XML 46 R16.htm IDEA: XBRL DOCUMENT v3.20.2
RETIREMENT BENEFITS
 6 Months Ended
Jun. 30, 2020
Retirement Benefits [Abstract]  
RETIREMENT BENEFITS RETIREMENT BENEFITS
For additional information on Citi’s retirement benefits, see Note 8 to the Consolidated Financial Statements in Citi’s 2019 Annual Report on Form 10-K.

Net (Benefit) Expense
The following table summarizes the components of net (benefit) expense recognized in the Consolidated Statement of Income for the Company’s pension and postretirement plans for Significant Plans and All Other Plans:
Three Months Ended June 30,
 Pension plansPostretirement benefit plans
 U.S. plansNon-U.S. plansU.S. plansNon-U.S. plans
In millions of dollars20202019202020192020201920202019
Benefits earned during the period$—  $—  $34  $35  $—  $—  $2  $2  
Interest cost on benefit obligation101  123  61  73  5  6  22  26  
Expected return on plan assets(206) (202) (56) (68) (4) (4) (18) (21) 
Amortization of unrecognized:     
Prior service benefit—  (1) (2) (1) —  —  (2) (3) 
Net actuarial loss53  48  17  15  —  —  5  6  
Settlement loss(1)
—  —  3  2  —  —  —  —  
Total net (benefit) expense$(52) $(32) $57  $56  $1  $2  $9  $10  

(1) Losses due to settlement relate to repositioning and divestiture activities.



Six Months Ended June 30,
 Pension plansPostretirement benefit plans
 U.S. plansNon-U.S. plansU.S. plansNon-U.S. plans
In millions of dollars20202019202020192020201920202019
Benefits earned during the period$—  $—  $71  $71  $—  $—  $4  $4  
Interest cost on benefit obligation207  253  125  148  10  13  46  52  
Expected return on plan assets(414) (405) (121) (136) (9) (9) (38) (42) 
Amortization of unrecognized:     
Prior service cost (benefit)1  —  (3) (2) —  —  (4) (5) 
Net actuarial loss109  92  34  30  —  —  10  11  
Settlement loss(1)
—  —  3  2  —  —  —  —  
Total net (benefit) expense$(97) $(60) $109  $113  $1  $4  $18  $20  

(1) Losses due to settlement relate to repositioning and divestiture activities.
Funded Status and Accumulated Other Comprehensive Income (AOCI)
The following table summarizes the funded status and amounts recognized on the Consolidated Balance Sheet for the Company’s
Significant Plans:
Six Months Ended June 30, 2020
 Pension plansPostretirement benefit plans
In millions of dollarsU.S. plansNon-U.S. plansU.S. plansNon-U.S. plans
Change in projected benefit obligation     
Projected benefit obligation at beginning of year$13,453  $8,105  $692  $1,384  
Plans measured annually(26) (2,068) —  (323) 
Projected benefit obligation at beginning of year—Significant Plans
$13,427  $6,037  $692  $1,061  
First quarter activity
(78) (934) (13) (255) 
Projected benefit obligation at the March 31, 2020—Significant Plans
$13,349  $5,103  $679  $806  
Benefits earned during the period20  —  1  
Interest cost on benefit obligation101  51  5  19  
Actuarial loss678  466  5  84  
Benefits paid, net of participants’ contributions and government subsidy(268) (83) (10) (13) 
Foreign exchange impact and other—  19  —  14  
Projected benefit obligation at period end—Significant Plans$13,860  $5,576  $679  $911  
Change in plan assets    
Plan assets at fair value at beginning of year$12,717  $7,556  $345  $1,127  
Plans measured annually—  (1,349) —  (9) 
Plan assets at fair value at beginning of year—Significant Plans
$12,717  $6,207  $345  $1,118  
First quarter activity(864) (720) (24) (270) 
Plan assets at fair value at March 31, 2020—Significant Plans
$11,853  $5,487  $321  $848  
Actual return on plan assets830  439  16  94  
Company contributions, net of reimbursements14  15  (3) —  
Benefits paid, net of participants’ contributions and government subsidy(268) (83) (10) (13) 
Foreign exchange impact and other—  5  —  13  
Plan assets at fair value at period end—Significant Plans
$12,429  $5,863  $324  $942  
Funded status of the Significant Plans
Qualified plans(1)
$(713) $287  $(355) $31  
Nonqualified plans(718) —  —  —  
Funded status of the plans at period end—Significant Plans
$(1,431) $287  $(355) $31  
Net amount recognized at period end    
Benefit asset$—  $907  $—  $31  
Benefit liability(1,431) (620) (355) —  
Net amount recognized on the balance sheet—Significant Plans
$(1,431) $287  $(355) $31  
Amounts recognized in AOCI at period end
   
