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PENSION AND OTHER POSTRETIREMENT BENEFITS (Tables)
 12 Months Ended
Jun. 28, 2019
Retirement Benefits [Abstract]  
Schedule of Fair Value of Deferred Compensation Plan Investments and Liabilities by Category and Fair Value Hierarchy Level
The following table provides the fair value of our deferred compensation plan investments and liabilities by category and by fair value hierarchy level:
 
 
June 28, 2019
 
June 29, 2018
 
 
Total
 
Level 1
 
Total
 
Level 1
 
 
 
 
 
 
 
 
 
 
 
(In millions)
Assets
 
 
 
 
 
 
 
Deferred compensation plan assets:(1)
 
 
 
 
 
 
 
Equity and fixed income securities
$
38

 
$
38

 
$
46

 
$
46

Investments measured at NAV:
 
 
 
 
 
 
 
Equity and fixed income funds
61

 
 
 
63

 
 
Corporate-owned life insurance
28

 
 
 
27

 
 
Total investments measured at NAV
89

 
 
 
90

 
 
Total fair value of deferred compensation plan assets
$
127

 
 
 
$
136

 
 
 
 
 
 
 
 
 
 
 
Liabilities
 
 
 
 
 
 
 
  Deferred compensation plan liabilities:(2)
 
 
 
 
 
 
 
Equity securities and mutual funds
$
25

 
$
25

 
$
38

 
$
38

Investments measured at NAV:
 
 
 
 
 
 
 
Common/collective trusts and guaranteed investment contracts
132

 
 
 
111

 
 
Total fair value of deferred compensation plan liabilities
$
157

 
 
 
$
149

 
 

_______________
(1)
Represents diversified assets held in a “rabbi trust” associated with our non-qualified deferred compensation plans, which we include in the “Other current
assets” and “Other non-current assets” line items in our Consolidated Balance Sheet, and which are measured at fair value.
(2)
Primarily represents obligations to pay benefits under certain non-qualified deferred compensation plans, which we include in the “Compensation and
benefits” and “Other long-term liabilities” line items in our Consolidated Balance Sheet. Under these plans, participants designate
investment options (including stock and fixed-income funds), which serve as the basis for measurement of the notional value of their accounts.
Schedule of Funded Status of Defined Benefit Plans The following table provides a summary of the funded status of our defined benefit plans and the presentation of such balances within our Consolidated Balance Sheet:
 
June 28, 2019
 
June 29, 2018
 
Pension
 
Other
Benefits
 
Total
 
Pension
 
Other
Benefits
 
Total
 
 
 
 
 
 
 
 
 
 
 
 
 
(In millions)
Fair value of plan assets
$
4,958

 
$
201

 
$
5,159

 
$
5,098

 
$
207

 
$
5,305

Projected benefit obligation
(6,123
)
 
(221
)
 
(6,344
)
 
(5,774
)
 
(233
)
 
(6,007
)
Funded status
$
(1,165
)
 
$
(20
)
 
$
(1,185
)
 
$
(676
)
 
$
(26
)
 
$
(702
)
Consolidated Balance Sheet line item amounts:
 
 
 
 
 
 
 
 
 
 
 
Other non-current assets
$
12

 
$
—

 
$
12

 
$
15

 
$
—

 
$
15

Compensation and benefits
(7
)
 
—

 
(7
)
 
(2
)
 
(1
)
 
(3
)
Liabilities of disposal group held for sale
(16
)
 
—

 
(16
)
 
—

 
—

 
—

Defined benefit plans
(1,154
)
 
(20
)
 
(1,174
)
 
(689
)
 
(25
)
 
(714
)
Schedule of Estimated Net Defined Benefits Costs to be Amortized from AOCI
The following table provides estimated amounts for net actuarial gain and prior service cost to be amortized from accumulated other comprehensive loss into net periodic benefit income during the next twelve months for plans in existence as of June 28, 2019. These estimates will be recalculated for calendar year 2020 based on our next re-measurement at December 31, 2019.
 
