XML 68 R46.htm IDEA: XBRL DOCUMENT v3.19.3.a.u2
Postretirement benefits (Tables)
 12 Months Ended
Dec. 31, 2019
Retirement Benefits [Abstract]  
Schedule of Net Funded Status [Table Text Block]
Obligations and funded status
The funded status of the pension and other postretirement benefit plans as well as the amounts recognized in Accumulated other comprehensive income at December 31, 2019 and 2018 was as follows:
 
Pension Benefit Plans
 
 
Other Postretirement Benefit Plans
 
 
2019
 
 
2018
 
 
2019

 
2018
 
U.S. Plans

 
Non-U.S. Plans

 
U.S. Plans

 
Non-U.S. Plans

 
 
 
 
(in millions of U.S. dollars)
 
 
 
 
Benefit obligation, beginning of year
$
3,092

 
$
942

 
$
3,285

 
$
1,077

 
$
113

 
$
137

   Service cost
49

 
11

 
57

 
12

 
—

 
1

   Interest cost
118

 
27

 
105

 
27

 
4

 
3

   Actuarial loss (gain)
443

 
124

 
(214
)
 
(71
)
 
3

 
(20
)
   Benefits paid
(121
)
 
(39
)
 
(108
)
 
(26
)
 
(17
)
 
(15
)
   Amendments
—

 
—

 
—

 
4

 
—

 
—

   Curtailments
—

 
(4
)
 
—

 
—

 
—

 
—

   Settlements
(12
)
 
(61
)
 
(33
)
 
(27
)
 
—

 
—

   Foreign currency revaluation and other
—

 
42

 
—

 
(54
)
 
—

 
7

Benefit obligation, end of year
$
3,569

 
$
1,042

 
$
3,092

 
$
942

 
$
103

 
$
113

Plan assets at fair value, beginning of year
$
2,784

 
$
1,008

 
$
3,109

 
$
1,172

 
$
143

 
$
157

   Actual return on plan assets
636

 
169

 
(218
)
 
(63
)
 
9

 
1

   Employer contributions
14

 
16

 
34

 
14

 
—

 
—

   Benefits paid
(121
)
 
(39
)
 
(108
)
 
(26
)
 
—

 
(15
)
   Settlements
(12
)
 
(61
)
 
(33
)
 
(27
)
 
—

 
—

   Foreign currency revaluation and other
—

 
48

 
—

 
(62
)
 
—

 
—

Plan assets at fair value, end of year
$
3,301

 
$
1,141

 
$
2,784

 
$
1,008

 
$
152

 
$
143

Funded status at end of year
$
(268
)
 
$
99

 
$
(308
)
 
$
66

 
$
49

 
$
30

Amounts recognized in Accumulated other comprehensive
income, not yet recognized in net periodic cost (benefit):

 
 
 
 
 
 
 
 
Net actuarial loss (gain)
$
(21
)
 
$
110

 
$
(15
)
 
$
112

 
$
(3
)
 
$
—

Prior service cost (benefit)
—

 
10

 
—

 
9

 
(114
)
 
(200
)
Total
$
(21
)
 
$
120

 
$
(15
)
 
$
121

 
$
(117
)
 
$
(200
)
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) [Table Text Block]
The funded status of the pension and other postretirement benefit plans as well as the amounts recognized in Accumulated other comprehensive income at December 31, 2019 and 2018 was as follows:
 
Pension Benefit Plans
 
 
Other Postretirement Benefit Plans
 
 
2019
 
 
2018
 
 
2019

 
2018
 
U.S. Plans

 
Non-U.S. Plans

 
U.S. Plans

 
Non-U.S. Plans

 
 
 
 
(in millions of U.S. dollars)
 
 
 
 
Benefit obligation, beginning of year
$
3,092

 
$
942

 
$
3,285

 
$
1,077

 
$
113

 
$
137

   Service cost
49

 
11

 
57

 
12

 
—

 
1

   Interest cost
118

 
27

 
105

 
27

 
4

 
3

   Actuarial loss (gain)
443

 
124

 
(214
)
 
(71
)
 
3

 
(20
)
   Benefits paid
(121
)
 
(39
)
 
(108
)
 
(26
)
 
(17
)
 
(15
)
   Amendments
—

 
—

 
—

 
4

 
—

 
—

   Curtailments
—

 
(4
)
 
—

 
—

 
—

 
—

   Settlements
(12
)
 
(61
)
 
(33
)
 
(27
)
 
—

 
—

   Foreign currency revaluation and other
—

 
42

 
—

 
(54
)
 
