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Pension and Postretirement Benefits
 12 Months Ended
Dec. 31, 2022
Retirement Benefits [Abstract]  
Pension and Postretirement Benefits Pension and Postretirement Benefits
Pension Plan
In the United States, we sponsor a defined benefit pension plan that covers approximately 12% of all U.S. employees. Effective January 1, 2013, pension eligible non-union employees no longer earn future benefits in the domestic defined benefit pension plan. The benefits are based on years of service and compensation on a final average pay basis, except for certain hourly employees where benefits are fixed per year of service. Charges to expense are based upon costs computed by an independent actuary. Contributions are intended to provide for future benefits earned to date. Additionally, a number of our non-U.S. subsidiaries sponsor defined benefit pension plans that cover approximately 12% of all non-U.S. employees. The benefits are typically based upon years of service and compensation. Most of these plans are funded by company contributions to pension funds, which are held for the sole benefit of plan participants and beneficiaries.

In December 2022, we settled the pension plan for the salaried non-bargaining employees of Crane Canada Co. and recognized a loss of $7.0 million, net of tax. Excess plan assets have been reclassified to current receivables and will be recognized upon final approval from regulatory authorities which is expected in 2023. We estimate that the Company will receive a distribution of approximately $43 million after distributions to plan participants.

Postretirement Plans
Postretirement health care and life insurance benefits are provided for certain employees hired before January 1, 1990, who meet minimum age and service requirements. We also have postretirement medical and Medicare supplement that cover substantially all former full-time U.S. employees of Crane Currency.
A summary of the projected benefit obligations, fair value of plan assets and funded status is as follows:
Pension BenefitsPostretirement Benefits
(in millions) December 31,2022202120222021
Change in benefit obligation:
Benefit obligation at beginning of year$1,152.1 $1,259.8 $28.1 $30.0 
Service cost5.5 6.0 0.2 0.3 
Interest cost22.4 18.4 0.7 0.6 
Plan participants’ contributions0.4 0.4 — — 
Amendments0.7 (0.7)— — 
Actuarial (gain) loss (291.2)(64.8)(7.3)(0.2)
Settlements(9.9)(6.1)— — 
Curtailments(1.0)0.5 — — 
Benefits paid(48.8)(49.5)(2.1)(2.6)
Foreign currency exchange and other(40.1)(10.9)— — 
Administrative expenses paid(0.2)(1.0)— — 
Benefit obligation at end of year$789.9 $1,152.1 $19.6 $28.1 
Change in plan assets:
Fair value of plan assets at beginning of year$1,081.4 $1,024.1 $— $— 
Actual return on plan assets(227.9)96.2 — — 
Employer contributions19.7 26.7 2.1 2.6 
Plan participants’ contributions0.4 0.4 — — 
Settlements(64.9)(6.1)— — 
Benefits paid(48.8)(49.5)(2.1)(2.6)
Foreign currency exchange and other(45.2)(8.8)— — 
Administrative expenses paid(0.9)(1.6)— — 
Fair value of plan assets at end of year$713.8 $1,081.4 $— $— 
Funded status$(76.1)$(70.7)$(19.6)$(28.1)


In the U.S., 2022 actuarial gains in the projected benefit obligation were primarily the result of an increase in the discount rate. Other sources of gains or losses such as plan experience, updated census data and minor adjustments to actuarial assumptions generated combined losses of less than 1% of expected year end obligations. In the Non-U.S. countries, 2022 actuarial gains in the projected benefit obligation were primarily the result of increases in discount rates. Other sources of gains or losses such as plan experience, updated census data, changes to forecast inflation, mortality table updates and minor adjustments to other actuarial assumptions generated combined losses of approximately 3% of expected year end obligations.

