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Retirement Plans (Tables)
12 Months Ended
Dec. 31, 2018
Dec. 31, 2017
Defined Benefit Plan Disclosure [Line Items]    
Net Periodic Pension Expense For Qualified And Nonqualified U.S. Defined Benefit Plans [Table Text Block]
Net periodic pension expense for qualified and nonqualified U.S. and non-U.S. defined benefit plans comprised the following: 
  
2018
2017
2016
In millions
U.S.
Plans
Non-
U.S.
Plans
U.S.
Plans
Non-
U.S.
Plans
U.S.
Plans
Non-
U.S.
Plans
Service cost
$
153

$
5

$
160

$
4

$
158

$
4

Interest cost
467

8

536

9

580

9

Expected return on plan assets
(765
)
(11
)
(774
)
(11
)
(815
)
(10
)
Actuarial loss / (gain)
337

2

339

2

400

1

Amortization of prior service cost
16


28


41


Curtailment loss / (gain) (a)


23




Settlement loss
424


383

1

445


Special termination benefits (a)


22




Net periodic pension expense
$
632

$
4

$
717

$
5

$
809

$
4



(a) Recorded in Discontinued operations in the consolidated statement of operations.
 
Pension Allocations By Type Of Fund And Target Allocations [Table Text Block]
International Paper’s U.S. pension allocations by type of fund at December 31, 2018 and 2017 and target allocations were as follows:
Asset Class
2018
2017
Target
Allocations
Equity accounts
32
%
49
%
32% - 43%
Fixed income accounts
51
%
36
%
44% - 56%
Real estate accounts
11
%
10
%
5% - 11%
Other
6
%
5
%
3% - 8%
Total
100
%
100
%
 
 
Schedule of Allocation of Plan Assets [Table Text Block]
The fair values of International Paper’s pension plan assets at December 31, 2018 and 2017 by asset class are shown below. Hedge funds disclosed in the following table are allocated equally between equity and fixed income accounts for target allocation purposes.

Fair Value Measurement at December 31, 2018
Asset Class
Total
Quoted
Prices
in
Active
Markets
For
Identical
Assets
(Level 1)
Significant
Observable
Inputs
(Level 2)
Significant
Unobservable
Inputs
(Level 3)
In millions
  
  
  
  
Equities – domestic
$
685

$
685

$

$

Equities – international
1,150

1,141

9


Corporate bonds
1,434


1,434


Government securities
2,262


2,262


Mortgage backed securities




Other fixed income
(723
)

(736
)
13

Derivatives
98



98

Cash and cash equivalents
294

294



Other investments:
 
 
 
 
  Equities - domestic
515

 
 
 
  Equities - international
433

 
 
 
  Corporate bonds
59

 
 
 
  Other fixed income
180

 
 
 
  Hedge funds
886

 
 
 
  Private equity
518

 
 
 
  Real estate funds
944

 
 
 
Total Investments
$
8,735

$
2,120

$
2,969

$
111

Fair Value Measurement at December 31, 2017
Asset Class
Total
Quoted
Prices in
Active
Markets
For
Identical
Assets
(Level 1)
Significant
Observable
Inputs
(Level 2)
Significant
Unobservable
Inputs
(Level 3)
In millions
  
  
  
  
Equities – domestic
$
1,291

$
1,291

$

$

Equities – international
2,132

2,119

13


Corporate bonds
1,177


1,177


Government securities
2,778


2,778


Mortgage backed securities
1



1

Other fixed income
(802
)

(814
)
12

Derivatives
8


(8
)
16

Cash and cash equivalents
397

397



Other investments:
 
 
 
 
  Equities - domestic
708

 
 
 
  Equities - international
866

 
 
 
  Corporate bonds
66

 
 
 
  Other fixed income
232

 
 
 
  Hedge funds
927

 
 
 
  Private equity
481

 
 
 
  Real estate funds
1,106

 
 