—

 
7

Benefit obligation, end of year
$
3,569

 
$
1,042

 
$
3,092

 
$
942

 
$
103

 
$
113

Plan assets at fair value, beginning of year
$
2,784

 
$
1,008

 
$
3,109

 
$
1,172

 
$
143

 
$
157

   Actual return on plan assets
636

 
169

 
(218
)
 
(63
)
 
9

 
1

   Employer contributions
14

 
16

 
34

 
14

 
—

 
—

   Benefits paid
(121
)
 
(39
)
 
(108
)
 
(26
)
 
—

 
(15
)
   Settlements
(12
)
 
(61
)
 
(33
)
 
(27
)
 
—

 
—

   Foreign currency revaluation and other
—

 
48

 
—

 
(62
)
 
—

 
—

Plan assets at fair value, end of year
$
3,301

 
$
1,141

 
$
2,784

 
$
1,008

 
$
152

 
$
143

Funded status at end of year
$
(268
)
 
$
99

 
$
(308
)
 
$
66

 
$
49

 
$
30

Amounts recognized in Accumulated other comprehensive
income, not yet recognized in net periodic cost (benefit):

 
 
 
 
 
 
 
 
Net actuarial loss (gain)
$
(21
)
 
$
110

 
$
(15
)
 
$
112

 
$
(3
)
 
$
—

Prior service cost (benefit)
—

 
10

 
—

 
9

 
(114
)
 
(200
)
Total
$
(21
)
 
$
120

 
$
(15
)
 
$
121

 
$
(117
)
 
$
(200
)
Defined Benefit Plan, Plan with Projected Benefit Obligation in Excess of Plan Assets [Table Text Block]
The following table provides information on pension plans where the benefit obligation is in excess of plan assets at December 31, 2019 and 2018:
 
2019
 
 
2018
 
 
U.S. Plans

 
Non-U.S. Plans

 
U.S. Plans

 
Non-U.S. Plans

(in millions of U.S. dollars)
 
 
Plans with projected benefit obligation in excess of plan assets:
 
 
 
 
 
 
 
Projected benefit obligation
$
3,569

 
$
236

 
$
3,092

 
$
222

Fair value of plan assets
3,301

 
175

 
2,784

 
170

Net funded status
$
(268
)
 
$
(61
)
 
$
(308
)
 
$
(52
)
Plans with accumulated benefit obligation in excess of plan assets:
 
 
 
 
 
 
 
Accumulated benefit obligation
$
3,569

 
$
173

 
$
3,066

 
$
115

Fair value of plan assets
$
3,301

 
$
140

 
$
2,784

 
$
86
Defined Benefit Plan, Plan with Accumulated Benefit Obligation in Excess of Plan Assets [Table Text Block]
The following table provides information on pension plans where the benefit obligation is in excess of plan assets at December 31, 2019 and 2018:
 
2019
 
 
2018
 
 
U.S. Plans

 
Non-U.S. Plans

 
U.S. Plans

 
Non-U.S. Plans

(in millions of U.S. dollars)
 
 
Plans with projected benefit obligation in excess of plan assets:
 
 
 
 
 
 
 
Projected benefit obligation
$
3,569

 
$
236

 
$
3,092

 
$
222

Fair value of plan assets
3,301

 
175

 
2,784

 
170

Net funded status
$
(268
)
 
$
(61
)
 
$
(308
)
 
$
(52
)
Plans with accumulated benefit obligation in excess of plan assets:
 
 
 
 
 
 
 
Accumulated benefit obligation
$
3,569

 
$
173

 
$
3,066

 
$
115

Fair value of plan assets
$
3,301

 
$
140

 
$
2,784

 
$
86
Defined Benefit Plan, Assumptions [Table Text Block]
The weighted-average assumptions used to determine the projected benefit obligation were as follows:
 
Pension Benefit Plans
 
 
 
 
U.S. Plans

 
Non-U.S. Plans

 
Other Postretirement Benefit Plans

 
 
 
December 31, 2019
 
 
 
 
 
Discount rate
3.20
%
 
2.39
%
 
2.70
%
Rate of compensation increase (1)
N/A

 
3.26
%
 
N/A

Interest crediting rate
4.10
%
 
 
 
 
December 31, 2018
 
 
 
 
 
Discount rate
4.20
%
 
3.10
%
 
3.78
%
Rate of compensation increase
4.00
%
 
3.37
%
 
N/A

Interest crediting rate
4.10
%
 
 
 
 
Schedule of Net Benefit Costs [Table Text Block]
The components of net pension and other postretirement benefit costs reflected in Net income and other changes in plan assets and benefit obligations recognized in other comprehensive income were as follows:
 
Pension Benefit Plans
 
 
Other Postretirement Benefit Plans
 
 
U.S. Plans
 
 
Non-U.S. Plans
 
 
Year Ended December 31
2019

 
2018

 
2017

 
2019

 
2018

 
2017

 
2019

 
2018

 
2017

(in millions of U.S. dollars)
 
