PENSIONS AND OTHER POSTRETIREMENT BENEFITS

Components of Net Periodic Benefit Cost

Net periodic benefit cost for the Company’s defined benefit retirement plans and other benefit plans for the fiscal second quarters of 2014 and 2013 include the following components:



	Fiscal Second Quarters Ended
	Retirement Plans					Other Benefit Plans
(Dollars in Millions)	June 29, 2014			June 30, 2013		June 29, 2014		June 30, 2013
Service cost	$	200		205		53		50
Interest cost	256			227		49		38
Expected return on plan assets	(407		)	(361	)	(1	)	(2	)
Amortization of prior service cost/(credit)	2			(1	)	(8	)	—
Recognized actuarial losses	118			172		34		27
Net periodic benefit cost	$	169		242		127		113

Net periodic benefit cost for the Company’s defined benefit retirement plans and other benefit plans for the fiscal six months of 2014 and 2013 include the following components:



	Fiscal Six Months Ended
	Retirement Plans					Other Benefit Plans
(Dollars in Millions)	June 29, 2014			June 30, 2013		June 29, 2014		June 30, 2013
Service cost	$	397		411		106		98
Interest cost	513			455		99		75
Expected return on plan assets	(809		)	(724	)	(3	)	(3	)
Amortization of prior service cost/(credit)	3			3		(17	)	(1	)
Recognized actuarial losses	231			340		68		55
Net periodic benefit cost	$	335		485		253		224

Company Contributions

For the first fiscal six months ended June 29, 2014, the Company contributed $22 million and $18 million to its U.S. and international retirement plans, respectively. The Company plans to continue to fund its U.S. defined benefit plans to comply with the Pension Protection Act of 2006. International plans are funded in accordance with local regulations.