 
Total Investments
$
11,368

$
3,807

$
3,146

$
29



Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Table Text Block]
In accordance with accounting standards, the following investments are measured at NAV and are not classified in the fair value hierarchy. Some of the investments have redemption limitations, restrictions, and notice requirements which are further explained below.
Other Investments at December 31, 2018
Investment
Fair Value
Unfunded Commitments
Redemption Frequency
Remediation Notice Period
In millions
 
 
 
 
Equities – domestic
$
515

$

Daily to monthly
1-5 days
Equities – international
433


Daily to monthly
1-5 days
Corporate bonds
59


Daily to monthly
1-5 days
Other fixed income
180


Daily to monthly
1-5 days
Hedge funds
886


Daily to annually
1 - 100 days
Private equity
518

310

(a)
None
Real estate funds
944

109

Quarterly
45 - 60 days
Total
$
3,535

$
419

 
 

(a) A private equity fund investment ("partnership interest") is contractually locked up for the life of the private equity fund by the partnership agreement. Limited partners do not have the option to redeem partnership interests.
Other Investments at December 31, 2017
Investment
Fair Value
Unfunded Commitments
Redemption Frequency
Remediation Notice Period
In millions
  
  
  
  
Equities - domestic
$
708

$

Daily to monthly
1-5 days
Equities - international
866


Daily to monthly
1-5 days
Corporate bonds
66


Daily to monthly
1-5 days
Other fixed income
232


Daily to monthly
1-5 days
Hedge funds
927


Daily to annually
1 - 100 days
Private equity
481

262

(a)
None
Real estate funds
1,106

121

Quarterly
45 - 60 days
Total
$
4,386

$
383





(a) A private equity fund investment ("partnership interest") is contractually locked up for the life of the private equity fund by the partnership agreement. Limited partners do not have the option to redeem partnership interests.
Fair Value Measurements Using Significant Unobservable Inputs (Level 3) [Table Text Block]
he following is a reconciliation of the assets that are classified using significant unobservable inputs (Level 3) at December 31, 2018.

Fair Value Measurements Using Significant Unobservable Inputs (Level 3)

In millions
Mortgage backed securities
Other
fixed
income
Derivatives
Total
Beginning balance at December 31, 2016
$
1

$
11

$
(71
)
$
(59
)
Actual return on plan assets:
 
 
 
 
Relating to assets still held at the reporting date

1

94

95

Relating to assets sold during the period


(23
)
(23
)
Purchases, sales and settlements


16

16

Transfers in and/or out of Level 3




Ending balance at December 31, 2017
$
1

$
12

$
16

$
29

Actual return on plan assets:
 
 
 
 
Relating to assets still held at the reporting date

1

75

76

Relating to assets sold during the period


(19
)
(19
)
Purchases, sales and settlements
(1
)

26

25

Transfers in and/or out of Level 3




Ending balance at December 31, 2018
$

$
13

$
98

$
111

 
Retirement Plans [Member]    
Defined Benefit Plan Disclosure [Line Items]    
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan [Table Text Block]
  
2018
2017
In millions
U.S.
Plans
Non-
U.S.
Plans
U.S.
Plans
Non-
U.S.
Plans
Change in projected benefit obligation:
 
 
 
 
Benefit obligation, January 1
$
13,264

$
247

$
13,683

$
219

Service cost
153

5

160

4

Interest cost
467

8

536

9

Settlements
(1,653
)
(2
)
(1,295
)
(4
)
Actuarial loss (gain)
(1,089
)
(17
)
913

2

Acquisitions



5

Divestitures


33


Plan amendments
2


3


Benefits paid
(677
)
(9
)
(769
)
(8
)
Effect of foreign currency exchange rate movements

(17
)

20

Benefit obligation, December 31
$
10,467

$
215

$
13,264

$
247

Change in plan assets:
 
 
 
 
Fair value of plan assets, January 1
$
11,368

$
176

$
10,312

$
153

Actual return on plan assets
(332
)
(2
)
1,830

10

Company contributions
29

10

1,290

10

Benefits paid
(677
)
(9
)
(769
)
(8
)
Settlements
(1,653
)
(2
)
(1,295
)
(4
)
Other