 
 
 
 
 
 
Costs reflected in Net income:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Service cost
$
49

 
$
57

 
$
63

 
$
11

 
$
12

 
$
17

 
$
—

 
$
1

 
$
2

Non-service cost:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest cost
118

 
105

 
105

 
27

 
27

 
27

 
4

 
3

 
4

Expected return on plan assets
(189
)
 
(212
)
 
(189
)
 
(45
)
 
(50
)
 
(42
)
 
(4
)
 
(5
)
 
(5
)
Amortization of net actuarial loss
—

 
—

 
—

 
3

 
1

 
3

 
—

 
—

 
—

Amortization of prior service cost
—

 
—

 
—

 
—

 
—

 
—

 
(84
)
 
(85
)
 
(89
)
Curtailments
—

 
—

 
—

 
(1
)
 
—

 
(27
)
 
—

 
(2
)
 
(37
)
Settlements
2

 
2

 
—

 
1

 
3

 
—

 
—

 
—

 
—

Total non-service benefit
(69
)
 
(105
)
 
(84
)
 
(15
)
 
(19
)
 
(39
)
 
(84
)
 
(89
)
 
(127
)
Net periodic benefit
$
(20
)
 
$
(48
)
 
$
(21
)
 
$
(4
)
 
$
(7
)
 
$
(22
)
 
$
(84
)
 
$
(88
)
 
$
(125
)
Changes in plan assets and benefit obligations recognized in other comprehensive income
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net actuarial loss (gain)
$
(4
)
 
$
214

 
$
(21
)
 
$
6

 
$
34

 
$
(57
)
 
$
(2
)
 
$
(11
)
 
$
(3
)
Prior service cost (benefit)
—

 
—

 
—

 
1

 
3

 
—

 
—

 
—

 
(23
)
Amortization of net actuarial loss
—

 
—

 
—

 
(3
)
 
(1
)
 
(3
)
 
—

 
(1
)
 
—

Amortization of prior service cost
—

 
—

 
—

 
—

 
—

 
—

 
84

 
85

 
89

Curtailments
—

 
—

 
—

 
(3
)
 
—

 
(6
)
 
—

 
3

 
39

Settlements
(2
)
 
(2
)
 
1

 
(1
)
 
(3
)
 
—

 
—

 
—

 
—

Total decrease (increase) in other comprehensive income
$
(6
)
 
$
212

 
$
(20
)
 
$
—

 
$
33

 
$
(66
)
 
$
82

 
$
76

 
$
102



The service and non-service cost components of net periodic (benefit) cost reflected in the Consolidated statements of operations were as follows:
 
 
Pension Benefit Plans
 
 
Other Postretirement Benefit Plans
 
Year Ended December 31
 
2019
 
2018
 
2017
 
2019
 
2018
 
2017
(in millions of U.S. dollars)
 
 
 
 
 
 
Service Cost:
 
 
 
 
 
 
 
 
 
 
 
 
Losses and loss expenses
 
$
6

 
$
7

 
$
7

 
$
—

 
$
—

 
$
—

Administrative expenses
 
54

 
62

 
73

 
—

 
1

 
2

Total service cost
 
60

 
69

 
80

 
—

 
1

 
2

Non-Service Cost:
 
 
 
 
 
 
 
 
 
 
 
 
Losses and loss expenses
 
(7
)
 
(10
)
 
(8
)
 
(8
)
 
(9
)
 
(13
)
Administrative expenses
 
(77
)
 
(114
)
 
(115
)
 
(76
)
 
(80
)
 
(114
)
Total non-service benefit
 
(84
)
 
(124
)
 
(123
)
 
(84
)
 
(89
)
 
(127
)
Net periodic benefit
 
$
(24
)
 
$
(55
)
 
$
(43
)
 
$
(84
)
 
$
(88
)
 
$
(125
)
Schedule of assumptions used, net periodic benefit costs [Table Text Block] he weighted-average assumptions used to determine the net periodic pension and other postretirement benefit costs were as follows:
 
Pension Benefit Plans
 
 
 
 
U.S. Plans

 
Non-U.S. Plans

 
Other Postretirement Benefit Plans


Year Ended December 31
 
 
2019
 
 
 
 
 
Discount rate in effect for determining service cost
4.23
%
 
4.48
%
 
4.04
%
Discount rate in effect for determining interest cost
3.94
%
 
2.88
%
 
3.69
%
Rate of compensation increase
4.00
%
 
3.37
%
 
N/A

Expected long-term rate of return on plan assets
7.00
%
 
4.40
%
 
3.00
%
Interest crediting rate
4.10
%
 
N/A

 
N/A

2018
 
 
 
