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EMPLOYEE BENEFITS (Tables)
 12 Months Ended
Dec. 31, 2018
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Schedule of Allocation of Plan Assets
The following table presents qualified pension plan assets measured at fair value within the fair value hierarchy:
 
Fair Value Measurements as of December 31, 2018
(in millions)
Total

Level 1

Level 2

Level 3

Assets:
 
 
 
 
Cash and money market funds

$12


$12


$—


$—

Managed portfolio assets:
 
 
 
 
U.S. government obligations
5

5

—

—

Non-U.S. government obligations
1

—

1

—

Municipal obligations
1

—

1

—

Corporate bonds
99

—

99

—

Bank loans
1

—

1

—

Total assets in the fair value hierarchy
119

17

102

—

Investments measured at net asset value (1)
931

 
 
 
Assets at fair value at measurement date of December 31, 2018

$1,050


$17


$102


$—

(1)Certain investments that were measured at net asset value per share (or its equivalent) have not been classified in the fair value hierarchy.

The following table presents qualified pension plan assets measured at fair value within the fair value hierarchy:
 
Fair Value Measurements as of December 31, 2017
(in millions)
Total

Level 1

Level 2

Level 3

Assets:
 
 
 
 
Managed portfolio assets
 
 
 
 
U.S. government obligations

$8


$—


$8


$—

Non-U.S. government obligations
2

—

2

—

Municipal obligations
1

—

1

—

Corporate bonds
102

—

102

—

Asset-backed securities
1

—

1

—

Total assets in the fair value hierarchy
114

—

114

—

Investments measured at net asset value (1)
1,024

 
 
 
Assets at fair value at measurement date of December 31, 2017

$1,138


$—


$114


$—


(1)Certain investments that were measured at net asset value per share (or its equivalent) have not been classified in the fair value hierarchy.
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan
Changes in the fair value of defined benefit pension plan assets, projected benefit obligation, funded status, and accumulated benefit obligation are presented below:
 
Year Ended December 31,
 
Qualified Plan
 
Non-Qualified Plan
(in millions)
2018

 
2017

 
2018

 
2017

Fair value of plan assets as of January 1

$1,139

 

$1,015

 

$—

 

$—

Actual return on plan assets
(81
)
 
185

 
—

 
—

Employer contributions
50

 
—

 
8

 
8

Benefits and administrative expenses paid
(58
)
 
(61
)
 
(8
)
 
(8
)
Fair value of plan assets as of December 31
1,050

 
1,139

 
—

 
—

Projected benefit obligation
972

 
1,089

 
95

 
106

Pension asset (obligation)

$78

 

$50

 

($95
)
 

($106
)
Accumulated benefit obligation

$972

 

$1,089

 

$95

 

$106
Schedule of Amounts Recognized in Other Comprehensive Income (Loss)
Other changes in plan assets and benefit obligations recognized in OCI (for the qualified, non-qualified and postretirement plans) are presented below:
 
Year Ended December 31,
(in millions)
2018

 
2017

 
2016

Net periodic pension income

($16
)
 

($2
)
 

($1
)
Net actuarial loss (gain)
49

 
(31
)
 
54

Amortization of prior service credit
1

 
1

 
1

Amortization of net actuarial loss
(17
)
 
(18
)
 
(16
)
Total recognized in other comprehensive income (loss)
33

 
(48
)
 
39

Total recognized in net periodic pension cost and other comprehensive income (loss)

$17

 

($50
)
 

$38
Schedule of net periodic (income) cost
The components of net periodic pension (income) cost for the Company’s qualified and non-qualified plans are presented below:
 
Year Ended December 31,
 
Qualified Plan
 
Non-Qualified Plan
 
Total
(in millions)
2018

 
2017

 
2016

 
2018

 
2017

 
2016

 
2018

 
2017

 
2016

Service cost

$3

 

$3

 

$3

 

$—

 

$—

 

$—

 

$3

 

$3

 

$3

Interest cost
39

 
42

 
44

 
4

 
4

 
4

 
43

 
46

 
48

Expected return on plan assets
(79
)
 
(69
)
 
(68
)
 
—

 
—

 
—

 
(79
)
 
(69
)
 
(68
)
Amortization of actuarial loss
15

 
16

 
14

 
2

 
2

 
2

 
17

 
18

 
16

Net periodic pension (income) cost(1)

