PENSION AND OTHER POSTRETIREMENT BENEFITS

9 Months Ended

Sep. 27, 2020

Retirement Benefits [Abstract]

PENSION AND OTHER POSTRETIREMENT BENEFITS

NOTE 4. PENSIONS AND OTHER POSTRETIREMENT BENEFITS

We sponsor funded and unfunded domestic and foreign defined benefit pension and other postretirement benefit (OPEB) plans. Contributions to these plans were as follows:

	Three months ended				Nine months ended
In millions	September 27, 2020		September 29, 2019		September 27, 2020		September 29, 2019
Defined benefit pension contributions	$	11	$	33	$	77	$	110
OPEB payments, net	9		5		25		20
Defined contribution pension plans	18		23		70		80

During the remainder of 2020, we anticipate making $7 million in additional defined benefit pension contributions in the U.K. and $7 million in contributions to our U.S. non-qualified benefit plans. These contributions may be made from trusts or company funds either to increase pension assets or to make direct benefit payments to plan participants. We expect our 2020 annual net periodic pension cost to approximate $102 million.

The components of net periodic pension and OPEB costs under our plans were as follows:

	Pension
	U.S. Plans				U.K. Plans				OPEB
	Three months ended
In millions	September 27, 2020		September 29, 2019		September 27, 2020		September 29, 2019		September 27, 2020		September 29, 2019
Service cost	$	33	$	29	$	8	$	6	$	—	$	—
Interest cost	24		27		8		10		2		3
Expected return on plan assets	(49)		(47)		(19)		(16)		—		—
Amortization of prior service cost	—		—		1		—		—		—
Recognized net actuarial loss	10		4		9		3		—		—
Net periodic benefit cost	$	18	$	13	$	7	$	3	$	2	$	3

	Pension
	U.S. Plans				U.K. Plans				OPEB
	Nine months ended
In millions	September 27, 2020		September 29, 2019		September 27, 2020		September 29, 2019		September 27, 2020		September 29, 2019
Service cost	$	100	$	87	$	22	$	19	$	—	$	—
Interest cost	71		81		26		32		5		8
Expected return on plan assets	(146)		(142)		(56)		(52)		—		—
Amortization of prior service cost	1		1		2		1		—		—
Recognized net actuarial loss	30		12		26		9		—		—
Net periodic benefit cost	$	56	$	39	$	20	$	9	$	5	$	8