Long-Term Employee Benefits

Pension Plans

The workforce reductions in the first half 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 $63 in the nine months ended September 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 nine months ended September 30, 2016. In addition, the company recorded $15 and $51 of settlement charges during the three and nine months ended September 30, 2016 related to the company's Pension Restoration Plan which provides for lump sum payments to certain eligible retirees. During the three and nine months ended September 30, 2015, the company recorded $44 of settlement charges related to the Pension Restoration Plan, of which $32 related to settlements that occurred in prior periods.

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



	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2016			2015			2016			2015
Service cost	$	44		$	50		$	133		$	179
Interest cost	189			270			612			815
Expected return on plan assets	(327		)	(375		)	(996		)	(1,180		)
Amortization of loss	229			172			605			591
Amortization of prior service benefit	(2		)	(3		)	(5		)	(6		)
Curtailment (gain) loss, net	(1		)	(7		)	65			(7		)
Settlement loss	22			44			60			53
Net periodic benefit cost - Total	$	154		$	151		$	474		$	445
Less: Discontinued operations	—			(7		)	(4		)	(5		)
Net periodic benefit cost - Continuing operations	$	154		$	158		$	478		$	450

Other Long-Term Employee Benefit Plans

As a result of the workforce reductions noted above, curtailments were triggered for the company's other long term employee benefit plans. The company recorded curtailment gains of $33 for the nine months ended September 30, 2016 and re-measured the associated plans as of March 31, 2016 and June 30, 2016. The curtailment gains were 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 nine months ended September 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						Nine Months Ended
	September 30,						September 30,
	2016			2015			2016			2015
Service cost	$	2		$	3		$	9		$	12
Interest cost	20			28			64			83
Amortization of loss	21			20			56			58
Amortization of prior service benefit	(36		)	(39		)	(111		)	(143		)
Curtailment gain, net	—			(274		)	(33		)	(274		)
Net periodic benefit cost- Total	$	7		$	(262	)	$	(15	)	$	(264	)
Less: Discontinued operations	—			(274		)	—			(272		)
Net periodic benefit cost - Continuing operations	$	7		$	12		$	(15	)	$	8