Employee Retirement Benefits (Tables)

12 Months Ended

Dec. 31, 2016

Benefit Obligation Activity Using An Actuarial Measurement Date For Qualified Plan And SERP

Benefit obligation activity using an actuarial measurement date for our qualified pension plan and SERP at December 31 follows:

(Dollars in millions)	At December 31,
	2016			2015
Change in projected benefit obligation:
Benefit obligation, January 1	$	323		$	319
Service cost	11			12
Interest cost	14			14
Actuarial loss (gain)	13			(3		)
Benefits paid	(21		)	(19		)
Projected benefit obligation, December 31	$	340		$	323
Change in plan assets:
Fair value of plan assets, January 1	$	278		$	288
Actual return on plan assets	45			3
Employer contribution	13			6
Benefits paid	(21		)	(19		)
Fair value of plan assets, December 31	$	315		$	278
Funded status, December 31	$	(25	)	$	(45	)
Accumulated benefit obligation	$	309		$	293

Reconciliation Of The Funded Status For Qualified Plan And SERP

A reconciliation follows of the funded status for our qualified plan and SERP at the end of the measurement period to the amounts recognized in the consolidated balance sheets at December 31:

(Dollars in millions)	At December 31,
	2016			2015
Pension amounts recognized in the consolidated balance sheets:
Other liabilities	$	(25	)	$	(45	)
Total	$	(25	)	$	(45	)
Pension amounts recognized in accumulated other comprehensive income:
Net actuarial loss	$	26		$	41
Prior service cost	—			1
Total	$	26		$	42

Components Of Net Periodic Benefit Cost As Well As Other Changes In Plan Assets And Benefit Obligations Recognized In Other Comprehensive Income For Qualified Plan And SERP

Below are the components of our net periodic benefit cost, as well as other changes in plan assets and benefit obligations recognized in other comprehensive income for our qualified plan and SERP at December 31:

(Dollars in millions)	Years ended December 31,
	2016			2015			2014
Net periodic benefit cost:
Service cost	$	11		$	12		$	10
Interest cost	14			14			15
Expected return on plan assets	(19		)	(18		)	(17		)
Amortization of actuarial loss and prior service cost	3			6			2
Other	—			1			3
Net periodic benefit cost	$	9		$	15		$	13

(Dollars in millions)	Years ended December 31,
	2016			2015			2014
Other changes in plan assets and benefit obligations recognized in
other comprehensive income:
Current year actuarial (gain) loss	$	(13	)	$	13		$	21
Amortization of actuarial loss	(2		)	(6		)	(5		)
Current year prior service cost	—			—			2
Amortization of prior service cost	(1		)	(1		)	—
Total recognized in other comprehensive (income) loss	$	(16	)	$	6		$	18

Fair Value Hierarchy Of Assets Measured At Fair Value On A Recurring Basis

(Dollars in millions)	Quoted prices in active markets for identical assets (Level 1)		Significant other observable inputs (Level 2)		Significant unobservable inputs (Level 3)		Total
At December 31, 2016
Fixed maturities, available for sale:
States, municipalities and political subdivisions	$	—	$	31	$	—	$	31
Corporate securities	—		20		—		20
Total fixed maturities, available for sale	—		51		—		51
Common equities, available for sale	253		—		—		253
Total	$	253	$	51	$	—	$	304
At December 31, 2015
Fixed maturities, available for sale:
States, municipalities and political subdivisions	$	—	$	32	$	—	$	32
Corporate securities	—		13		—		13
Total fixed maturities, available for sale	—		45		—		45
Common equities, available for sale	212		—		—		212
Total	$	212	$	45	$	—	$	257

Expected Future Benefit Payments For Qualified Plan And SERP

We expect to make the following benefit payments for our qualified plan and SERP, reflecting expected future service:

(Dollars in millions)	Years ended December 31,
	2017		2018		2019		2020		2021		2022 - 2026
Expected future benefit payments	$	34	$	23	$	24	$	26	$	28	$	148

Benefit Obligations

Weighted-Average Assumptions Used

This is a summary of the weighted-average assumptions used to determine our benefit obligations at December 31 for the plans:

	Qualified Pension Plan				SERP
	2016		2015		2016		2015
Discount rate	4.30	%	4.55	%	4.10	%	4.30	%
Rate of compensation increase	2.75-3.25		2.75-3.25		2.75-3.25		2.75-3.25

Net Periodic Benefit Cost

Weighted-Average Assumptions Used

This is a summary of the weighted-average assumptions used to determine our net periodic benefit cost for the plans:

	Qualified Pension Plan						SERP
	2016		2015		2014		2016		2015		2014
Discount rate	4.55	%	4.25	%	5.15	%	4.30	%	4.05	%	4.80	%
Expected return on plan assets	7.25		7.25		7.25		n/a		n/a		n/a
Rate of compensation increase	2.75-3.25		2.75-3.25		2.75-3.25		2.75-3.25		2.75-3.25		2.75-3.25