Pension Benefits (Tables)

12 Months Ended

Mar. 31, 2020

Retirement Benefits [Abstract]

Schedule of net periodic expense for pension plans

The net periodic expense for the Company’s pension plans is as follows:

	U.S. Plans									Non-U.S. Plans
	Years Ended March 31,									Years Ended March 31,
(In millions)	2020			2019			2018			2020			2019			2018
Service cost - benefits earned during the year	$	—		$	—		$	3		$	16		$	15		$	15
Interest cost on projected benefit obligation	6			14			14			19			21			22
Expected return on assets	(4		)	(16		)	(19		)	(22		)	(23		)	(26		)
Amortization of unrecognized actuarial loss and prior service costs	2			5			6			6			4			5
Curtailment/settlement loss	127			4			2			—			1			1
Net periodic pension expense	$	131		$	7		$	6		$	19		$	18		$	17

Schedule of changes in benefit obligations and plan assets for pension plans

Information regarding the changes in benefit obligations and plan assets for the Company’s pension plans is as follows:

	U.S. Plans						Non-U.S. Plans
	Years Ended March 31,						Years Ended March 31,
(In millions)	2020			2019			2020			2019
Change in benefit obligations
Benefit obligation at beginning of period (1)	$	439		$	485		$	990		$	1,035
Service cost	—			—			16			15
Interest cost	6			14			19			21
Actuarial loss (gain)	20			4			(36		)	35
Benefits paid	(179		)	(64		)	(43		)	(36		)
Annuity Premium Transfer	(276		)	—			—			—
Expenses paid	—			—			—			(1		)
Acquisitions	—			—			2			1
Foreign exchange impact and other	—			—			(52		)	(80		)
Benefit obligation at end of period (1)	$	10		$	439		$	896		$	990
Change in plan assets
Fair value of plan assets at beginning of period	$	322		$	335		$	642		$	687
Actual return on plan assets	27			12			3			18
Employer and participant contributions	116			39			28			23
Benefits paid	(179		)	(64		)	(43		)	(36		)
Annuity Premium Transfer	(276		)	—			—			—
Expenses paid	—			—			(1		)	(1		)
Foreign exchange impact and other	(10		)	—			(35		)	(49		)
Fair value of plan assets at end of period	$	—		$	322		$	594		$	642
Funded status at end of period	$	(10	)	$	(117	)	$	(302	)	$	(348	)
Amounts recognized on the balance sheet
Assets	$	—		$	7		$	49		$	20
Current liabilities (2)	(1		)	(115		)	(162		)	(13		)
Long-term liabilities	(9		)	(9		)	(189		)	(355		)
Total	$	(10	)	$	(117	)	$	(302	)	$	(348	)

(1) The benefit obligation is the projected benefit obligation.

(2)

Current liabilities includes $151 million reclassified from long-term liabilities to assets held for sale in 2020 in conjunction with the Company’s German wholesale business to be contributed to a joint venture as discussed in Financial Note 3, “Held for Sale”.

Schedule of projected benefit obligation, accumulated benefit obligation and fair value of plan assets for pension plans

The following table provides the projected benefit obligation, accumulated benefit obligation and fair value of plan assets for all the Company’s pension plans, including accumulated benefit obligation in excess of plan assets:

	U.S. Plans				Non-U.S. Plans
	March 31,				March 31,
(In millions)	2020		2019		2020		2019
Projected benefit obligation	$	10	$	439	$	896	$	990
Accumulated benefit obligation	10		439		856		949
Fair value of plan assets	—		322		594		642

Schedule of defined benefit plan amounts recognized in other comprehensive income (loss)

Amounts recognized in accumulated other comprehensive income (pre-tax) consist of:

	U.S. Plans				Non-U.S. Plans
	March 31,				March 31,
(In millions)	2020		2019		2020			2019
Net actuarial loss	$	1	$	133	$	149		$	186
Prior service credit	—		—		(3		)	(4		)
Total	$	1	$	133	$	146		$	182

Schedule of other changes in plan assets and benefit obligations recognized in other comprehensive income

Other changes in accumulated other comprehensive income (pre-tax) were as follows:

