Employee Benefit Obligations (Tables)

12 Months Ended

Dec. 31, 2016

Employee Benefit Obligations

Schedule of employee benefit obligations

	December 31,
($in millions)	2016		2015
Underfunded defined benefit pension liabilities	$	963	$	707
Less current portion		(25)		(19)
Long-term defined benefit pension liabilities		938		688
Retiree medical and other postemployment benefits		226		148
Deferred compensation plans		272		281
Other		61		30
	$	1,497	$	1,147

Defined Benefit Pension Plans

Employee Benefit Obligations

Analysis of change in benefit accruals

	December 31,
	2016							2015
($ in millions)	U.S.		Foreign			Total		U.S.		Foreign			Total
Change in projected benefit obligation:
Benefit obligation at prior year end	$	1,362	$	647		$	2,009	$	1,416	$	743		$	2,159
Service cost		58		14			72		52		15			67
Interest cost		96		58			154		57		18			75
Benefits paid		(161)		(94)			(255)		(100)		(28)			(128)
Net actuarial (gains) losses		(47)		344			297		(71)		(37)			(108)
Business acquisition		1,888		3,196			5,084		—		—			—
Business divestiture		—		(440)			(440)		—		—			—
Other		(10)		2			(8)		8		—			8
Effect of exchange rates		—		(290)			(290)		—		(64)			(64)
Benefit obligation at year end		3,186		3,437			6,623		1,362		647			2,009
Change in plan assets:
Fair value of assets at prior year end		988		316			1,304		1,098		337			1,435
Actual return on plan assets		(17)		163			146		(11)		10			(1)
Employer contributions		111		185			296		1		2			3
Contributions to unfunded plans (a)		4		18			22		—		18			18
Benefits paid		(161)		(94)			(255)		(100)		(28)			(128)
Business acquisition		1,592		3,296			4,888		—		—			—
Business divestiture		—		(303)			(303)		—		—			—
Other		(10)		2			(8)		—		—			—
Effect of exchange rates		—		(283)			(283)		—		(23)			(23)
Fair value of assets at end of year		2,507		3,300			5,807		988		316			1,304
Underfunded status	$	(679)	$	(137)	(a)	$	(816)	$	(374)	$	(331)	(a)	$	(705)

(a) The company’s German, Swedish and certain U.S. plans are unfunded and the liabilities are included in the company’s consolidated balance sheets. Benefits are paid directly by the company to the participants. The unfunded German, Swedish and certain U.S. plans (all acquired as part of Rexam) represented $246 million, $20 million and $40 million of the total underfunded status at December 31, 2016, respectively. The German plans represented $317 million of the underfunded status at December 31, 2015.

Schedule of amounts recognized in the consolidated balance sheets

	December 31,
	2016						2015
($ in millions)	U.S.		Foreign		Total		U.S.		Foreign		Total
Long-term pension asset	$	—	$	147	$	147	$	—	$	2	$	2
Defined benefit pension liabilities (a)		(679)		(284)		(963)		(374)		(333)		(707)
	$	(679)	$	(137)	$	(816)	$	(374)	$	(331)	$	(705)

(a) As part of the Rexam acquisition, there is an unfunded, non-qualified U.S. plan obligation of $33 million that has been annuitized with a corresponding asset of $33 million recorded in other assets.

Schedule of amounts recognized in accumulated other comprehensive earnings (loss)

	December 31,
	2016						2015
($ in millions)	U.S.		Foreign		Total		U.S.		Foreign		Total
Net actuarial loss	$	585	$	272	$	857	$	587	$	129	$	716
Net prior service cost (credit)		11		—		11		11		(2)		9
Tax effect and currency exchange rates		(232)		(46)		(278)		(253)		(27)		(280)
	$	364	$	226	$	590	$	345	$	100	$	445

Summary of information for plans with an accumulated benefit obligation in excess of plan assets

	December 31,
	2016						2015
($ in millions)	U.S.		Foreign		Total		U.S.		Foreign		Total
Projected benefit obligation	$	3,186	$	326	$	3,512	$	1,362	$	359	$	1,721
Accumulated benefit obligation		3,130		322		3,452		1,302		339		1,640
Fair value of plan assets (a)		2,507		43		2,550		988		35		1,023

(a) The German, Swedish and certain U.S. plans are unfunded and, therefore, there is no fair value of plan assets associated with them.

