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EMPLOYEE BENEFIT PLANS
 12 Months Ended
Dec. 31, 2024
Retirement Benefits [Abstract]  
EMPLOYEE BENEFIT PLANS EMPLOYEE BENEFIT PLANS
Defined Benefit Pension Plans
The Company sponsors defined benefit pension plans that cover certain U.S. and international employees, primarily in the United Kingdom, Canada and Germany, which provide benefits of stated amounts for each year of service of the employee. The Company uses a December 31 measurement date for the plans.
The following tables provide information regarding the Company’s significant defined benefit pension plans summarized by U.S. and international components.
Obligations and Funded Status
 U.S.International
In millions2024202320242023
Change in projected benefit obligation    
Obligation at beginning of year$(55)$(29)$(251)$(236)
Service cost— — (3)(3)
Interest cost(3)(2)(11)(11)
Employee contributions— — (1)(1)
Plan settlements, curtailments and amendments— 1 1 1 
Benefits paid4 4 13 14 
Acquisition— (29)— — 
Actuarial gain (loss)2 — 17 (5)
Effect of currency rate changes— — 10 (10)
Obligation at end of year$(52)$(55)$(225)$(251)
Change in plan assets    
Fair value of plan assets at beginning of year$55 $31 $211 $201 
Actual return on plan assets1 2 10 10 
Employer contributions— — 5 6 
Employee contributions— — 1 1 
Benefits paid(4)(4)(13)(14)
Settlements and other— — (1)(1)
Acquisition— 26 — — 
Effect of currency rate changes— — (9)8 
Fair value of plan assets at end of year$52 $55 $204 $211 
Funded status    
Fair value of plan assets$52 $55 $204 $211 
Benefit obligations(52)(55)(225)(251)
Funded status$— $— $(21)$(40)
Amounts recognized in the statement of financial position consist of:    
Noncurrent assets$— $— $29 $13 
Current liabilities— — (2)(2)
Noncurrent liabilities— — (48)(51)
Net amount recognized$— $— $(21)$(40)
Amounts recognized in Accumulated other comprehensive loss, before tax at December 31, consist of:    
Prior service cost— — (1)(1)
Net actuarial loss(13)(14)(44)(64)
Net amount recognized$(13)$(14)$(45)$(65)
The aggregate accumulated benefit obligation for the U.S. pension plans was $52 million and $55 million as of December 31, 2024 and 2023, respectively. The aggregate accumulated benefit obligation for the international pension plans was $214 million and $241 million as of December 31, 2024 and 2023, respectively.
 International
In millions20242023
Information for pension plans with accumulated benefit obligations in excess of Plan assets:  
Projected benefit obligation$(74)$(185)
Accumulated benefit obligation(65)(178)
Fair value of plan assets25 133 
Information for pension plans with projected benefit obligations in excess of plan assets:  
Projected benefit obligation$(79)$(194)
Accumulated benefit obligation(69)(185)
Fair value of plan assets29 141 
Components of Net Periodic Benefit Costs
 U.S.International
In millions202420232022202420232022
Service cost$— $— $— $3 $3 $3 
Interest cost3 2 1 11 11 6 
Expected return on plan assets(3)(2)(1)(11)(10)(12)
Amortization of net loss— — 1 3 3 2 
Settlement and curtailment gains recognized— (1)— — — (1)
Net periodic benefit (income) cost$— $(1)$1 $6 $7 $(2)
Interest cost is recorded in Interest expense, net on the Consolidated Statements of Income. Expected return on plan assets, Amortization of net loss, and Settlement and curtailment losses recognized are recorded within Other income, net on the Consolidated Statements of Income. Service cost is considered a component of employee compensation and is recorded within Cost of sales or Selling, general and administrative expenses depending on the plan participants relative job function.
Amounts recognized in Other comprehensive income during 2024 for other changes in plan assets and benefit obligations are not material. The amounts of net actuarial loss and prior service cost included in Other comprehensive loss expected to be recognized as components of periodic benefit costs in 2025 are not material.
The weighted average assumptions in the following table represent the rates used to develop the actuarial present value of the projected benefit obligation for the year listed.