In the U.S., 2021 actuarial gains in the projected benefit obligation were primarily the result of an increase in the discount rate. Other sources of gains or losses such as plan experience, updated census data and minor adjustments to actuarial assumptions generated combined losses of less than 1% of expected year end obligations. In the Non-U.S. countries, 2021 actuarial gains in the projected benefit obligation were primarily the result of increases in discount rates. Other sources of gains or losses such as plan experience, updated census data, changes to forecast inflation, mortality table updates and minor adjustments to other actuarial assumptions generated combined gains of 2% of expected year end obligations.
Amounts recognized on our Consolidated Balance Sheets consist of:
Pension BenefitsPostretirement Benefits
(in millions) December 31,2022202120222021
Other assets$56.5 $132.1 $— $— 
Current liabilities(1.6)(1.5)(2.2)(2.5)
Accrued pension and postretirement benefits(131.0)(201.3)(17.4)(25.6)
Funded status$(76.1)$(70.7)$(19.6)$(28.1)
Amounts recognized in accumulated other comprehensive loss consist of:
Pension BenefitsPostretirement Benefits
(in millions) December 31,2022202120222021
Net actuarial loss (gain)$367.0 $400.0 $(8.4)$(1.1)
Prior service credit (1.3)(1.6)(2.0)(3.1)
Total recognized in accumulated other comprehensive loss$365.7 $398.4 $(10.4)$(4.2)
The projected benefit obligation, accumulated benefit obligation and fair value of plan assets for the U.S. and Non-U.S. plans, are as follows:
 Pension Obligations/Assets
 U.S.Non-U.S.Total
(in millions) December 31,202220212022202120222021
Projected benefit obligation$499.7 $669.7 $290.2 $482.4 $789.9 $1,152.1 
Accumulated benefit obligation499.7 669.7 285.1 473.6 784.8 1,143.3 
Fair value of plan assets401.7 522.2 312.1 559.2 713.8 1,081.4 
Information for pension plans with an accumulated benefit obligation in excess of plan assets is as follows:
(in millions) December 31,20222021
Projected benefit obligation$537.1 $771.6 
Accumulated benefit obligation$533.4 $720.1 
Fair value of plan assets$404.5 $525.2 

Components of net periodic (benefit) cost are as follows:
Pension BenefitsPostretirement Benefits
(in millions) For the year ended December 31,202220212020202220212020
Net Periodic (Benefit) Cost:
Service cost$5.5 $6.0 $6.4 $0.2 $0.3 $0.3 
Interest cost22.4 18.4 26.1 0.7 0.6 0.9 
Expected return on plan assets(56.4)(54.6)(57.5)— — — 
Amortization of prior service cost(0.1)(0.1)(0.3)(1.1)(1.1)(1.1)
Amortization of net loss (gain)15.2 23.4 19.1 — — — 
Recognized curtailment (gain) loss(1.0)(1.3)(2.3)— — — 
Settlement loss12.1 1.4 1.7 — — — 
Net periodic (benefit) cost$(2.3)$(6.8)$(6.8)$(0.2)$(0.2)$0.1 
The weighted average assumptions used to determine benefit obligations are as follows:
Pension BenefitsPostretirement Benefits
For the year ended December 31,202220212020202220212020
U.S. Plans:
Discount rate5.43 %2.89 %2.62 %5.40 %2.70 %2.30 %
Rate of compensation increaseN/AN/AN/AN/AN/AN/A
Interest credit rate3.62 %1.47 %0.93 %N/AN/AN/A
Non-U.S. Plans:
Discount rate4.27 %1.58 %1.07 %N/AN/AN/A
Rate of compensation increase3.33 %3.08 %3.10 %N/AN/AN/A
Interest credit rate1.81 %0.33 %0.29 %N/AN/AN/A
The weighted-average assumptions used to determine net periodic benefit cost are as follows:
Pension BenefitsPostretirement Benefits
For the year ended December 31,202220212020202220212020
U.S. Plans:
Discount rate2.89 %2.62 %3.34 %2.70 %2.30 %3.20 %
Expected rate of return on plan assets6.50 %6.50 %7.25 %N/AN/AN/A
Rate of compensation increaseN/AN/AN/AN/AN/AN/A
Interest credit rate1.47 %0.93 %2.83 %N/AN/AN/A
Non-U.S. Plans:
Discount rate1.58 %1.07 %1.70 %N/AN/AN/A
Expected rate of return on plan assets4.50 %4.45 %5.31 %N/AN/AN/A
Rate of compensation increase3.08 %3.10 %2.89 %N/AN/AN/A
Interest credit rate0.33 %0.29 %0.22 %N/AN/AN/A
 