Pension
 
Other
Benefits
 
Total
 
 
 
 
 
 
 
(In millions)
Net actuarial (gain) loss
$
1

 
$
(5
)
 
$
(4
)
Prior service cost
1

 
—

 
1

 
$
2

 
$
(5
)
 
$
(3
)

The following table provides a summary of pre-tax amounts recorded within accumulated other comprehensive loss:
 
June 28, 2019
 
June 29, 2018
 
Pension
 
Other
Benefits
 
Total
 
Pension
 
Other
Benefits
 
Total
 
 
 
 
 
 
 
 
 
 
 
 
 
(In millions)
Net actuarial loss (gain)
$
781

 
$
(36
)
 
$
745

 
$
156

 
$
(46
)
 
$
110

Net prior service cost (credit)
6

 
(1
)
 
5

 
4

 
(1
)
 
3

 
$
787

 
$
(37
)
 
$
750

 
$
160

 
$
(47
)
 
$
113
Schedule of Roll-forward of Projected Benefit Obligation
The following table provides a roll-forward of the projected benefit obligations for our defined benefit plans:
 
2019
 
2018
 
Pension
 
Other
Benefits
 
Total
 
Pension
 
Other
Benefits
 
Total
 
 
 
 
 
 
 
 
 
 
 
 
 
(In millions)
Change in benefit obligation
 
 
 
 
 
 
 
 
 
 
 
Benefit obligation at beginning of fiscal year
$
5,774

 
$
233

 
$
6,007

 
$
6,140

 
$
265

 
$
6,405

Service cost
36

 
—

 
36

 
39

 
1

 
40

Interest cost
209

 
8

 
217

 
195

 
7

 
202

Actuarial loss (gain)
514

 
(1
)
 
513

 
(169
)
 
(22
)
 
(191
)
Amendments
3

 
—

 
3

 
2

 
—

 
2

Benefits paid
(381
)
 
(19
)
 
(400
)
 
(402
)
 
(18
)
 
(420
)
Expenses paid
(30
)
 
—

 
(30
)
 
(35
)
 
—

 
(35
)
Curtailments
1

 
—

 
1

 
—

 
—

 
—

Foreign exchange
(3
)
 
—

 
(3
)
 
4

 
—

 
4

Benefit obligation at end of fiscal year
$
6,123

 
$
221

 
$
6,344

 
$
5,774

 
$
233

 
$
6,007
Schedule of Roll-forward of Plan Assets
The following table provides a roll-forward of the assets and the ending funded status of our defined benefit plans:
 
2019
 
2018
 
Pension
 
Other
Benefits
 
Total
 
Pension
 
Other
Benefits
 
Total
 
 
 
 
 
 
 
 
 
 
 
 
 
(In millions)
Change in plan assets
 
 
 
 
 
 
 
 
 
 
 
Plan assets at beginning of fiscal year
$
5,098

 
$
207

 
$
5,305

 
$
4,921

 
$
212

 
$
5,133

Actual return on plan assets
271

 
11

 
282

 
307

 
14

 
321

Employer contributions
3

 
2

 
5

 
303

 
(1
)
 
302

Benefits paid
(381
)
 
(19
)
 
(400
)
 
(402
)
 
(18
)
 
(420
)
Expenses paid
(30
)
 
—

 
(30
)
 
(35
)
 
—

 
(35
)
Foreign exchange
(3
)
 
—

 
(3
)
 
4

 
—

 
4

Plan assets at end of fiscal year
$
4,958

 
$
201

 
$
5,159

 
$
5,098

 
$
207

 
$
5,305

 
 
 
 
 
 
 
 
 
 
 
 
Funded status at end of fiscal year
$
(1,165
)
 
$
(20
)
 
$
(1,185
)
 
$
(676
)
 
$
(26
)
 
$
(702
)
Schedule of Accumulated Benefit Obligations The following table provides information for defined benefit pension plans with an accumulated benefit obligation in excess of plan assets:
 
June 28, 2019
 
June 29, 2018
 
 
 
 
 
(In millions)
Projected benefit obligation
$
6,041

 
$
5,694

Accumulated benefit obligation
6,041

 
5,694

Fair value of plan assets
4,864

 
5,004
Schedule of Net Benefit Costs
The following table provides the components of net periodic benefit income and other amounts recognized in other comprehensive income for fiscal 2019, 2018, and 2017 as they pertain to our defined benefit plans:
 
