PENSION PLANS AND OTHER POSTRETIREMENT BENEFITS

6 Months Ended

Jun. 30, 2024

Defined Benefit Plans and Other Postretirement Benefit Plans Disclosures [Abstract]

PENSION PLANS AND OTHER POSTRETIREMENT BENEFITS

PENSION PLANS AND OTHER POSTRETIREMENT BENEFITS

Pension Plans

The Company sponsors defined benefit pension plans. Under the plans, pension benefits are based on an employees’ years of service and, for certain categories of employees, qualifying compensation. Company contributions to these pension plans are determined by an independent actuary to meet or exceed minimum funding requirements. In our U.S. plans, the unrecognized cost of any retroactive amendments and actuarial gains and losses are amortized over the average remaining life expectancy of the inactive participants as substantially all of the plan participants are inactive. In our non-U.S. plans, the unrecognized cost of any retroactive amendments and actuarial gains and losses are amortized over the average future service period of plan participants expected to receive benefits.

The following table presents the components of net periodic pension cost (in millions):                 

	Three Months Ended June 30,
	2024						2023
	U.S.		Non-U.S.		Total		U.S.		Non-U.S.		Total
Components of Net Periodic Pension Cost
Service cost	$	1	$	1	$	2	$	—	$	1	$	1
Interest cost	4		4		8		8		4		12
Expected return on plan assets	(6)		(4)		(10)		(10)		(3)		(13)
Amortization of actuarial loss	—		1		1		2		—		2
Net periodic pension cost	$	(1)	$	2	$	1	$	—	$	2	$	2

	Six Months Ended June 30,
	2024						2023
	U.S.		Non-U.S.		Total		U.S.		Non-U.S.		Total
Components of Net Periodic Pension Cost
Service cost	$	1	$	2	$	3	$	1	$	2	$	3
Interest cost	9		7		16		16		8		24
Expected return on plan assets	(12)		(7)		(19)		(20)		(7)		(27)
Amortization of actuarial loss	1		2		3		3		1		4
Net periodic pension cost	$	(1)	$	4	$	3	$	—	$	4	$	4

The Company expects to contribute $20 million in cash to its defined benefit pension plans during 2024. Actual contributions to the plans may change as a result of a variety of factors, including changes in laws that impact funding requirements. The Company made cash contributions of $3 million to its defined benefit pension plans during the six months ended June 30, 2024.

Postemployment and Postretirement Benefits Other than Pensions (“OPEB”)

The Company maintains healthcare and life insurance benefit plans for certain retired employees and their dependents. The health care plans in the United States are non-funded and pay either (1) stated percentages of covered medically necessary expenses, after subtracting payments by Medicare or other providers and after stated deductibles have been met, or (2) fixed amounts of medical expense reimbursement.                                        

The following table provides the components of net periodic postretirement benefit income for U.S. plans for the periods indicated (in millions):

	Three Months Ended June 30,				Six Months Ended June 30,
	2024		2023		2024		2023
Components of Net Periodic Postretirement Benefit Income
Service cost	$	—	$	—	$	—	$	—
Interest cost	2		2		3		3
Amortization of actuarial gain	(3)		(2)		(4)		(4)
Net periodic postretirement benefit income	$	(1)	$	—	$	(1)	$	(1)

There was no significant net periodic postretirement income attributable to non-U.S. plans.