XML 58 R44.htm IDEA: XBRL DOCUMENT v3.10.0.1
Employee Retirement Plans (Tables)
 12 Months Ended
Dec. 31, 2018
Retirement Benefits [Abstract]  
Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets [Table Text Block]
The outstanding obligation is as follows:
 
As of December 31, 2018
(in millions)
Accumulated Benefit Obligation (ABO)
 
Projected
Benefit
Obligation (PBO)
 
Fair value of Plan Assets
 
Underfunded
PBO Recognized
Executive Retirement Plan
$
17

 
$
20

 
$
—

 
$
20

Guidant Supplemental Retirement Plan (frozen)
30

 
30

 
—

 
30

International Retirement Plans
166

 
182

 
107

 
75

 
213

 
$
232

 
$
107

 
$
125


 
As of December 31, 2017
(in millions)
Accumulated Benefit Obligation (ABO)
 
Projected
Benefit
Obligation (PBO)
 
Fair value of Plan Assets
 
Underfunded
PBO Recognized
Executive Retirement Plan
$
18

 
$
21

 
$
—

 
$
21

Guidant Supplemental Retirement Plan (frozen)
33

 
33

 
—

 
33

International Retirement Plans
138

 
153

 
87

 
66

 
$
189

 
$
207

 
$
87

 
$
120
Schedule of Changes in Projected Benefit Obligations [Table Text Block]
A rollforward of the changes in the PBO for our funded retirement plans is as follows:
 
Year Ended December 31,
(in millions)
2018
 
2017
Beginning obligations
$
207

 
$
152

Acquired and established plans (1)
23

 
33

Service costs
14

 
13

Interest costs
4

 
4

Actuarial (gain) loss
(1
)
 
2

Plan amendments and assumption changes
(2
)
 
(1
)
Benefits paid
(10
)
 
(8
)
Impact of foreign currency fluctuations
(3
)
 
11

Ending obligation
$
232

 
$
207

(1)
Plans obtained through acquisition and other increases in connection with our international operations.
Schedule of Defined Benefit Plans Disclosures [Table Text Block]
The critical assumptions associated with our employee retirement plans as of December 31, 2018 and are as follows:
 
Discount Rate
 
Expected Return on Plan Assets
 
Rate of Compensation Increase
Executive Retirement Plan
4.00%
 
N/A
 
3.00%
Guidant Supplemental Retirement Plan (frozen)
4.25%
 
N/A
 
N/A
International Retirement Plans
0.50% - 2.34%
 
1.90% - 4.10%
 
1.50% - 6.78%

The critical assumptions associated with our employee retirement plans as of December 31, 2017 are as follows:
 
Discount Rate
 
Expected Return on Plan Assets
 
Rate of Compensation Increase
Executive Retirement Plan
3.25%
 
N/A
 
3.00%
Guidant Supplemental Retirement Plan (frozen)
3.50%
 
N/A
 
N/A
International Retirement Plans
0.50% - 2.25%
 
2.50% - 4.10%
 
1.50% - 6.78%
Pension and Other Postretirement Plans, Policy [Policy Text Block]
We base our discount rate on the rates of return available on high-quality bonds with maturities approximating the expected period over which benefits will be paid. The rate of compensation increase is based on historical and expected rate increases. We base our rate of expected return on plan assets on historical experience, our investment guidelines and expectations for long-term rates of return. Our international pension plan assets are invested in a variety of securities, primarily equity securities and government bonds. These securities are considered Level 1 and Level 2 investments
We also sponsor a voluntary 401(k) Retirement Savings Plan for eligible employees. We match 200 percent of employee elective deferrals for the first two percent of employee eligible compensation and 50 percent of employee elective deferrals greater than two percent, but not exceeding six percent, of employee eligible compensation. Total expense for our matching contributions to the plan was $87 million in 2018, $79 million in 2017 and $72 million in 2016.
Schedule of Changes in Fair Value of Plan Assets [Table Text Block]
A rollforward of the changes in the fair value of plan assets for our funded retirement plans is as follows:
 
Year Ended December 31,
(in millions)
2018
 
2017
Beginning fair value
$
87

 
$
54

Acquired and established plans (1)
16

 
19

Actual return on plan assets
(2
)
 
6

Employer contributions
14

 
10

Participant contributions
2

 
1

Benefits paid
(10
)
 
(8
)
Impact of foreign currency fluctuations
—

 
4

Ending fair value
$
107

 
$
87

(1)
Plans obtained through acquisition and other increases in connection with our international operations.