Retirement-Related Benefits (Tables)

9 Months Ended

Sep. 30, 2016

Retirement-Related Benefits:

Pre-tax cost for all retirement-related plans

					Yr. to Yr.
(Dollars in millions)					Percent
For the three months ended September 30:	2016		2015		Change
Retirement-related plans — cost
Defined benefit and contribution pension plans — cost	$	421	$	505	(16.6	)%
Nonpension postretirement plans — cost	64		68		(4.8	)
Total	$	486	$	573	(15.2	)%

					Yr. to Yr.
(Dollars in millions)					Percent
For the nine months ended September 30:	2016		2015		Change
Retirement-related plans — cost
Defined benefit and contribution pension plans — cost	$	1,315	$	1,747	(24.7	)%
Nonpension postretirement plans — cost	185		206		(10.3	)
Total	$	1,500	$	1,953	(23.2	)%

Components of the cost/(income) for the company's pension plans

Cost/(Income) of Pension Plans

(Dollars in millions)	U.S. Plans						Non-U.S. Plans
For the three months ended September 30:	2016			2015			2016			2015
Service cost	$	—		$	—		$	108		$	116
Interest cost	512			507			257			270
Expected return on plan assets	(922		)	(988		)	(468		)	(481		)
Amortization of prior service costs/(credits)	3			2			(28		)	(24		)
Recognized actuarial losses	328			414			357			392
Curtailments and settlements	—			—			4			11
Multi-employer plans/other costs	—			—			8			16
Total net periodic pension (income)/cost of defined benefit plans	(79		)	(65		)	239			300
Cost of defined contribution plans	159			162			103			109
Total defined benefit and contribution plans cost recognized in the Consolidated Statement of Earnings	$	79		$	96		$	342		$	409

(Dollars in millions)	U.S. Plans						Non-U.S. Plans
For the nine months ended September 30:	2016			2015			2016			2015
Service cost	$	—		$	—		$	318		$	339
Interest cost	1,536			1,521			787			810
Expected return on plan assets	(2,767		)	(2,965		)	(1,419		)	(1,446		)
Amortization of prior service costs/(credits)	8			7			(79		)	(74		)
Recognized actuarial losses	985			1,241			1,062			1,186
Curtailments and settlements	—			—			19			19
Multi-employer plan/other costs	—			—			64			272
Total net periodic pension (income)/cost of defined benefit plans	(238		)	(196		)	751			1,107
Cost of defined contribution plans	484			500			318			335
Total defined benefit and contribution plans cost recognized in the Consolidated Statement of Earnings	$	246		$	304		$	1,069		$	1,443

Components of the cost/(income) for the company's nonpension postretirement plans

Cost of Nonpension Postretirement Plans

(Dollars in millions)	U.S. Plan						Non-U.S. Plans
For the three months ended September 30:	2016			2015			2016			2015
Service cost	$	4		$	6		$	1		$	2
Interest cost	41			41			15			12
Expected return on plan assets	—			—			(2		)	(2		)
Amortization of prior service costs/(credits)	(2		)	(2		)	(1		)	(1		)
Recognized actuarial losses	5			10			2			2
Curtailments and settlements	—			—			0			0
Total nonpension postretirement plan cost recognized in Consolidated Statement of Earnings	$	49		$	55		$	16		$	13

(Dollars in millions)	U.S. Plan						Non-U.S. Plans
For the nine months ended September 30:	2016			2015			2016			2015
Service cost	$	13		$	18		$	4		$	5
Interest cost	124			122			37			39
Expected return on plan assets	—			—			(5		)	(5		)
Amortization of prior service costs/(credits)	(6		)	(6		)	(4		)	(4		)
Recognized actuarial losses	15			29			7			7
Curtailments and settlements	—			—			0			0
Total nonpension postretirement plan cost recognized in Consolidated Statement of Earnings	$	146		$	164		$	39		$	42