($22
)
 

($8
)
 

($7
)
 

$6

 

$6

 

$6

 

($16
)
 

($2
)
 

($1
)

(1) In the Consolidated Statements of Operations, service cost is presented in salaries and employee benefits, and all other components of net periodic pension (income) costs are presented in other operating expense.
Schedule of Expected Benefit Payments
Expected future benefit payments for the qualified and non-qualified plans are presented below:
 
(in millions)

Expected benefit payments by fiscal year ending:
 
December 31, 2019

$64

December 31, 2020
64

December 31, 2021
65

December 31, 2022
66

December 31, 2023
67

December 31, 2024 - 2028
340
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share
The following table presents the unfunded commitments, redemption frequency and redemption notice period for Plan investments that utilize net asset value to determine fair value:
 
Fair Value Estimated Using Net Asset Value per Share December 31,
 
 
 
 
 
Unfunded
 
Redemption
 
Redemption
 
Redemption
Investment (dollars in millions)
2018

 
2017

 
Commitment
 
Frequency
 
Restrictions
 
Notice Period
Liquid Cash Fund

$—

 

$11

 
$—
 
Daily
 
None
 
Same day before 5:30pm ET
Common and Collective Funds:
 
 
 
 
 
 
 
 
 
 
 
     Global equities funds
399

 
472

 
—
 
Daily
 
None
 
3 days
     Balanced funds
221

 
214

 
—
 
Daily
 
None
 
2 days
     Fixed income fund
139

 
150

 
—
 
Daily
 
None
 
3 days
Managed Portfolio - Fixed Income Mutual Fund (1)
32

 
35

 
—
 
Daily
 
None
 
1 days
Limited Partnerships:
 
 
 
 
 
 
 
 
 
 
 
     Global equity fund
140

 
142

 
—
 
Monthly
 
None
 
3 days
Total

$931

 

$1,024

 
$—
 
 
 
 
 
 

(1) The managed portfolio fixed income mutual fund seeks to outperform the Barclay’s U.S. Long Credit Index or similar benchmark.
Qualified Plan  
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Schedule of Allocation of Plan Assets
The qualified plan’s allocation by asset category is presented below:
 
 
Target Asset Allocation
 
Actual Asset Allocation
Asset Category
 
2018
 
2018
 
2017
Equity securities
 
53%
 
51.3
%
 
54.0
%
Debt securities
 
46%
 
47.6
%
 
45.0
%
Other
 
1%
 
1.1
%
 
1.0
%
Total
 
 
 
100.0
%
 
100.0
%
Postretirement Benefit Plan  
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Assumptions Used in Determining Benefit Obligations and Net Periodic Benefit Cost
Weighted-average rates assumed in determining the net periodic benefit cost of the postretirement benefits plan are as follows:
 
For the Year Ended December 31,
(dollars in millions)
2018

 
2017

Discount rate
3.200
%
 
3.530
%
Rate of compensation increase
N/A

 
N/A
Schedule of Expected Benefit Payments
Expected future benefit payments for the postretirement benefit plan are presented below:
 
(in millions)

Expected benefit payments by fiscal year ending:
 
December 31, 2019

$1

December 31, 2020
1

December 31, 2021
1

December 31, 2022
1

December 31, 2023
1

December 31, 2024 - 2028
5
Qualified and Non-Qualified Plans  
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Assumptions Used in Determining Benefit Obligations and Net Periodic Benefit Cost
Weighted-average rates assumed in determining the actuarial present value of benefit obligations and net periodic benefit cost are presented below:
 
As of and for the Year Ended December 31,
 
2018

 
2017

 
2016

Assumptions for benefit obligations
 
 
 
 
 
Discount rate-qualified plan
4.330
%
 
3.670
%
 
4.190
%
Discount rate-non-qualified plan
4.240
%
 
3.530
%
 
4.050
%
Expected long-term rate of return on plan assets
7.000
%
 
7.000
%
 
7.500
%
Assumptions for net periodic pension cost
 
 
 
 
 
Discount rate-qualified plan
3.670
%
 
4.190
%
 
4.640
%
Discount rate-non-qualified plan
3.530
%
 
4.050
%
 
4.540
%
Expected long-term rate of return on plan assets
7.000
%
 
7.000
%
 
7.500
%