Employee Benefit Plans

9 Months Ended

Sep. 30, 2014

Employee Benefit Plans

Employee Benefit Plans

10.    EMPLOYEE BENEFIT PLANS

Pension and Other Postretirement Plans

The Company has funded and non-fundednon-contributory defined benefit pension plans, which cover substantially all of its employees. For some employees, benefits are based on final average earnings and length of service, while benefits for other employees are based on an account balance that takes into consideration age, service and earnings during their career.

The Company provides certain health care and life insurance benefits for its retired employees, their beneficiaries and covered dependents (“other postretirement benefits”). The health care plan is contributory; the life insurance plan is non-contributory. Substantially all of the Company's U.S. employees may become eligible to receive other postretirement benefits if they retire after age 55 with at least 10 years of service or under certain circumstances after age 50 with at least 20 years of continuous service.

Net periodic (benefit) cost included in “General and administrative expenses” includes the following components:

	Three Months Ended September 30,
	Pension Benefits				Other Postretirement Benefits
	2014		2013		2014		2013
		(in millions)
Components of net periodic (benefit) cost
Service cost	$	58	$	62	$	5	$	4
Interest cost		120		109		24		23
Expected return on plan assets		(178)		(192)		(29)		(22)
Amortization of prior service cost		(2)		(3)		(2)		(3)
Amortization of actuarial (gain) loss, net		22		23		5		14
Settlements		4		0		0		0
Special termination benefits		0		0		0		0
Net periodic (benefit) cost	$	24	$	(1)	$	3	$	16
	Nine Months Ended September 30,
	Pension Benefits				Other Postretirement Benefits
	2014		2013		2014		2013
		(in millions)
Service cost	$	176	$	189	$	13	$	12
Interest cost		361		328		72		67
Expected return on plan assets		(534)		(576)		(87)		(64)
Amortization of prior service cost		(7)		(8)		(8)		(9)
Amortization of actuarial (gain) loss, net		65		69		19		42
Settlements		6		0		0		0
Special termination benefits		0		2		0		0
Net periodic (benefit) cost	$	67	$	4	$	9	$	48

During the nine months ended September 30, 2014, the Company made cash contributions of $135 million to its pension plans and anticipates making an additional $20 million of cash contributions during the remainder of 2014.