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PENSION PLANS AND OTHER POSTRETIREMENT BENEFITS (Tables)

12 Months Ended

Dec. 31, 2012



Net Periodic Benefit Cost for all Plans
	Defined Benefit Pension Plans									Other Postretirement Benefits
In millions	2012			2011			2010			2012			2011			2010
Service cost	$	28		$	25		$	16		$	2		$	2		$	2
Interest cost	189			200			209			17			19			23
Expected return on plan assets	(235		)	(255		)	(264		)	—			—			—
Amortization of prior service cost (credit)	7			7			7			(2		)	(2		)	(2		)
Amortization of net loss	60			85			59			—			—			—
Net periodic benefit cost	$	49		$	62		$	27		$	17		$	19		$	23



Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income (Loss) for all Plans
	Defined Benefit Pension Plans									Other Postretirement Benefits
In millions	2012			2011			2010			2012		2011			2010
Net (gain) loss	$	375		$	254		$	100		$	16	$	(4	)	$	(7	)
Amortization of prior service (cost) credit	(7		)	(7		)	(7		)	2		2			2
Amortization of net loss	(60		)	(85		)	(59		)	—		—			—
Total recognized in other comprehensive (income) loss	$	308		$	162		$	34		$	18	$	(2	)	$	(5	)
Total recognized in net periodic benefit cost and other comprehensive loss	$	357		$	224		$	61		$	35	$	17		$	18



Change in Projected Benefit Obligations, Plan Assets and Funded Status for all Plans
	Defined Benefit Pension Plans						Other Postretirement Benefits
In millions	2012			2011			2012			2011
Change in projected benefit obligation:
Benefit obligation at beginning of year	$	4,037		$	3,867		$	412		$	423
Service cost	28			25			2			2
Interest cost	189			200			17			19
Actuarial changes in assumptions and experience	472			237			16			(4		)
Benefits paid	(286		)	(288		)	(33		)	(33		)
Other	(7		)	(4		)	—			5
Benefit obligation at end of year	$	4,433		$	4,037		$	414		$	412

Change in plan assets:
Fair value of plan assets at beginning of year	$	3,351		$	3,357		$	—		$	—
Actual return on plan assets	331			238			—			—
Employer contributions	158			48			—			—
Asset transfer	(6		)	(4		)	—			—
Benefits paid	(286		)	(288		)	—			—
Fair value of plan assets at end of year	$	3,548		$	3,351		$	—		$	—

Funded status at end of year	$	(885	)	$	(686	)	$	(414	)	$	(412	)



Net amounts recognized in the consolidated balance sheets at December 31:
Current liabilities	$	(1	)	$	(2	)	$	(36	)	$	(42	)
Noncurrent liabilities	(884		)	(684		)	(378		)	(370		)
Net amounts recognized in the consolidated balance sheets	$	(885	)	$	(686	)	$	(414	)	$	(412	)

Pretax amounts recognized in AOCI at December 31:
Net loss (gain)	$	1,941		$	1,626		$	(5	)	$	(21	)
Prior service cost (credit)	33			40			(2		)	(4		)
Pretax balance in AOCI at end of year	$	1,974		$	1,666		$	(7	)	$	(25	)



Estimated Future Benefit Payments at December 31, 2012
In millions	Defined Benefit Pension Plans		Other Postretirement Benefits
2013	$	283	$	36
2014	280		35
2015	277		35
2016	275		33
2017	273		32
2018 through 2022	1,345		133
Total	$	2,733	$	304



Strategic Target Allocation of Plan Assets
Asset Category	Target Allocation
Equity securities	25	%
Fixed income securities	45	%
Alternative investments	25	%
Other	5	%
Total	100	%