 U.S.International
 202420232022202420232022
Discount rate5.70 %5.25 %5.58 %4.68 %4.38 %4.77 %
Expected return on plan assets4.50 %3.80 %3.80 %5.53 %5.09 %4.25 %
Rate of compensation increase3.00 %3.00 %3.00 %2.92 %2.88 %2.78 %
The discount rate is based on settling the pension obligation with high grade, high yield corporate bonds, and the rate of compensation increase is based on actual experience. The expected return on plan assets is based on historical performance as well as expected future rates of return on plan assets considering the current investment portfolio mix and the long-term investment strategy.
Pension Plan Assets
The Company has established formal investment policies for the assets associated with our pension plans. Objectives include maximizing long-term return at acceptable risk levels and diversifying among asset classes. Asset allocation targets are based on periodic asset liability study results which help determine the appropriate investment strategies. The investment policies permit variances from the targets within certain parameters. The plan assets consist primarily of equity security funds, debt security funds, insurance contracts, and cash and cash equivalent investments. The assets held in these funds are generally actively managed and are valued at the net asset value per share multiplied by the number of shares held as of the measurement
date. (See Note 17). Plan assets by asset category at December 31, 2024 and 2023 are as follows:
 U.S.International
In millions2024202320242023
Pension Plan Assets    
Equity security funds$8 $3 $59 $56 
Debt security funds42 35 118 129 
Insurance contracts— — 11 12 
Cash and cash equivalents and other2 17 16 14 
Fair value of plan assets$52 $55 $204 $211 
The U.S. plan has a target asset allocation of 15% equity securities and 85% debt securities. The International plan has a target asset allocation of 12% equity securities, 24% debt securities and 64% in other investments. Investment policies are determined by the respective Plan’s Pension Committee and set forth in its Investment Policy. Rebalancing of the asset allocation occurs on a quarterly basis.
The Company’s defined benefit pension plan assets consist primarily of equity security funds, debt security funds, insurance contracts, and temporary cash and cash equivalent investments. These investments are comprised of a number of investment funds that invest in a diverse portfolio of assets including equity securities, corporate and governmental bonds, and money markets. Trusts are valued at the net asset value (“NAV”) as determined by their custodian. NAV represents the accumulation of the unadjusted quoted close prices on the reporting date for the underlying investments divided by the total shares outstanding at the reporting dates. 
The following tables summarize our pension plan assets measured at fair value on a recurring basis by fair value hierarchy level (See Note 17):
December 31, 2024
In millionsNAVLevel 1Level 2Level 3Total
US:     
Equity$— $8 $— $— $8 
Debt Securities — 9 33 — 42 
Cash and cash equivalents— 2 — — 2 
International:     
Equity6 14 39 — 59 
Debt Securities— 3 115 — 118 
Insurance Contracts— — 3 8 11 
Cash and cash equivalents and other— 6 10 — 16 
Total$6 $42 $200 $8 $256 
December 31, 2023
In millionsNAVLevel 1Level 2Level 3Total
US:     
Equity$— $3 $— $— $3 
Debt Securities— 5 30 — 35 
Cash and cash equivalents— 17 — — 17 
International:     
Equity6 14 36 — 56 
Debt Securities— 3 126 — 129 
Insurance Contracts— — 4 8 12 
Cash and cash equivalents and other— 6 8 — 14 
Total$6 $48 $204 $8 $266 
There were no material changes to the Level 3 assets during 2024 and 2023.
Cash Flows
The Company’s funding methods are based on governmental requirements and differ from those methods used to recognize pension expense. The Company does not expect material contributions to the international pension plans and does not expect to make a contribution to the U.S. pension plan during 2025.
Benefit payments expected to be paid to plan participants are as follows:
In millionsU.S.International
Year ended December 31,  
2025$4 $15 
2026$4 $15 
2027$4 $16 
2028$4 $16 
2029$4 $17 
2030 through 2034$20 $86 
Defined Contribution Plans
The Company participates in certain defined contribution plans. Costs of approximately $65 million were recognized during 2024 and $60 million and $55 million was recognized during 2023 and 2022, respectively. The 401(k) savings plan is a participant directed defined contribution plan that holds shares of the Company’s stock as one of the investment options. At December 31, 2024 and 2023, the plan held on behalf of its participants approximately 329,000 shares with a market value of $62 million, and approximately 355,000 shares with a market value of $45 million, respectively.