Long-Term Employee Benefits

Pension Plans

The workforce reductions in the first and second quarters of 2016 related to the 2016 global cost savings and restructuring plan triggered curtailments for certain of the company's pension plans, including the principal U.S. pension plan. For the principal U.S. pension plan, the company recorded curtailment losses of $14 and $63 in the three and six months ended June 30, 2016, and re-measured the plan as of March 31, 2016 and June 30, 2016. The curtailment losses were driven by the changes in the benefit obligation based on the demographics of the terminated positions partially offset by accelerated recognition of a portion of the prior service benefit. In connection with the re-measurement, the company updated the discount rate assumed at December 31, 2015 from 4.47 percent to 3.74 percent as of June 30, 2016. The re-measurement increased the underfunded status of the principal U.S. pension plan by $2,352 with a corresponding increase in net loss within other comprehensive loss for the six months ended June 30, 2016. In addition, the company recorded a $31 settlement charge during the three months ended June 30, 2016 related to the company's Pension Restoration Plan which provides for lump sum payments to certain eligible retirees.

The following sets forth the components of the company’s net periodic benefit cost for pensions:



	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2016			2015			2016			2015
Service cost	$	42		$	63		$	89		$	129
Interest cost	206			272			423			545
Expected return on plan assets	(331		)	(401		)	(669		)	(805		)
Amortization of loss	204			210			376			419
Amortization of prior service benefit	(1		)	(1		)	(3		)	(3		)
Curtailment loss, net	17			—			66			—
Settlement loss	37			4			38			9
Net periodic benefit cost - Total	$	174		$	147		$	320		$	294
Less: Discontinued operations	—			1			(4		)	2
Net periodic benefit cost - Continuing operations	$	174		$	146		$	324		$	292

Other Long-Term Employee Benefit Plans

As a result of the workforce reductions noted above, a curtailment was triggered for the company's other long term employee benefit plans. The company recorded a curtailment gain of $3 and $33 for the three and six months ended June 30, 2016 and re-measured the associated plans as of March 31, 2016 and June 30, 2016. The curtailment gain was driven by accelerated recognition of a portion of the prior service benefit partially offset by the change in the benefit obligation based on the demographics of the terminated positions. In connection with the re-measurement, the company updated the associated plans’ weighted average discount rate assumed at December 31, 2015 from 4.30 percent to 3.55 percent as of June 30, 2016. The re-measurement resulted in a net increase of $265 to the company’s other long-term employee benefit obligation with a corresponding increase to net loss within other comprehensive loss for the six months ended June 30, 2016.

The following sets forth the components of the company’s net periodic benefit cost for other long-term employee benefits:



	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2016			2015			2016			2015
Service cost	$	4		$	5		$	7		$	9
Interest cost	21			27			44			55
Amortization of loss	18			19			35			38
Amortization of prior service benefit	(36		)	(52		)	(75		)	(104		)
Curtailment gain, net	(3		)	—			(33		)	—
Net periodic benefit cost- Total	$	4		$	(1	)	$	(22	)	$	(2	)
Less: Discontinued operations	—			1			—			2
Net periodic benefit cost - Continuing operations	$	4		$	(2	)	$	(22	)	$	(4	)