Components of net periodic benefit cost

	Years Ended December 31,
	2016							2015						2014
($ in millions)	U.S.		Foreign			Total		U.S.		Foreign		Total		U.S.		Foreign		Total
Ball-sponsored plans:
Service cost	$	58	$	14		$	72	$	52	$	15	$	67	$	46	$	14	$	60
Interest cost		96		58			154		57		18		75		62		26		88
Expected return on plan assets		(106)		(70)			(176)		(79)		(20)		(99)		(83)		(17)		(100)
Amortization of prior service cost		(1)		—			(1)		(1)		—		(1)		—		(1)		(1)
Recognized net actuarial loss		32		6			38		39		9		48		30		8		38
Curtailment and settlement losses (gains) including special termination benefits (a)		—		80	(a)		80		5		—		5		45		—		45
Net periodic benefit cost for Ball sponsored plans		79		88			167		73		22		95		100		30		130
Net periodic benefit cost for multi-employer plans		2		—			2		1		—		1		2		—		2
Total net periodic benefit cost	$	81	$	88		$	169	$	74	$	22	$	96	$	102	$	30	$	132

(a) In June 2016, as part of the sale of the Divestment Business, Ball divested plans in certain locations. The divestitures in certain locations resulted in a non-cash curtailment charge of $80 million.

Schedule of target asset allocations established

	U.S.
	Legacy Ball		Legacy Rexam		Canada		Ireland		U.K.
Cash and cash equivalents	0-10	%	0-2	%	—	%	—	%	50-80	%(c)
Equity securities	10-75	%(a)	13-18	%	5	%	44-52	%	5-40	%
Fixed income securities	25-70	%(b)	75-95	%	95	%	37-47	%	50-80	%(c)
Completion	—	%	10-20	%(d)	—	%	—	%	—	%
Alternative investments	0-35	%	—	%	—	%	9-11	%	0-20	%

(a) Equity securities may consist of: (1) up to 25 percent large cap equities, (2) up to 10 percent mid cap equities, (3) up to 10 percent small cap equities, (4) up to 35 percent foreign equities and (5) up to 35 percent special equities. Holdings in Ball Corporation common stock or Ball bonds cannot exceed 5 percent of the trust’s assets.

(b) Debt securities may include up to 10 percent non-investment grade bonds, up to 10 percent bank loans and up to 15 percent international bonds.

(c) The target allocation for fixed income securities and cash and cash equivalents combined is 50 to 80 percent.

(d) Completion assets are fixed income derivatives to manage interest rate and credit exposure for the entire asset portfolio.

Schedule of actual weighted average asset allocations

	2016		2015
Cash and cash equivalents	6	%	2	%
Equity securities	18	%	37	%
Fixed income securities	68	%	52	%
Alternative investments	8	%	9	%
	100	%	100	%

U.S.

Employee Benefit Obligations

Summary of fair value measurement levels assigned to the plan assets

	December 31, 2016
($ in millions)	Level 1		Level 2		Total
U.S. pension assets, at fair value (includes U.S. Rexam assets):
Cash and cash equivalents	$	—	$	185	$	185
Corporate equity securities:
Consumer discretionary		53		—		53
Financials		43		—		43
Healthcare		27		—		27
Industrials		47		—		47
Information technology		66		—		66
Other		39		—		39
U.S. government and agency securities:
FHLMC mortgage backed securities		—		17		17
FNMA mortgage backed securities		—		64		64
Municipal bonds		—		49		49
Treasury bonds		85		—		85
Other		8		18		26
Corporate bonds and notes:
Communications		—		58		58
Consumer discretionary		—		57		57
Consumer staples		—		64		64
Financials		—		280		280
Healthcare		—		98		98
Industrials		—		115		115
Information technology		—		84		84
Oil and gas		—		122		122
Private placement		—		76		76
Utilities		—		139		139
Other		—		71		71
Commingled funds
International		17		—		17
Total level 1 and level 2	$	385	$	1,497		1,882
Other investments measured at net asset value (a)						625
Total assets					$	2,507

(a) In accordance with recently adopted accounting guidance, certain investments that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the change in plan assets reconciliation.

	December 31, 2015
	Level 1		Level 2		Total
($ in millions)
U.S. pension assets, at fair value:
Cash and cash equivalents	$	3	$	66	$	69
Corporate equity securities:
Consumer discretionary		47		—		47
Financials		37		—		37
Healthcare		26		—		26
Industrials		61		—		61
Information technology		53		—		53
Other		34		—		34
U.S. government and agency securities:
FHLMC mortgage backed securities		—		14		14
FNMA mortgage backed securities		—		56		56
Treasury bonds		32		—		32
Other		12		12		24
Corporate bonds and notes:
Financials		—		92		92
Industrials		—		21		21
Oil and gas		—		22		22
Private placement		—		37		37
Other		—		103		103
Commingled funds
International		16		—		16
Other		—		1		1
Total level 1 and level 2	$	321	$	424		745
Other investments measured at net asset value (a)						243
Total assets					$	988

(a) In accordance with recently adopted accounting guidance, certain investments that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the change in plan assets reconciliation.

United Kingdom.

Employee Benefit Obligations

Summary of fair value measurement levels assigned to the plan assets

		December 31,
($ in millions)		2016		2015
		Level 1		Level2
U.K. pension assets, at fair value (a):
Cash and cash equivalents	$	279	$	11
Fixed income commingled funds		1,538		—
Other		31		—
Total level 1		1,848		11
Other investments measured at net asset value (b)		1,374		261
Total assets	$	3,222	$	272

(a) The 2016 assets include only acquired Rexam plan.

