Employee Benefits

3 Months Ended

Mar. 31, 2015

Compensation and Retirement Disclosure [Abstract]

Employee Benefits

Employee Benefits

Net periodic (income) expense for our qualified and non-qualified pension plans included the following components:

	Pension Plans
	Three Months Ended March 31,
	2015			2014
	(Dollars in millions)
Service cost	$	22		20
Interest cost	141			151
Expected return on plan assets	(226		)	(223	)
Recognition of prior service cost	1			1
Recognition of actuarial loss	38			5
Net periodic pension benefit income	$	(24	)	(46	)

Net periodic expense (income) for our post-retirement benefit plans included the following components:

	Post-Retirement Benefit Plans
	Three Months Ended March 31,
	2015			2014
	(Dollars in millions)
Service cost	$	6		5
Interest cost	35			40
Expected return on plan assets	(5		)	(8	)
Recognition of prior service cost	5			4
Net periodic post-retirement benefit expense	$	41		41

We report net periodic benefit (income) expense for our qualified pension, non-qualified pension and post-retirement benefit plans in cost of services and products and selling, general and administrative expenses in our consolidated statements of operations.