Retirement and Postretirement Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2014

(in millions)	Pension Benefits				Postretirement Benefits
As of December 31,	2014		2013		2014		2013
Amounts recognized in the consolidated balance sheet:
Other assets	$	57	$	104	$	—	$	—
Accrued liabilities	(6)		(6)		(57)		(58)
Deferred credits and other liabilities — other	(68)		(83)		(980)		(958)

AOCI included the following after-tax balances:
Net loss	$	83	$	66	$	255	$	225
Prior service cost	—		1		1		2
	$	83	$	67	$	256	$	227

For the years ended December 31,
Changes in the benefit obligation:
Benefit obligation — beginning of year	$	523	$	615	$	1,016	$	1,127
Service cost — benefits earned during the period	11		13		24		29
Interest cost on projected benefit obligation	23		24		44		43
Actuarial (gain) loss	53		(35)		83		(126)
Foreign currency exchange rate (gain) loss	(9)		(5)		—		—
Spin-off of California Resources	(105)		—		(72)		—
Benefits paid	(43)		(54)		(59)		(57)
Settlements	—		(35)		—		—
Benefit obligation — end of year	$	453	$	523	$	1,036	$	1,016

Changes in plan assets:
Fair value of plan assets — beginning of year	$	538	$	499	$	—	$	—
Actual return on plan assets	24		88		—		—
Employer contributions	7		29		—		—
Spin-off of California Resources	(90)		—		—		—
Benefits paid	(43)		(54)		—		—
Settlements	—		(24)		—		—
Fair value of plan assets — end of year	$	436	$	538	$	—	$	—
Funded/(Unfunded) status:	$	(17)	$	15	$	(1,036)	$	(1,016)

(in millions)	Accumulated Benefit Obligation in Excess of Plan Assets				Plan Assets in Excess of Accumulated Benefit Obligation
As of December 31,	2014		2013		2014		2013
Projected Benefit Obligation	$	173	$	122	$	280	$	401
Accumulated Benefit Obligation	$	168	$	112	$	280	$	386
Fair Value of Plan Assets	$	100	$	39	$	336	$	499

	Pension Benefits						Postretirement Benefits
For the years ended December 31, (in millions)	2014		2013		2012		2014		2013		2012
Net periodic benefit costs:
Service cost — benefits earned during the period	$	11	$	13	$	13	$	24	$	29	$	25
Interest cost on projected benefit obligation	23		24		27		44		43		42
Expected return on plan assets	(33)		(31)		(31)		—		—		—
Recognized actuarial loss	6		19		19		20		38		37
Other costs and adjustments	(8)		(13)		17		1		1		1
Net periodic benefit cost	$	(1)	$	12	$	45	$	89	$	111	$	105

	Pension Benefits			Postretirement Benefits
For the years ended December 31,	2014		2013	2014	2013
Benefit Obligation Assumptions:
Discount rate	3.81%		4.45%	3.99%	4.75%
Rate of compensation increase	—	(a)	4.00%	—	—
Net Periodic Benefit Cost Assumptions:
Discount rate	4.45%		3.59%	4.75%	3.89%
Assumed long term rate of return on assets	6.50%		6.50%	—	—
Rate of compensation increase	4.00%	(a)	4.00%	—	—

(a)

Plans requiring a salary increase assumption were separated with California Resources.

(in millions)	Fair Value Measurements at December 31, 2014 Using
Description	Level 1		Level 2		Level 3		Total

Asset Class:
U.S. government securities	$	15	$	—	$	—	$	15
Corporate bonds (a)	—		76		—		76
Common/collective trusts (b)	—		13		—		13
Mutual funds:
Bond funds	42		—		—		42
Blend funds	68		—		—		68
Common and preferred stocks (c)	196		—		—		196
Other	—		38		1		39
Total pension plan assets (d)	$	321	$	127	$	1	$	449

(in millions)	Fair Value Measurements at December 31, 2013 Using
Description	Level 1		Level 2		Level 3		Total

Asset Class:
U.S. government securities	$	16	$	—	$	—	$	16
Corporate bonds (a)	—		84		—		84
Common/collective trusts (b)	—		19		—		19
Mutual funds:
Bond funds	64		—		—		64
Blend funds	105		—		—		105
Value and growth funds	6		—		—		6
Common and preferred stocks (c)	201		—		—		201
Other	—		37		11		48
Total pension plan assets (d)	$	392	$	140	$	11	$	543

(a)

This category represents investment grade bonds of U.S. and non-U.S. issuers from diverse industries.

(b)

This category includes investment funds that primarily invest in U.S. and non-U.S. common stocks and fixed-income securities.

(c)

This category represents direct investments in common and preferred stocks from diverse U.S. and non-U.S. industries.

(d)

Amounts exclude net payables of approximately $13 million and $5 million as of December 31, 2014 and 2013, respectively.

For the years ended December 31, (in millions)	Pension Benefits		Postretirement Benefits

2015	$	38	$	58
2016	$	37	$	59
2017	$	33	$	59
2018	$	32	$	59
2019	$	32	$	60
2020— 2024	$	191	$	304