Prior service benefit $—  $8  $—  $53  
Net actuarial (loss) gain(7,933) (854) 29  (296) 
Net amount recognized in equity (pretax)—Significant Plans
$(7,933) $(846) $29  $(243) 
Accumulated benefit obligation at period end—Significant Plans
$13,857  $5,283  $679  $911  
(1)The U.S. qualified pension plan is fully funded pursuant to the Employee Retirement Income Security Act of 1974, as amended (ERISA), funding rules as of January 1, 2020 and no minimum required funding is expected for 2020.
The following table shows the change in AOCI related to the Company’s pension, postretirement and post employment plans:
In millions of dollarsThree Months Ended June 30, 2020Six Months Ended
June 30, 2020
Beginning of period balance, net of tax(1)(2)
$(7,095) $(6,809) 
Actuarial assumptions changes and plan experience(1,230) (800) 
Net asset gain (loss) due to difference between actual and expected returns1,106  (22) 
Net amortization72  148  
Prior service cost16  16  
Curtailment/settlement gain(3)
3  3  
Foreign exchange impact and other(60) 144  
Change in deferred taxes, net16  148  
Change, net of tax$(77) $(363) 
End of period balance, net of tax(1)(2)
$(7,172) $(7,172) 

(1)See Note 17 to the Consolidated Financial Statements for further discussion of net AOCI balance.
(2)Includes net-of-tax amounts for certain profit-sharing plans outside the U.S.
(3)Curtailment and settlement relate to repositioning and divestiture activities.

Plan Assumptions
The discount rates utilized during the period in determining the pension and postretirement net (benefit) expense for the Significant Plans are as follows:
Net (benefit) expense assumed discount rates during the periodThree Months Ended
Jun. 30, 2020Jun. 30, 2019
U.S. plans
Qualified pension3.20 %3.85 %
Nonqualified pension3.25  3.90  
Postretirement3.20  3.80  
Non-U.S. plans  
Pension
0.45-9.45
0.45-10.30
Weighted average4.38  4.74  
Postretirement9.75  10.30  

The discount rates utilized at period-end in determining the pension and postretirement benefit obligations for the Significant Plans are as follows:
Plan obligations assumed discount rates at period endedJun. 30, 2020Mar. 31, 2020Dec. 31, 2019
U.S. plans
Qualified pension2.60 %3.20 %3.25 %
Nonqualified pension2.55  3.25  3.25  
Postretirement2.45  3.20  3.15  
Non-U.S. plans   
Pension
0.20-8.40
0.45-9.45
0.20-8.95
Weighted average3.68  4.38  4.21  
Postretirement8.80  9.75  9.10  






Sensitivities of Certain Key Assumptions
The following table summarizes the estimated effect on the Company’s Significant Plans quarterly expense of a one-percentage-point change in the discount rate:
Three Months Ended June 30, 2020
In millions of dollarsOne-percentage-point increaseOne-percentage-point decrease
Pension
   U.S. plans$8  $(11) 
   Non-U.S. plans(2) 3  
Postretirement
   U.S. plans—  (1) 
   Non-U.S. plans(2) 2  



















Contributions
For the U.S. pension plans, there were no required minimum cash contributions during the first six months of 2020. The Company made discretionary contributions of $425 million and $220 million to the U.S. qualified defined benefit plan and Mexico—Banco Nacional Healthcare Postretirement Plan, respectively, during the second quarter of 2019.
The following table summarizes the Company’s actual contributions for the six months ended June 30, 2020 and 2019, as well as expected Company contributions for the remainder of 2020 and the actual contributions made in 2019:
 Pension plans Postretirement plans 
 
U.S. plans(1)
Non-U.S. plansU.S. plansNon-U.S. plans
In millions of dollars20202019202020192020201920202019
Company contributions(2) for the six months ended
 June 30
$28  $463  $72  $64  $—  $—  $5  $223  
Company contributions made during the remainder
of the year		—  18  —  86  —  4  —  2  
Company contributions expected to be made during
the remainder of the year		32  —  74  —  —  —  3  —  

(1)The U.S. plans include benefits paid directly by the Company for the nonqualified pension plans.
(2)Company contributions are composed of cash contributions made to the plans and benefits paid directly by the Company.

Defined Contribution Plans
The following table summarizes the Company’s contributions for the defined contribution plans:
Three Months Ended June 30,Six Months Ended June 30,
In millions of dollars2020201920202019
U.S. plans$101  $99  $203  198  
Non-U.S. plans74  71  150  139  

Post Employment Plans
The following table summarizes the components of net expense recognized in the Consolidated Statement of Income for the Company’s U.S. post employment plans:
Three Months Ended June 30,Six Months Ended June 30,
In millions of dollars2020201920202019
Service-related expense
Interest cost on benefit obligation$—  $1  $—  $1  
Expected return on plan assets—  (1) —  (1) 
Amortization of unrecognized:
   Net actuarial loss1  —  1  1  
Total service-related expense$1  $—  $1  $1  
Non-service-related expense$3  $2  $8  $6  
Total net expense $4  $2  $9  $7