Basis of Fair Value Measurements at December 31, 2012 In millions	Quoted Prices in Active Markets for Identical Items (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Cash and cash equivalents	$	5	$	371	$	—	$	376
Equity securities:
U.S. equity	$	211	$	42	$	—	$	253
Non-U.S. equity - developed countries	208		71		—		279
Emerging markets	133		137		3		273
Convertible bonds	—		2		—		2
Equity derivatives	—		1		—		1
Total equity securities	$	552	$	253	$	3	$	808
Fixed income securities:
U.S. government and municipalities	$	—	$	733	$	—	$	733
U.S. agency mortgage backed securities	—		115		—		115
Corporates - investment grade	—		685		—		685
Non-U.S. governments - developed countries	—		3		—		3
Non-U.S. corporates - developed countries	—		104		—		104
Emerging markets debt	—		10		—		10
Other asset-backed securities	—		6		—		6
Other fixed income funds	—		—		17		17
High yield bonds	—		2		—		2
Total fixed income securities	$	—	$	1,658	$	17	$	1,675
Alternative investments:
Real estate	$	—	$	—	$	248	$	248
Private equity	—		—		230		230
Absolute return	—		115		74		189
Total alternative investments	$	—	$	115	$	552	$	667
Other securities:
Insurance contracts	$	—	$	—	$	22	$	22
Total other securities	$	—	$	—	$	22	$	22
Total pension plan assets at fair value	$	557	$	2,397	$	594	$	3,548



Basis of Fair Value Measurements at December 31, 2011 In millions	Quoted Prices in Active Markets for Identical Items (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Cash and cash equivalents	$	5	$	515	$	—	$	520
Equity securities:
U.S. equity	$	228	$	4	$	1	$	233
Non-U.S. equity - developed countries	136		77		—		213
Emerging markets	69		122		1		192
Equity derivatives	—		8		—		8
Total equity securities	$	433	$	211	$	2	$	646
Fixed income securities:
U.S. government and municipalities	$	—	$	601	$	—	$	601
U.S. agency mortgage backed securities	—		116		—		116
Corporates - investment grade	—		687		—		687
Non-U.S. governments - developed countries	—		8		—		8
Non-U.S. corporates - developed countries	—		110		—		110
Emerging markets debt	—		6		—		6
Other asset-backed securities	—		5		—		5
Other fixed income funds	—		—		11		11
High yield bonds	—		3		—		3
Fixed income derivatives	—		2		—		2
Total fixed income securities	$	—	$	1,538	$	11	$	1,549
Alternative investments:
Real estate	$	—	$	—	$	191	$	191
Private equity	—		—		247		247
Absolute return	—		128		46		174
Total alternative investments	$	—	$	128	$	484	$	612
Other securities:
Foreign exchange derivatives	$	—	$	2	$	—	$	2
Insurance contracts	—		—		22		22
Total other securities	$	—	$	2	$	22	$	24
Total pension plan assets at fair value	$	438	$	2,394	$	519	$	3,351

Defined Benefit Pension Plans [Member]



Pension Plan Assumptions	Benefit Obligations at December 31						Net Periodic Costs for the Year
	2012		2011		2010		2012		2011		2010
Discount rate	3.85	%	4.85	%	5.35	%	4.85	%	5.35	%	5.85	%
Rate of increase in future compensation levels	4.50	%	4.50	%	4.50	%	4.50	%	4.50	%	4.50	%
Long-term rate of return on assets	—		—		—		6.90	%	7.40	%	7.40	%



Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets at December 31
In millions	2012		2011
Projected benefit obligation	$	4,433	$	4,037
Accumulated benefit obligation	$	4,383	$	3,993
Fair value of plan assets	$	3,548	$	3,351



Fair Value Measurement of Level 3 Pension Plan Assets In millions	Equity Securities			Fixed Income Securities		Alternative Investments			Other Investments		Total
Balance at January 1, 2011	$	—		$	5	$	477		$	22	$	504
Actual return on plan assets:
Relating to assets held at Dec. 31, 2011	—			—		3			—		3
Relating to assets sold during 2011	—			—		33			—		33
Purchases, sales and settlements	—			6		(29		)	—		(23		)
Transfers into Level 3, net	2			—		—			—		2
Balance at December 31, 2011	$	2		$	11	$	484		$	22	$	519
Actual return on plan assets:
Relating to assets held at Dec. 31, 2012	$	(1	)	$	—	$	53		$	—	52
Relating to assets sold during 2012	(1		)	—		(7		)	—		(8		)
Purchases, sales and settlements	3			6		(7		)	—		2
Transfers into Level 3, net	—			—		29			—		29
Balance at December 31, 2012	$	3		$	17	$	552		$	22	$	594