Pension
 
Other Benefits
 
2019
 
2018
 
2017
 
2019
 
2018
 
2017
 
 
 
 
 
 
 
 
 
 
 
 
 
(In millions)
Net periodic benefit income(1)
 
 
 
 
 
 
 
 
 
 
 
Service cost
$
36

 
$
39

 
$
58

 
$
—

 
$
1

 
$
1

Interest cost
209

 
195

 
184

 
8

 
7

 
8

Expected return on plan assets
(382
)
 
(369
)
 
(340
)
 
(16
)
 
(16
)
 
(17
)
Amortization of net actuarial loss (gain)
—

 
—

 
1

 
(6
)
 
(1
)
 
—

Effect of curtailments or settlements
1

 
—

 
—

 
—

 
—

 
—

Net periodic benefit income
(136
)
 
(135
)
 
(97
)
 
(14
)
 
(9
)
 
(8
)
Other changes in plan assets and benefit obligations recognized in other comprehensive loss
 
 
 
 
 
 
 
 
 
 
 
Net actuarial loss (gain)
$
626

 
$
(106
)
 
$
(284
)
 
$
4

 
$
(20
)
 
$
(38
)
Curtailment loss recognized
(1
)
 
—

 
—

 
—

 
—

 
—

Prior service cost
3

 
2

 
—

 
—

 
—

 
—

Recognized prior service (cost) credit
—

 
—

 
—

 
—

 
—

 
—

Amortization of net actuarial gain (loss)
—

 
—

 
(1
)
 
6

 
1

 
—

Amortization of prior service cost
(1
)
 
—

 
—

 
—

 
—

 
—

Total change recognized in other comprehensive loss
627

 
(104
)
 
(285
)
 
10

 
(19
)
 
(38
)
Total impact from net periodic benefit cost and changes in other comprehensive loss
$
491

 
$
(239
)
 
$
(382
)
 
$
(4
)
 
$
(28
)
 
$
(46
)

_______________
(1) Net periodic benefit income presented in this table includes both continuing and discontinued operations. $2 million of the service cost component of net periodic benefit income is included as a component of the “Discontinued operations, net of income taxes” line item in our Consolidated Statement of Income for fiscal 2017.
Schedule of Weighted-average Assumptions Used
The following tables provide the weighted-average assumptions used to determine projected benefit obligations and net periodic benefit cost, as they pertain to our defined benefit pension plans in existence as of June 28, 2019:
Obligation assumptions as of:
June 28, 2019
 
June 29, 2018
 
 
Discount rate
3.35
%
 
4.05
%
 
 
Rate of future compensation increase
2.76
%
 
2.76
%
 
 
 
 
 
 
 
 
Cost assumptions for fiscal years:
2019
 
2018
 
2017
Discount rate to determine service cost
3.89
%
 
3.48
%
 
3.80
%
Discount rate to determine interest cost
3.75
%
 
3.28
%
 
2.94
%
Expected return on plan assets
7.66
%
 
7.66
%
 
7.65
%
Rate of future compensation increase
2.76
%
 
2.76
%
 
2.75
%
The following table provides the weighted-average assumptions used to determine projected benefit obligations and net periodic benefit cost, as they pertain to our other postretirement defined benefit plans in existence as of June 28, 2019:
Obligation assumptions as of:
June 28, 2019
 
June 29, 2018
 
 
Discount rate
3.21
%
 
3.99
%
 
 
Rate of future compensation increase
N/A

 
N/A

 
 
 
 
 
 
 
 
Cost assumptions for fiscal year:
2019
 
2018
 
2017
Discount rate to determine service cost
4.14
%
 
3.62
%
 
3.52
%
Discount rate to determine interest cost
3.62
%
 
3.04
%
 
2.60
%
Rate of future compensation increase
N/A

 
N/A

 
N/A
Schedule of Strategic Target Assets Allocation and Fair Value of Plan Assets
The following table provides the fair value of plan assets held by our defined benefit plans by asset category and by fair value hierarchy level:
 
June 28, 2019
 
Total
 
Level 1
 
Level 2
 
Level 3
 
 
 
 
 
 
 
 
 
(In millions)
Asset Category
 
 
 
 
 
 
 
Equities:
 
 
 
 
 
 
 