 
 
Discount rate in effect for determining service cost
3.62
%
 
3.97
%
 
2.84
%
Discount rate in effect for determining interest cost
3.27
%
 
2.55
%
 
2.62
%
Rate of compensation increase
4.00
%
 
3.46
%
 
N/A

Expected long-term rate of return on plan assets
7.00
%
 
4.32
%
 
2.59
%
Interest crediting rate
4.10
%
 
N/A

 
N/A

2017
 
 
 
 
 
Discount rate in effect for determining service cost
4.20
%
 
3.55
%
 
2.84
%
Discount rate in effect for determining interest cost
3.53
%
 
2.61
%
 
2.44
%
Rate of compensation increase
4.00
%
 
3.57
%
 
N/A

Expected long-term rate of return on plan assets
7.00
%
 
4.23
%
 
3.00
%
Interest crediting rate
4.10
%
 
N/A

 
N/A
Schedule of Health Care Cost Trend Rates [Table Text Block]
The weighted-average healthcare cost trend rate assumptions used to measure the expected cost of healthcare benefits were as follows:
 
U.S. Plans
 
 
Non-U.S. Plans
 
 
2019

 
2018

 
2017

 
2019

 
2018

 
2017

Healthcare cost trend rate
6.32
%
 
6.68
%
 
7.01
%
 
5.24
%
 
6.29
%
 
6.61
%
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate)
4.50
%
 
4.50
%
 
4.50
%
 
4.00
%
 
4.50
%
 
4.50
%
Year that the rate reaches the ultimate trend rate
2038

 
2038

 
2038

 
2040

 
2029

 
2029
Schedule of Allocation of Plan Assets [Table Text Block]
The following tables present the fair values of the pension plan assets, by valuation hierarchy. For additional information on how we classify these assets within the valuation hierarchy, refer to Note 4 to the Consolidated financial statements.
December 31, 2019
Pension Benefit Plans
 
(in millions of U.S. dollars)
Level 1

 
Level 2

 
Level 3

 
Total

U.S. Plans:
 
 
 
 
 
 
 
Short-term investments
$
18

 
$
37

 
$
—

 
$
55

U.S. Treasury and agency
466

 
134

 
—

 
600

Foreign and corporate bonds
—

 
749

 
—

 
749

States, municipalities, and political subdivisions

—

 
2

 
—

 
2

Equity securities
1,467

 
—

 
—

 
1,467

Total U.S. Plan assets (1)
$
1,951

 
$
922

 
$
—

 
$
2,873

Non-U.S. Plans:
 
 
 
 
 
 
 
Short-term investments
$
2

 
$
—

 
$
—

 
$
2

Foreign and corporate bonds
—

 
598

 
—

 
598

Equity securities
112

 
318

 
—

 
430

Total Non-U.S. Plan assets (1)
$
114

 
$
916

 
$
—

 
$
1,030

(1) 
Excluded from the table above are $428 million and $107 million of other investments measured using NAV as a practical expedient related to the U.S. Plans and Non-U.S. Plans, respectively, and limited partnerships of $4 million in Non-U.S. Plans.
December 31, 2018
Pension Benefit Plans
 
(in millions of U.S. dollars)
Level 1

 
Level 2

 
Level 3

 
Total

U.S. Plans:
 
 
 
 
 
 
 
Short-term investments
$
10

 
$
74

 
$
—

 
$
84

U.S. Treasury and agency
433

 
82

 
—

 
515

Foreign and corporate bonds
—

 
641

 
—

 
641

Equity securities
1,050

 
—

 
—

 
1,050

Total U.S. Plan assets (1)
$
1,493

 
$
797

 
$
—

 
$
2,290

Non-U.S. Plans:
 
 
 
 
 
 
 
Short-term investments
$
7

 
$
—

 
$
—

 
$
7

Foreign and corporate bonds
—

 
418

 
—

 
418

Equity securities
103

 
371

 
—

 
474

Total Non-U.S. Plan assets (1)
$
110

 
$
789

 
$
—

 
$
899

(1) 
Excluded from the table above are $494 million and $109 million of other investments measured using NAV as a practical expedient related to the U.S. Plans and Non-U.S. Plans, re
Schedule of expected future benefit payments Expected future benefit payments are as follows:
 
Pension Benefit Plans
 
 
Other Postretirement Benefit Plans

For the years ending December 31
U.S. Plans

 
Non-U.S. Plans

(in millions of U.S. dollars)
 
2020
$
151

 
$
27

 
$
19

2021
157

 
28

 
21

2022
164

 
27

 
22

2023
169

 
29

 
18

2024
174

 
29

 
13

2025-2029
931

 
171

 
11