Retirement Benefits

9 Months Ended

Jun. 30, 2018

RETIREMENT BENEFITS

The components of net periodic benefit cost for the defined benefit pension plans for the three and nine months ended 30 June 2018 and 2017 were as follows:



	Pension Benefits
	2018						2017
Three Months Ended 30 June	U.S.			International			U.S.			International
Service cost		$6.4			$6.5			$7.0			$6.5
Interest cost	26.8			9.4			27.5			8.2
Expected return on plan assets	(50.4		)	(20.6		)	(51.6		)	(18.9		)
Prior service cost amortization	.4			—			.6			—
Actuarial loss amortization	21.8			10.2			20.9			13.5
Settlements	1.5			—			5.5			—
Special termination benefits	—			—			.8			—
Other	—			.3			—			.2
Net Periodic Benefit Cost (Total)		$6.5			$5.8			$10.7			$9.5
Less: Discontinued Operations	—			—			—			—
Net Periodic Benefit Cost (Continuing Operations)		$6.5			$5.8			$10.7			$9.5




	Pension Benefits
	2018						2017
Nine Months Ended 30 June	U.S.			International			U.S.			International
Service cost^(A)		$19.2			$19.4			$22.2			$19.5
Interest cost	80.3			28.2			80.0			23.7
Expected return on plan assets	(151.2		)	(61.9		)	(156.0		)	(55.7		)
Prior service cost amortization	1.2			—			1.8			(.1		)
Actuarial loss amortization	65.7			30.5			67.9			40.6
Settlements	4.8			—			9.6			1.7
Curtailment	—			—			4.3			(1.3		)
Special termination benefits	.4			—			1.8			.5
Other	—			.9			—			.7
Net Periodic Benefit Cost (Total)		$20.4			$17.1			$31.6			$29.6
Less: Discontinued Operations	—			—			(.7		)	(4.1		)
Net Periodic Benefit Cost (Continuing Operations)		$20.4			$17.1			$30.9			$25.5


^(A)	Includes total service costs from discontinued operations of $1.3 for the nine months ended 30 June 2017.

As noted in Note 2, New Accounting Guidance, we early adopted guidance on the presentation of net periodic pension and postretirement benefit cost during the first quarter of fiscal year 2018. The amendments require that the service cost component of the net periodic benefit cost be presented in the same line items as other compensation costs arising from services rendered by employees during the period. The non-service related costs are presented outside of operating income in "Other non-operating income (expense), net."

Service costs are primarily included in "Cost of sales" and "Selling and administrative" on our consolidated income statements. The costs capitalized in fiscal year 2018 and 2017 were not material.

For the nine months ended 30 June 2018 and 2017, our cash contributions to funded pension plans and benefit payments under unfunded pension plans were $43.0 and $57.0, respectively. Total contributions for fiscal year 2018 are expected to be approximately $50 to $70. During fiscal year 2017, total contributions were $64.1.