The long-term expected rate of return on plan assets assumptions were determined with input from independent investment consultants and plan actuaries, utilizing asset pricing models and considering historical returns. The discount rates used by us for valuing pension liabilities are based on a review of high-quality corporate bond yields with maturities approximating the remaining life of the projected benefit obligations.
In the U.S. plan, the 6.50% expected rate of return on assets assumption for 2022 reflected a long-term target comprised of an asset allocation range of 25%-75% equity securities, 15%-35% fixed income securities, 10%-35% alternative assets and 0%-10% cash and cash equivalents. As of December 31, 2022, the actual asset allocation for the U.S. plan was 64.3% equity securities, 22.1% fixed income securities, 11.4% alternative assets and 2.1% cash and cash equivalents.
For the non-U.S. plans, the 4.50% expected rate of return on assets assumption for 2022 reflected a weighted average of the long-term asset allocation targets for our various non-U.S. plans. As of December 31, 2022, the actual weighted average asset allocation for the non-U.S. plans was 15.3% equity securities, 33.2% fixed income securities, 45.4% alternative assets/other and 6.2% cash and cash equivalents.
The assumed health care cost trend rates are as follows:
December 31,20222021
Health care cost trend rate assumed for next year7.00 %7.25 %
Rate to which the cost trend rate is assumed to decline (the ultimate trend rate)4.50 %4.50 %
Year that the rate reaches the ultimate trend rate20332033
Assumed health care cost trend rates have a significant effect on the amounts reported for our health care plans.
Plan Assets
Our pension plan target allocations and weighted-average asset allocations by asset category are as follows:
  Target AllocationActual Allocation
Asset Category December 31,20222021
Equity securities
15%-75%
43 %44 %
Fixed income securities
15%-75%
27 %31 %
Alternative assets/Other
0%-45% 
26 %22 %
Cash and money market
0%-10%
4 %3 %