3

Effect of foreign currency exchange rate movements

(12
)

12

Fair value of plan assets, December 31
$
8,735

$
161

$
11,368

$
176

Funded status, December 31
$
(1,732
)
$
(54
)
$
(1,896
)
$
(71
)
Amounts recognized in the consolidated balance sheet:
 
 
 
 
Non-current asset
$

$
5

$

$
5

Current liability
(27
)
(2
)
(30
)
(3
)
Non-current liability
(1,705
)
(57
)
(1,866
)
(73
)
 
$
(1,732
)
$
(54
)
$
(1,896
)
$
(71
)
 
Schedule Of Amounts In Accumulated Other Comprehensive Income [Table Text Block]
Amounts recognized in accumulated other comprehensive income under ASC 715 (pre-tax):
 
 
 
 
Prior service cost (credit)
$
74

$
(1
)
$
88

$
(1
)
Net actuarial loss
3,140

57

3,893

67

 
$
3,214

$
56

$
3,981

$
66

 
Pension Benefit Adjustments Recognized In Other Comprehensive (Loss) Income [Table Text Block]
The components of the $(767) million and $(10) million related to U.S. plans and non-U.S. plans, respectively, in the amounts recognized in OCI during 2018 consisted of: 
In millions
U.S.
Plans
Non-
U.S.
Plans
Current year actuarial (gain) loss
$
8

$
(4
)
Amortization of actuarial loss
(337
)
(2
)
Current year prior service cost
2


Amortization of prior service cost
(16
)

Settlements
(424
)

Effect of foreign currency exchange rate movements

(4
)
 
$
(767
)
$
(10
)
 
Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets [Table Text Block]
The following table summarizes information for pension plans with an accumulated benefit obligation in excess of plan assets at December 31, 2018 and 2017: 
  
2018
2017
In millions
U.S.
Plans
Non-U.S.
Plans
U.S.
Plans
Non-U.S.
Plans
Projected benefit obligation
$
10,467

$
187

$
13,264

$
215

Accumulated benefit obligation
10,440

175

13,161

200

Fair value of plan assets
8,735

128

11,368

139

 
Schedule of Assumptions Used [Table Text Block]

Major actuarial assumptions used in determining the benefit obligations and net periodic pension cost for our defined benefit plans are presented in the following table:
  
2018
2017
2016
  
U.S.
Plans
Non-
U.S.
Plans
U.S.
Plans
Non-
U.S.
Plans
U.S.
Plans
Non-
U.S.
Plans
Actuarial assumptions used to determine benefit obligations as of December 31:
 
 
 
 
 
 
Discount rate
4.30
%
3.97
%
3.60
%
3.59
%
4.10
%
3.88
%
Rate of compensation increase
2.25
%
4.05
%
3.75
%
4.06
%
3.75
%
4.20
%
Actuarial assumptions used to determine net periodic pension cost for years ended December 31:
 
 
 
 
 
 
Discount rate (a)
3.80
%
3.59
%
4.03
%
3.88
%
4.05
%
4.72
%
Expected long-term rate of return on plan assets
7.50
%
6.52
%
7.50
%
6.73
%
7.75
%
6.55
%
Rate of compensation increase
3.38
%
4.06
%
3.75
%
4.20
%
3.75
%
4.03
%
 
(a) Represents the weighted average rate for the U.S. qualified plans in 2018, 2017 and 2016 due to the remeasurements
 
Effect Of A 25 Basis Point Decrease On Net Pension Expense [Table Text Block]
The following illustrates the effect on pension expense for 2019 of a 25 basis point decrease in the above assumptions: 
In millions
2019
Expense/(Income):
 
Discount rate
$
27

Expected long-term rate of return on plan assets
22

 
Projected Future Pension Benefit Payments, Excluding Any Termination Benefits [Table Text Block]
At December 31, 2018, projected future pension benefit payments, excluding any termination benefits, were as follows: 
In millions
  
2019
$
562

2020
571

2021
585

2022
597

2023
611

2024-2028
3,191