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Retirement Benefits
9 Months Ended
Jun. 30, 2011
Retirement Benefits  
Retirement Benefits

9.     RETIREMENT BENEFITS

The components of net pension cost for the defined benefit pension plans and other postretirement benefit cost for the three and nine months ended 30 June 2011 and 2010 were as follows:

 

                                                 
     Pension Benefits     Other Benefits  
     2011     2010     2011      2010  
Three Months Ended 30 June    U.S.     International     U.S.     International                 

Service cost

   $ 10.9      $ 7.5      $ 10.6      $ 5.7      $ 1.4       $ 1.2   

Interest cost

     30.7        16.3        30.9        14.3        0.8         1.1   

Expected return on plan assets

     (44.9     (17.3     (41.1     (15.3     —           —     

Prior service cost amortization

     .6        .2        .7        .1        —           —     

Actuarial loss amortization

     16.0        7.7        11.7        4.7        1.0         .7   

Settlement and curtailment charges

     —          —          5.8        .5        —           —     

Special termination benefits

     —          .3        (.7     —          —           —     

Other

     —          .8        —          .2        —           —     

Net periodic benefit cost

   $ 13.3      $ 15.5      $ 17.9      $ 10.2      $ 3.2       $ 3.0   

 

                                                 
     Pension Benefits     Other Benefits  
     2011     2010     2011      2010  
Nine Months Ended 30 June    U.S.     International     U.S.     International                 

Service cost

   $ 32.7      $ 22.0      $ 31.8      $ 17.9      $ 4.2       $ 3.6   

Interest cost

     92.2        48.0        92.7        45.3        2.4         3.3   

Expected return on plan assets

     (134.7     (50.9     (123.3     (48.2     —           —     

Prior service cost amortization

     1.8        .6        2.1        .5        —           —     

Actuarial loss amortization

     48.0        23.3        35.1        14.7        3.0         2.1   

Settlement and curtailment charges

     —          —          5.8        .5        —           —     

Special termination benefits

     —          .3        (.7     3.5        —           —     

Other

     —          1.7        —          2.1        —           —     

Net periodic benefit cost

   $ 40.0      $ 45.0      $ 43.5      $ 36.3      $ 9.6       $ 9.0   

For the nine months ended 30 June 2011 and 2010, our cash contributions to funded plans and benefit payments under unfunded plans were $229.5 and $348.2, respectively. Total contributions for fiscal 2011 are expected to be approximately $247. During fiscal 2010, total contributions were $406.6.

Our supplemental pension plan provides for a lump sum benefit payment option at the time of retirement, or for corporate officers six months after the participant's retirement date. We recognize pension settlements when payments exceed the sum of service and interest cost components of net periodic pension cost of the plan for the fiscal year.  In the third quarter of 2010, we recognized a settlement charge of $6.3 ($3.9 after-tax, or $.02 per share). There were no settlement charges recognized for the three and nine months ended 30 June 2011.