Independent investment consultants are retained to assist in executing the plans’ investment strategies. A number of factors are evaluated in determining if an investment strategy will be implemented in our pension trusts. These factors include, but are not limited to, investment style, investment risk, investment manager performance and costs. We periodically review investment managers and their performance in relation to our plans’ investment objectives.
The primary investment objective of our various pension trusts is to maximize the value of plan assets, focusing on capital preservation, current income and long-term growth of capital and income. The plans’ assets are typically invested in a broad range of equity securities, fixed income securities, alternative assets and cash instruments.
Equity securities include investments in large, mid, and small-capitalization companies located in both developed countries and emerging markets around the world. Fixed income securities include government bonds of various countries, corporate bonds that are primarily investment-grade, and mortgage-backed securities. Alternative assets include investments in real estate and hedge funds employing a wide variety of strategies. In 2021, equity securities included Crane Holdings, Co. common stock, which represented 4%of plan assets as of December 31, 2021. There were no holdings of Crane Holdings, Co. common stock in 2022.
The fair value of our pension plan assets as of December 31, 2022, by asset category, are as follows:
(in millions)Active
Markets
for
Identical
Assets
Level 1		Other
Observable
Inputs
Level 2		Unobservable
Inputs
Level 3
Net Asset Value ("NAV") Practical Expedient (a)
Total
Fair Value
Cash Equivalents and Money Markets$27.8 $— $— $— $27.8 
Common Stocks
Actively Managed U.S. Equities31.8 — — — 31.8 
Commingled and Mutual Funds
U.S. Equity Funds152.3 — — — 152.3 
Non-U.S. Equity Funds74.3 — — 47.8 122.1 
U.S. Fixed Income, Government and Corporate88.9 — — — 88.9 
Registered Investment Company23.3 — — — 23.3 
Collective Trust— — 16.5 18.8 35.3 
Non-U.S. Fixed Income, Government and Corporate— — — 103.5 103.5 
International Balanced Funds— — — 1.8 1.8 
Property Funds21.7 — — — 21.7 
Alternative Investments
Insurance / Annuity Contract(s)— 13.4 — — 13.4 
Hedge Funds and LDI— — — 60.1 60.1 
International Property Funds— — — 31.8 31.8 
Total Fair Value$420.1 $13.4 $16.5 $263.8 $713.8 
(a)
 Investments are measured at fair value using the net asset value per share practical expedient, and therefore, are not classified in the fair value hierarchy.
In 2022, the pension plan's asset classified as Level 3 constitutes an insurance contract valued annually on an actuarial basis.
The fair value of our pension plan assets as of December 31, 2021, by asset category, are as follows:
(in millions)Active
Markets
for
Identical
Assets
Level 1		Other
Observable
Inputs
Level 2		Unobservable
Inputs
Level 3
Net Asset Value ("NAV") Practical Expedient (a)
Total
Fair Value
Cash Equivalents and Money Markets$30.5 $— $— $— $30.5 
Common Stocks
Actively Managed U.S. Equities112.8 — — — 112.8 
Commingled and Mutual Funds
U.S. Equity Funds129.1 — — — 129.1 
Non-U.S. Equity Funds93.7 — — 139.3 233.0 
U.S. Fixed Income, Government and Corporate116.2 — — — 116.2 
Registered Investment Company34.0 — — — 34.0 
Collective Trust— — 21.7 19.0 40.7 
Non-U.S. Fixed Income, Government and Corporate— — — 222.6 222.6 
International Balanced Funds— — — 2.1 2.1 
Property Funds29.0 — — — 29.0 
Alternative Investments
Insurance / Annuity Contract(s)— 14.7 — — 14.7 
Hedge Funds and LDI— — — 64.0 64.0 
International Property Funds— — — 52.7 52.7 
Total Fair Value$545.3 $14.7 $21.7 $499.7 $1,081.4 
(a)
 Investments are measured at fair value using the net asset value per share practical expedient, and therefore, are not classified in the fair value hierarchy.
In 2021, the pension plan's asset classified as Level 3 constitutes an insurance contract valued annually on an actuarial basis.
Cash Flows  
We expect, based on current actuarial calculations, to contribute cash of approximately $20.0 million to our defined benefit pension plans during 2023. Cash contributions in subsequent years will depend on a number of factors including the investment performance of plan assets.
Estimated Future Benefit Payments  
The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid:
Estimated future payments (in millions)Pension
Benefits		Postretirement Benefits
2023$52.0 $2.3 
202452.0 2.2 
202553.7 2.1 
202653.7 1.9 
202755.2 1.8 
2028 to 2032273.0 7.7 
Total payments$539.6 $18.0 
Supplemental Executive Retirement Plan
We also have a non-qualified Supplemental Executive Retirement Plan (“SERP”). The SERP, which is not funded, is intended to provide retirement benefits for certain executive officers who were formerly employees of Crane Currency. Benefit amounts are based upon years of service and compensation of the participating employees. We recorded a pre-tax settlement loss of $0.1 million in 2022. There were no pre-tax settlement gains or losses recorded in 2021. Accrued SERP benefits, which were recorded in Accrued liabilities and Accrued pension and postretirement benefits in the Consolidated Balance Sheets, were $2.2 million and $3.7 million as of December 31, 2022 and 2021, respectively. Employer contributions made to the SERP, which were recorded in Selling, general and administrative expenses in the Consolidated Statement of Operations, were $1.0 million, $0.2 million and $0.2 million in 2022, 2021 and 2020, respectively.
Defined Contribution Plans
We sponsor savings and investment plans that are available to our eligible employees including employees of our subsidiaries. We made contributions to the plans of $13.1 million, $12.0 million and $11.8 million in 2022, 2021 and 2020, respectively.
In addition to participant deferral contributions and company matching contributions on those deferrals, we provide a 3% non-matching contribution to eligible participants. We made non-matching contributions to these plans of $15.5 million, $14.6 million and $14.5 million in 2022, 2021 and 2020, respectively.