Domestic equities
$
1,173

 
$
1,173

 
$
—

 
$
—

International equities
896

 
896

 
—

 
—

Fixed income:
 
 
 
 
 
 
 
Corporate bonds
923

 
—

 
906

 
17

Government securities
332

 
—

 
332

 
—

Other
2

 
—

 
—

 
2

Cash and cash equivalents
59

 
12

 
47

 
—

Total
3,385

 
$
2,081

 
$
1,285

 
$
19

Investments Measured at NAV
 
 
 
 
 
 
 
Equity funds
703

 
 
 
 
 
 
Fixed income funds
362

 
 
 
 
 
 
Hedge funds
331

 
 
 
 
 
 
Private equity funds
294

 
 
 
 
 
 
Total Investments Measured at NAV
1,690

 
 
 
 
 
 
Receivables, net
84

 
 
 
 
 
 
Total fair value of plan assets
$
5,159

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
June 29, 2018
 
Total
 
Level 1
 
Level 2
 
Level 3(1)
 
 
 
 
 
 
 
 
 
(In millions)
Asset Category
 
 
 
 
 
 
 
Equities:
 
 
 
 
 
 
 
Domestic equities
$
1,221

 
$
1,189

 
$
32

 
$
—

International equities
903

 
899

 
4

 
—

Fixed income:

 
 
 
 
 
 
Corporate bonds
811

 
—

 
800

 
11

Government securities
335

 
—

 
335

 
—

Other
2

 
—

 
—

 
2

Cash and cash equivalents
209

 
6

 
203

 
—

Total
3,481

 
$
2,094

 
$
1,374

 
$
13

Investments Measured at NAV
 
 
 
 
 
 
 
Equity funds
714

 
 
 
 
 
 
Fixed income funds
318

 
 
 
 
 
 
Hedge funds(1)
395

 
 
 
 
 
 
Private equity funds(1)
401

 
 
 
 
 
 
Total Investments Measured at NAV
1,828

 
 
 
 
 
 
Payables, net
(4
)
 
 
 
 
 
 
Total fair value of plan assets
$
5,305

 
 
 
 
 
 

_______________
(1)
We have reclassified certain prior-year amounts to conform with current-year classifications. Reclassifications include certain alternative investments that were previously included as “Level 3” and are now reflected in “Hedge funds” and “Private equity funds” under “Investments Measured at NAV.”
The following table provides the current strategic target asset allocation ranges by asset category:
 
Target Asset
Allocation
Equity investments
45
%
—
75%
Fixed income investments
20
%
—
42%
Hedge funds
5
%
—
15%
Cash and cash equivalents
0
%
—
10%
Schedule of Reconciliation of Defined Benefit Plan Assets Using Level 3 To Measure Fair Value
The following table presents a reconciliation of the beginning and ending defined benefit plan asset balances that use significant unobservable inputs (Level 3) to measure fair value:
 
Fixed Income
 
Other
 
Total
 
 
 
 
 
 
 
(In millions)
Level 3 balance — June 30, 2017
$
—

 
$
2

 
$
2

Purchases, net
11

 
—

 
11

Level 3 balance — June 29, 2018
11

 
2

 
13

Unrealized gains, net
1

 
—

 
1

Purchases, net
5

 
—

 
5

Level 3 balance — June 28, 2019
$
17

 
$
2

 
$
19
Schedule of Estimated Future Benefit Payments
The following table provides the projected timing of payments for benefits earned to date and benefits expected to be earned for future service by current active employees under our defined benefit plans in existence as of June 28, 2019. Estimated future benefit payments for calendar years subsequent to the Fiscal Transition Period will be recalculated based on our next re-measurement at December 31, 2019.
 
Pension
 
Other
    Benefits(1)
 
Total
 
 
 
 
 
 
 
(In millions)
Estimated benefit payments due:
 
 
 
 
 
Year 1
$
414

 
$
22

 
$
436

Year 2
392

 
22

 
414

Year 3
392

 
21

 
413

Year 4
390

 
20

 
410

Year 5
387

 
20

 
407

Years 6 to 10
1,859

 
78

 
1,937


_______________
(1)
Projected payments for Other Benefits reflect gross payments from the Company, excluding subsidies, which are expected to approximate 10 percent of gross payments.