(b) In accordance with recently adopted accounting guidance, certain investments that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the change in plan assets reconciliation.

Other post retirement benefits

Employee Benefit Obligations

Analysis of change in benefit accruals

($ in millions)	2016		2015
Change in benefit obligation:
Benefit obligation at prior year end	$	135	$	154
Service cost		3		2
Interest cost		8		6
Benefits paid		(16)		(9)
Net actuarial (gain) loss		(18)		(17)
Business acquisition		120		—
Special termination benefits		—		2
Effect of exchange rates and other		—		(3)
Benefit obligation at year end	$	232	$	135

Components of net periodic benefit cost

	Years Ended December 31,
($ in millions)	2016		2015		2014
Service cost	$	3	$	2	$	2
Interest cost		8		6		7
Amortization of prior service cost		(1)		(1)		(1)
Recognized net actuarial loss (gain)		(3)		(2)		(1)
Special termination benefits		—		2		—
Net periodic benefit cost	$	7	$	7	$	7

Summary of weighted average assumptions used to determine benefit obligations

	U.S.						Canada
	2016	(a)	2015		2014		2016		2015		2014
Discount rate	4.16	%	4.60	%	4.15	%	3.50	%	3.50	%	3.50	%
Rate of compensation increase (b)	4.50	%	N/A		N/A		NA		NA		NA

(a) In 2016, the weighted average assumptions for U.S. other postretirement benefit plans include plans assumed as part of the Rexam acquisition.

(b) In 2016, the rate of compensation increase is not applicable for the U.S. Ball other postretirement benefit plans.

Summary of weighted average assumptions used to determine net periodic benefit cost

	U.S.						Canada
	2016	(a)	2015		2014		2016		2015		2014
Discount rate	4.04	%	4.15	%	5.00	%	3.50	%	3.50	%	4.25	%
Rate of compensation increase (b)	4.50	%	N/A		N/A		NA		NA		NA

(a) In 2016, the weighted average assumptions for U.S. other postretirement benefit plans include plans assumed as part of the Rexam acquisition.

(b) In 2016, the rate of compensation increase is not applicable for the U.S. Ball other postretirement benefit plans.

North American

Employee Benefit Obligations

Summary of weighted average assumptions used to determine benefit obligations

	U.S.						Canada
	2016	(a)	2015		2014		2016		2015		2014
Discount rate	4.26	%	4.60	%	4.15	%	3.50	%	3.50	%	3.50	%
Rate of compensation increase	4.14	%	4.80	%	4.80	%	NA		3.00	%	3.00	%

(a) In 2016, the weighted average assumptions for U.S. pension plans include pension plans assumed as part of the Rexam acquisition.

Summary of weighted average assumptions used to determine net periodic benefit cost

	U.S. (a)						Canada
	2016		2015		2014		2016		2015		2014
Discount rate	4.60	%	4.15	%	5.00	%	3.50	%	3.50	%	4.25	%
Rate of compensation increase	4.98	%	4.80	%	4.80	%	NA		3.00	%	3.00	%
Expected long-term rate of return on assets	6.88	%	7.25	%	7.25	%	4.00	%	4.00	%	4.56	%

(a) In 2016, the weighted average assumptions for U.S. pension plans include pension plans assumed as part of the Rexam acquisition.

European

Employee Benefit Obligations

Summary of weighted average assumptions used to determine benefit obligations

	U.K.						Germany
	2016	(a)	2015		2014		2016	(a)	2015		2014
Discount rate	2.70	%	3.75	%	3.75	%	1.54	%	2.25	%	1.75	%
Rate of compensation increase	4.30	%	3.00	%	3.00	%	2.50	%	2.50	%	2.50	%
Pension increase	3.30	%	3.15	%	3.15	%	1.50	%	1.75	%	1.75	%

(a) In 2016, the U.K. weighted average assumptions are for the acquired Rexam plan only, and the German assumptions include pension plans assumed as part of the Rexam acquisition and one legacy Ball plan.

Summary of weighted average assumptions used to determine net periodic benefit cost

	U.K.  (a)						Germany (a)
	2016		2015		2014		2016		2015		2014
Discount rate	2.90	%	3.75	%	4.50	%	1.29	%	1.75	%	3.25	%
Rate of compensation increase	3.80	%	3.00	%	4.25	%	2.00	%	2.50	%	2.75	%
Pension increase	2.80	%	3.15	%	3.40	%	1.50	%	1.75	%	1.75	%
Expected long-term rate of return on assets	3.40	%	6.50	%	6.50	%	N/A		N/A		N/A

(a) In 2016, the U.K. assumption is for the Rexam plan acquired only and the German weighted average assumptions include pension plans assumed as part of the Rexam acquisition and one legacy Ball plan.