PENSION AND POSTRETIREMENT BENEFIT PLANS

3 Months Ended

Mar. 31, 2017

Compensation and Retirement Disclosure [Abstract]

Pension and Other Postretirement Benefits [Text Block]

PENSION AND POSTRETIREMENT BENEFIT PLANS

The net periodic benefit cost/(credit) of defined benefit pension plans includes:

	Three Months Ended March 31,
Dollars in Millions	2017			2016
Service cost – benefits earned during the year	$	6		$	6
Interest cost on projected benefit obligation	48			51
Expected return on plan assets	(103		)	(104		)
Amortization of prior service credits	(1		)	(1		)
Amortization of net actuarial loss	21			19
Curtailments and settlements	33			22
Special termination benefits	—			1
Net periodic benefit cost/(credit)	$	4		$	(6	)

Pension settlement charges were recognized after determining that the annual lump sum payments will likely exceed the annual interest and service costs for the primary and certain other U.S. pension plans. The charges included the acceleration of a portion of unrecognized actuarial losses. Non-current pension liabilities were $490 million at March 31, 2017 and $600 million at December 31, 2016. Defined contribution plan expense in the U.S. was $44 million and $42 million for the three months ended March 31, 2017 and 2016, respectively.