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Pensions and Other Postretirement Benefits
6 Months Ended
Jun. 30, 2019
Retirement Benefits [Abstract]  
Pensions and Other Postretirement Benefits
Pensions and Other Postretirement Benefits
Service cost for net periodic pension and other postretirement benefit costs is included in Cost of sales, exclusive of depreciation and amortization, Selling, general and administrative, and Research and development, net in the accompanying condensed consolidated statements of income. All other components of net periodic benefit cost are now recorded in Other charges, except for pension settlement charges, in the accompanying condensed consolidated statements of income.
The net periodic pension and other postretirement benefit costs for the three and six months ended June 30, 2019 and 2018 were as follows:
 
Pension
 
Three Months Ended
June 30
 
Six Months Ended
June 30
($ in millions)
2019
 
2018
 
2019
 
2018
Service cost

$5

 

$8

 

$11

 

$16

Interest cost
27

 
24

 
53

 
48

Expected return on plan assets
(35
)
 
(38
)
 
(70
)
 
(76
)
Amortization of actuarial losses
16

 
16

 
31

 
32

Net periodic benefit cost

$13

 

$10

 

$25

 

$20


 
Other Postretirement Benefits
 
Three Months Ended
June 30
 
Six Months Ended
June 30
($ in millions)
2019
 
2018
 
2019
 
2018
Service cost

$2

 

$3

 

$4

 

$5

Interest cost
7

 
6

 
13

 
12

Amortization of actuarial losses
2

 
4

 
4

 
9

Amortization of prior service credit
(15
)
 
(15
)
 
(29
)
 
(30
)
Net periodic benefit cost

($4
)
 

($2
)
 

($8
)
 

($4
)

PPG expects its 2019 net periodic pension and other postretirement benefit cost to be approximately $35 million, with pension expense representing approximately $50 million and other postretirement benefit cost representing a benefit of approximately $15 million.
Contributions to Defined Benefit Pension Plans
 
Three Months Ended
June 30
 
Six Months Ended
June 30
($ in millions)
2019
 
2018
 
2019
 
2018
U.S. defined benefit pension contributions

$—

 

$—

 

$—

 

$25

Non-U.S. defined benefit pension mandatory contributions

$3

 

$5

 

$6

 

$10


PPG made a voluntary contribution of $25 million to its U.S. defined benefit pension plans in January 2018. PPG expects to make mandatory contributions to its non-U.S. pension plans in the range of $10 million to $20 million during the remaining six months of 2019. PPG may make voluntary contributions to its defined benefit pension plans in 2019 and beyond.