assets—12——11
Employer contributions710——11
Benefits paid(1)
(41)(12)——(1)(1)
Fair value of plan assets at end of year100134111312
Funded status of the plans at year end$(27)$(31)$—$—$(4)$(5)
________________
(1)The 2024 amounts include the purchase of group annuity contracts to transfer certain benefit obligations and related plan assets of $24 million to an insurance company and lump sum payments to certain participants of $8 million.
Schedule of Amounts Recognized in Balance Sheet
The amounts recognized in the Consolidated Balance Sheets as of December 31, 2024 and 2023 consist of:
Defined Benefit Pension PlansPostretirement Benefit PlansSupplemental Retirement Plans
(Dollars in millions)202420232024202320242023
Noncurrent assets$2$—$1$—$—$—
Noncurrent liabilities(29)(31)(1)—(4)(5)
Net liability recognized
$(27)$(31)$—$—$(4)$(5)
Schedule of Amounts Recognized In Accumulated Other Comprehensive Income (Before Taxes)
Amounts recognized in accumulated other comprehensive income (before taxes) at December 31, 2024 and 2023 consist of:
Defined Benefit Pension PlansPostretirement Benefit Plans Supplemental Retirement Plans
(Dollars in millions)202420232024202320242023
Net actuarial loss (gain)$30$31$(1)$(1)$1$2
Total amount recognized in accumulated other comprehensive losses (earnings) $30$31$(1)$(1)$1$2
Schedule of Pension Plans with ABO and PBO in Excess of the Fair Value of Plan Assets The table below presents information for the pension plans with an ABO and PBO in excess of the fair value of plan assets at December 31, 2024 and 2023:
(Dollars in millions)20242023
Projected benefit obligation$144 $182 
Accumulated benefit obligation144 182 
Fair value of plan assets113 146 
Schedule of Weighted Average Actuarial Assumptions
The following table summarizes the weighted average actuarial assumptions used to determine our benefit obligations at December 31, 2024 and 2023:
Defined Benefit Pension PlansPostretirement Benefit PlansSupplemental Retirement Plans
202420232024202320242023
Rate assumptions
Discount rate5.5 %4.8 %5.4 %4.7 %5.3 %4.8 %
Expected long-term return on plan assets6.4 %6.5 %6.4 %6.5 %N/AN/A
Health care trend rate assumed for next yearN/AN/A6.1 %5.9 %N/AN/A
Ultimate health care trend rateN/AN/A4.2 %4.2 %N/AN/A
Year rate reaches ultimate trend rateN/AN/A20372037N/AN/A
The following table summarizes the weighted average actuarial assumptions used to determine our net periodic cost of the plans for the years ended December 31, 2024, 2023 and 2022:
Defined Benefit Pension PlansPostretirement Benefit PlansSupplemental Retirement Plans
202420232022202420232022202420232022
Rate assumptions
Discount rate4.8 %5.0 %2.8 %4.7 %4.9 %2.6 %4.8 %5.0 %2.8 %
Expected long-term return on plan assets6.5 %7.2 %5.9 %6.5 %7.2 %5.9 %N/AN/AN/A
Health care trend rate assumed for next yearN/AN/AN/A6.0 %5.3 %5.5 %N/AN/AN/A
Ultimate health care trend rateN/AN/AN/A4.2 %4.2 %4.2 %N/AN/AN/A
Year rate reaches ultimate trend rateN/AN/AN/A203720372031N/AN/AN/A
Schedule of Net Benefit Costs
The following table summarizes the components of net periodic benefit cost for the Company's pension, postretirement and supplemental retirement plans for the years ended December 31, 2024, 2023 and 2022. Net actuarial gains and losses are amortized to expense when they exceed the 10% accounting corridor, based on the greater of the plan assets or benefit obligations, over the average future lifetime for all plans that are frozen, and over the average remaining service period for active plans.
Defined Benefit Pension PlansPostretirement Benefit PlansSupplemental Retirement Plans
(Dollars in millions)202420232022202420232022202420232022
Interest cost$7 $8 $6 $— $— $— $1 $1 $1 
Expected return on plan assets(5)(7)(7)— — — — — — 
Amortization of net actuarial loss1 1 1 — — — — — — 
Settlement expense— — 1 — — — — — — 
Net periodic benefit cost
$3 $2 $1 $— $— $— $1 $1 $1 
Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income
The following table summarizes the other changes in plan assets and benefit obligations recognized in other comprehensive earnings for the Company's pension, postretirement and supplemental retirement benefit plans for the years ended December 31, 2024, 2023 and 2022:
Defined Benefit Pension PlansPostretirement Benefit PlansSupplemental Retirement Plans
(Dollars in millions)202420232022202420232022202420232022
Net actuarial loss (gain)$1 $1 $(8)$— $— $— $— $— $(4)
Amortization of net actuarial loss from prior years
(1)(1)(2)— — — — — — 
Total recognized in other comprehensive income
$— $— $(10)$— $— $— $— $— $(4)
Schedule of Allocation of Plan Assets
The table below represents all of the Company's funded pension plans' and postretirement benefit plans' weighted average asset allocation at December 31, 2024 and 2023 by asset category:
Asset Allocation
20242023
Asset Category
Equity securities18 %33 %
Debt securities72 %55 %
Real estate— %4 %
Other, primarily cash and cash equivalents, and hedge funds10 %8 %
The table below presents the target allocation ranges for each major asset category for the Company's benefit plans for the years ended December 31, 2024 and 2023:
Target Asset Allocation Range
20242023
Asset Category
Equity securities
11% - 19%
28% - 36%
Debt securities
75% - 91%
54% - 70%
Real estate
0% - 0%
0% - 8%
Other, primarily cash and cash equivalents and hedge funds
0% - 4%
0% - 10%
Schedule of Fair Value of Category of Plan Assets
The following tables provides the fair value of plan assets held by our defined benefit plan by asset category and by fair value hierarchy level.
December 31, 2024
(Dollars in millions)Level 1Level 2Level 3Total
Asset category
Investments measured at fair value:
Cash and cash equivalents$8 $— $— $8 
Equity securities6 — — 6 
Collective trust funds— 100 — 100 
Total$14 $100 $— $114 
December 31, 2023
(Dollars in millions)Level 1Level 2Level 3Total
Asset category
Investments measured at fair value:
Cash and cash equivalents$11 $— $— $11 
Equity securities5 — — 5 
Collective trust funds— 131 — 131 
Total$16 $131 $— $147 
Schedule of Expected Benefit Payments
The following table presents expected pension and postretirement benefit payments over the next ten years:
(Dollars in millions)
Year Ending December 31,
Defined Benefit Pension PlansPostretirement Benefit PlansSupplemental Retirement Plans
2025$11 $— $1 
202610 — 1 
202710 — 1 
202810 — 1 
202910 — 1 
2030-203450 — 6