	U.S. Plans									Non-U.S. Plans
	Years Ended March 31,									Years Ended March 31,
(In millions)	2020			2019			2018			2020			2019			2018
Net actuarial loss (gain)	$	(3	)	$	8		$	(15	)	$	(24	)	$	42		$	(11	)
Prior service credit	—			—			—			—			—			(2		)
Amortization of:
Net actuarial loss	(129		)	(9		)	(8		)	(6		)	(5		)	(6		)
Prior service credit (cost)	—			—			—			—			—			—
Foreign exchange impact and other	—			—			—			(6		)	(12		)	19
Total recognized in other comprehensive loss (income)	$	(132	)	$	(1	)	$	(23	)	$	(36	)	$	25		$	—

Schedule of weighted-average assumptions used to estimate net periodic pension expense and actuarial present value of benefit obligations

Weighted-average assumptions used to estimate the net periodic pension expense and the actuarial present value of benefit obligations were as follows:

	U.S. Plans			Non-U.S. Plans
	Years Ended March 31,			Years Ended March 31,
	2020	2019	2018	2020	2019	2018
Net periodic pension expense
Discount rates	3.66%	3.83%	3.55%	2.03%	2.35%	2.34%
Rate of increase in compensation	N/A (1)	N/A (1)	4.00	2.93	3.13	2.72
Expected long-term rate of return on plan assets	4.00	5.25	6.25	3.01	3.71	4.03
Benefit obligation
Discount rates	3.08%	3.65%	3.69%	2.03%	2.13%	2.35%
Rate of increase in compensation	N/A (1)	N/A (1)	N/A (1)	2.93	3.18	2.59

(1)

This assumption is no longer needed in actuarial valuations as U.S. plans are frozen or have fixed benefits for the remaining active participants.

Summary of pension plan assets using fair value hierarchy by asset class

The following tables represent the Company’s pension plan assets as of March 31, 2020 and 2019, using the fair value hierarchy by asset class:

	U.S. Plans								Non-U.S. Plans
	March 31, 2020								March 31, 2020
(In millions)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	—	$	—	$	—	$	—	$	13	$	—	$	—	$	13
Equity securities:
Common and preferred stock	—		—		—		—		—		—		—		—
Equity commingled funds	—		—		—		—		53		75		—		128
Fixed income securities:
Government securities	—		—		—		—		6		139		—		145
Corporate bonds	—		—		—		—		14		17		—		31
Mortgage-backed securities	—		—		—		—		—		—		—		—
Asset-backed securities and other	—		—		—		—		—		—		—		—
Fixed income commingled funds	—		—		—		—		107		101		—		208
Other:
Real estate funds	—		—		—		—		3		2		3		8
Other	—		—		—		—		19		—		—		19
Total	$	—	$	—	$	—	$	—	$	215	$	334	$	3	$	552
Assets held at NAV practical expedient (1)
Equity commingled funds							—								8
Fixed income commingled funds							—								—
Real estate funds							—								—
Other							—								34
Total plan assets							$	—							$	594

	U.S. Plans								Non-U.S. Plans
	March 31, 2019								March 31, 2019
(In millions)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Cash and cash equivalents	$	11	$	—	$	—	$	11	$	6	$	—	$	—	$	6
Equity securities:
Common and preferred stock	—		—		—		—		—		—		—		—
Equity commingled funds	—		—		—		—		62		82		—		144
Fixed income securities:
Government securities	—		33		—		33		4		135		—		139
Corporate bonds	—		273		—		273		8		18		—		26
Mortgage-backed securities	—		—		—		—		—		—		—		—
Asset-backed securities and other	—		5		—		5		—		—		—		—
Fixed income commingled funds	—		—		—		—		125		110		6		241
Other:
Real estate funds	—		—		—		—		2		3		—		5
Other	—		—		—		—		21		—		3		24
Total	$	11	$	311	$	—	$	322	$	228	$	348	$	9	$	585
Assets held at NAV practical expedient (1)
Equity commingled funds							—								8
Fixed income commingled funds							—								—
Real estate funds							—								—
Other							—								49
Total plan assets							$	322							$	642

(1)

Equity commingled funds, fixed income commingled funds, real estate funds and other investments for which fair value is measured using the NAV per share as a practical expedient are not leveled within the fair value hierarchy and are included as a reconciling item to total investments.