Pension and Other Post-Retirement Benefits Defined Benefit Plan (Notes)

9 Months Ended

Sep. 30, 2021

Retirement Benefits [Abstract]

Retirement Benefits [Text Block]

Pension and Other Post-Retirement Benefits

	Defined Benefit Plans
	For the Three  Months Ended						For the Nine Months Ended
Components of Net Periodic Pension Expense (Income)	September 30, 2021			October 1, 2020			September 30, 2021			October 1, 2020
Service cost	$	11.2		$	0.2		$	32.9		$	0.7
Interest cost	15.8			5.4			43.3			20.1
Expected return on plan assets	(40.0)			(16.6)			(119.0)			(49.5)
Amortization of net loss	—			—			—			0.2
Curtailment loss (gain)	(61.0)		(1)	—		(2)	(61.0)		(1)	33.9		(2)
Settlement loss	—			4.2		(3)	(0.1)			9.3		(3)
Special termination benefits	—			(1.6)		(4)	—			31.4		(4)
Net periodic pension expense (income)	$	(74.0)		$	(8.4)		$	(103.9)		$	46.1

	Other Benefits
	For the Three Months Ended				For the Nine Months Ended
Components of Other Benefit Expense (Income)	September 30, 2021		October 1, 2020		September 30, 2021		October 1, 2020
Service cost	$	0.3	$	0.1	$	0.7	$	0.5
Interest cost	0.1		0.2		0.3		0.7
Amortization of prior service cost	(0.2)		(0.2)		(0.6)		(0.6)
Amortization of net gain	(0.2)		(0.4)		(1.0)		(1.3)
Curtailment gain	—		—		—		(0.2)
Special termination benefits	—		—		—		12.0
Net periodic other benefit expense (income)	$	—	$	(0.3)	$	(0.6)	$	11.1

(1) As of July 15, 2021, the Company concluded its consultation and communication with employee and Trade Union representatives on the closure of the largest of the defined benefit plans acquired as part of the Bombardier Acquisition, the Shorts Pension (as defined below). The outcome is that the Shorts Pension was amended and will close to the future accrual of benefits for all employees who are members of the plan, effective December 10, 2021. From December 11, 2021, affected employees will build up future retirement savings in a new defined contribution scheme. For the three and nine months ended September 30, 2021, the impact of the closure of the Shorts Pension resulted in a curtailment gain of $61.0.

(2) For the three and nine months ended October 1, 2020, the Company's Voluntary Retirement Program ("VRP") resulted in an estimated 16% and 12% reduction in future working lifetime for the pension value plan and postretirement medical plan resulting in a curtailment accounting charge of $0.0 and $33.7, respectively. The charges are included in other income (expense) in the Company's Condensed Consolidated Statements of Operations.

(3)    For the three months and nine months ended October 1, 2020, settlement accounting under ASC Topic 715 was triggered, as the lump sums paid to date as part of the VRP exceeded the estimated service cost and interest cost. The Company recognized a settlement loss of $4.2 and $9.3 for the three months and nine months ended October 1, 2020.

(4) Special termination benefits for the three and nine months ended October 1, 2020 is a combination of pension value plan and postretirement medical plan changes offset by a reduction in the Company's net benefit obligation. For the three months and nine months ended October 1, 2020 special termination benefits, curtailment accounting, and the remeasurement of the pension assets and obligations resulted in a ($31.9) and $0.4 impact to other comprehensive income ("OCI"), respectively. For the three months and nine months ended October 1, 2020, retiree medical resulted in a $0.0 and

$2.3 impact to OCI, respectively. This impact is included in the Company’s Condensed Consolidated Statements of Comprehensive (Loss) Income.

The components of net periodic pension expense (income) and other benefit expense, other than the service cost component, are included in other income (expense) in the Company's Condensed Consolidated Statements of Operations.

Employer Contributions

The Company expects to contribute zero dollars to the U.S. qualified pension plan and a combined total of approximately $10.2 for the U.S. Supplemental Executive Retirement Plan (“SERP”) and U.S. post-retirement medical plans in 2021. The Company’s projected contributions to the U.K. pension plan for 2021 are $1.9. Additionally, the Company expects to contribute a combined total of $182.6 for the Shorts Pension, the Shorts Executive Benefits Scheme, and the Shorts Postretirement Medical Plan. The amount contributed can vary based on exchange rate fluctuations.