Comprehensive Income (Loss)

3 Months Ended

Mar. 31, 2017

Comprehensive Income (Loss) [Abstract]

Comprehensive Income (Loss)

(14)Comprehensive Income (Loss):

Comprehensive income (loss) consists of net income (loss) and other gains and losses affecting shareholders’ investment and pension/postretirement benefit (OPEB) liabilities that, under GAAP, are excluded from net loss.

The components of accumulated other comprehensive loss, net of tax at March 31, 2017 and 2016, and changes for the three months then ended, are as follows:

($ in millions)	Pension Costs		OPEB Costs		Deferred Taxes on Pension and OPEB Costs		Total
Balance at January 1, 2017	$	(647)	$	29	$	231	$	(387)
Other comprehensive income (loss) before reclassifications		48		-		(19)		29
Amounts reclassified from accumulated other comprehensive loss to net loss		8		(2)		1		7
Recognition of net actuarial loss for pension settlement costs in net loss		43		-		(18)		25
Net current-period other comprehensive income (loss)		99		(2)		(36)		61
Balance at March 31, 2017	$	(548)	$	27	$	195	$	(326)

	Pension Costs		OPEB Costs		Deferred Taxes on Pension and OPEB Costs		Total
Balance at January 1, 2016	$	(584)	$	20	$	211	$	(353)
Amounts reclassified from accumulated other comprehensive loss		11		(2)		(3)		6
Net current-period other comprehensive income (loss)		11		(2)		(3)		6
Balance at March 31, 2016	$	(573)	$	18	$	208	$	(347)

As a result of the pension settlement accounting discussed in Note 15, the Frontier Communications Pension Plan (the Pension Plan) was remeasured as of March 31, 2017.  Frontier recorded a remeasurement charge of $48 million to Other Comprehensive Income primarily due to the increase in the market value of the assets after remeasurement.  The discount rate after remeasurement remained 4.10% at March 31, 2017. Additionally, the Company recorded a pension settlement charge of $43 million to Other Comprehesive Income.  Refer to Note 15 for details about the settlement accounting.

The significant items reclassified from each component of accumulated other comprehensive loss for the three months ended March 31, 2017 and 2016 are as follows:

	Amount Reclassified from
($ in millions)	Accumulated Other Comprehensive Loss (a)
Details about Accumulated Other	For the three months ended March 31,				Affected Line Item in the Statement Where
Comprehensive Loss Components	2017		2016		Net Income (Loss) is Presented
Amortization of Pension Cost Items (b)
Actuarial gains (losses)	$	(8)	$	(11)
Pension settlement costs		(43)		-
		(51)		(11)	Income (loss) before income taxes
Tax impact		19		4	Income tax (expense) benefit
	$	(32)	$	(7)	Net income (loss)
Amortization of OPEB Cost Items (b)
Prior-service costs	$	2	$	2
Actuarial gains (losses)		-		-
		2		2	Income (loss) before income taxes
Tax impact		(1)		(1)	Income tax (expense) benefit
	$	1	$	1	Net income (loss)

(a) Amounts in parentheses indicate losses.

(b) These accumulated other comprehensive loss components are included in the computation of net periodic pension and OPEB costs (see Note 15 - Retirement Plans for additional details).