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Pension, Savings and Other Postretirement Benefit Plans
3 Months Ended
Mar. 31, 2020
Compensation And Retirement Disclosure [Abstract]  
Pension, Other Postretirement Benefits and Savings Plans

NOTE 12. PENSION, SAVINGS AND OTHER POSTRETIREMENT BENEFIT PLANS

We provide employees with defined benefit pension or defined contribution savings plans.

Defined benefit pension cost follows:

 

 

 

U.S.

 

 

 

Three Months Ended

 

 

 

March 31,

 

(In millions)

 

2020

 

 

2019

 

Service cost

 

$

1

 

 

$

1

 

Interest cost

 

 

33

 

 

 

44

 

Expected return on plan assets

 

 

(49

)

 

 

(56

)

Amortization of net losses

 

 

27

 

 

 

28

 

Net periodic pension cost

 

$

12

 

 

$

17

 

Net curtailments/settlements/termination benefits

 

 

1

 

 

 

 

Total defined benefit pension cost

 

$

13

 

 

$

17

 

 

 

 

Non-U.S.

 

 

 

Three Months Ended

 

 

 

March 31,

 

(In millions)

 

2020

 

 

2019

 

Service cost

 

$

7

 

 

$

7

 

Interest cost

 

 

14

 

 

 

18

 

Expected return on plan assets

 

 

(14

)

 

 

(15

)

Amortization of prior service cost

 

 

1

 

 

 

 

Amortization of net losses

 

 

10

 

 

 

7

 

Net periodic pension cost

 

$

18

 

 

$

17

 

Net curtailments/settlements/termination benefits

 

 

1

 

 

 

1

 

Total defined benefit pension cost

 

$

19

 

 

$

18

 

 

Service cost is recorded in CGS or SAG. Other components of net periodic pension cost are recorded in Other (Income) Expense. Net curtailments, settlements and termination benefits are recorded in Other (Income) Expense or Rationalizations if related to a rationalization plan.

We also provide certain U.S. employees and employees at certain non-U.S. subsidiaries with health care benefits or life insurance benefits upon retirement. Other postretirement benefits (credit) expense for the three months ended March 31, 2020 was ($3) million and included the curtailment credit of ($4) million discussed below. Other postretirement benefits (credit) expense for the three months ended March 31, 2019 was $2 million.

During the first quarter of 2020, we recognized settlement charges of $2 million for defined benefit pension plans in Other (Income) Expense and a curtailment credit of ($4) million for one of our non-U.S. other postretirement benefit plans in Rationalizations, related to the exit of employees under an approved rationalization plan.

We expect to contribute approximately $25 million to $50 million to our funded non-U.S. pension plans in 2020. For the three months ended March 31, 2020, we contributed $7 million to our non-U.S. plans.

The expense recognized for our contributions to defined contribution savings plans for the three months ended March 31, 2020 and 2019 was $30 million and $28 million, respectively.