Pension and Other Postretirement Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2019

The net periodic benefit cost (credit) for pension and other postretirement benefit plans consisted of the following components:



	Pension Benefits
	U.S.									International									Other Postretirement Benefits
Years Ended December 31	2019			2018			2017			2019			2018			2017			2019			2018			2017
Service cost	$	293		$	326		$	312		$	238		$	238		$	252		$	48		$	57		$	57
Interest cost	458			432			454			177			178			172			69			69			81
Expected return on plan assets	(817		)	(851		)	(862		)	(426		)	(431		)	(393		)	(72		)	(83		)	(78		)
Amortization of unrecognized prior service cost	(49		)	(50		)	(53		)	(12		)	(13		)	(11		)	(78		)	(84		)	(98		)
Net loss amortization	151			232			180			64			84			98			(10		)	1			1
Termination benefits	31			19			44			8			2			4			5			3			8
Curtailments	14			10			3			6			1			(4		)	(11		)	(8		)	(31		)
Settlements	—			5			—			1			13			5			—			—			—
Net periodic benefit cost (credit)	$	81		$	123		$	78		$	56		$	72		$	123		$	(49	)	$	(45	)	$	(60	)

Obligation and Funded Status

Summarized information about the changes in plan assets and benefit obligations, the funded status and the amounts recorded at December 31 is as follows:



	Pension Benefits												Other Postretirement Benefits
	U.S.						International						Other Postretirement Benefits
	2019			2018			2019			2018			2019			2018
Fair value of plan assets January 1	$	9,648		$	10,896		$	8,580		$	9,339		$	968		$	1,114
Actual return on plan assets	2,165			(810		)	1,505			(289		)	203			(72		)
Company contributions	130			378			262			167			14			6
Effects of exchange rate changes	—			—			31			(352		)	—			—
Benefits paid	(582		)	(772		)	(230		)	(202		)	(104		)	(80		)
Settlements	—			(44		)	(12		)	(106		)	—			—
Other	—			—			27			23			21			—
Fair value of plan assets December 31	$	11,361		$	9,648		$	10,163		$	8,580		$	1,102		$	968
Benefit obligation January 1	$	10,620		$	11,904		$	9,083		$	9,483		$	1,615		$	1,922
Service cost	293			326			238			238			48			57
Interest cost	458			432			177			178			69			69
Actuarial losses (gains) ⁽¹⁾	2,165			(1,258		)	1,313			(154		)	21			(341		)
Benefits paid	(582		)	(772		)	(230		)	(202		)	(104		)	(80		)
Effects of exchange rate changes	—			—			4			(387		)	1			(6		)
Plan amendments	—			—			1			10			—			(9		)
Curtailments	18			13			3			(2		)	—			—
Termination benefits	31			19			8			2			5			3
Settlements	—			(44		)	(12		)	(106		)	—			—
Other	—			—			27			23			18			—
Benefit obligation December 31	$	13,003		$	10,620		$	10,612		$	9,083		$	1,673		$	1,615
Funded status December 31	$	(1,642	)	$	(972	)	$	(449	)	$	(503	)	$	(571	)	$	(647	)
Recognized as:
Other Assets	$	—		$	—		$	837		$	659		$	—		$	—
Accrued and other current liabilities	(92		)	(47		)	(18		)	(14		)	(10		)	(10		)
Other Noncurrent Liabilities	(1,550		)	(925		)	(1,268		)	(1,148		)	(561		)	(637		)

⁽¹⁾ Actuarial losses (gains) primarily reflect changes in discount rates.

Schedule of Accumulated and Projected Benefit Obligations in Excess of Fair Value of Plan Assets

Information related to the funded status of selected pension plans at December 31 is as follows:



	U.S.				International
	2019		2018		2019		2018
Pension plans with a projected benefit obligation in excess of plan assets
Projected benefit obligation	$	13,003	$	10,620	$	7,421	$	6,251
Fair value of plan assets	11,361		9,648		6,135		5,089
Pension plans with an accumulated benefit obligation in excess of plan assets
Accumulated benefit obligation	$	12,009	$	9,702	$	2,476	$	5,936
Fair value of plan assets	10,484		8,966		1,501		5,071

Schedule of Allocation of Plan Assets

The fair values of the Company’s other postretirement benefit plan assets at December 31 by asset category are as follows:



	Fair Value Measurements Using										Fair Value Measurements Using
	Level 1		Level 2		Level 3		NAV ⁽¹⁾		Total		Level 1		Level 2		Level 3		NAV ⁽¹⁾		Total
	2019										2018
Assets
Cash and cash equivalents	$	52	$	—	$	—	$	22	$	74	$	78	$	—	$	—	$	16	$	94
Investment funds
Developed markets equities	19		—		—		324		343		16		—		—		279		295
Emerging markets equities	15		—		—		66		81		12		—		—		67		79
Government and agency obligations	1		—		—		16		17		1		—		—		15		16
Corporate obligations	—		—		—		—		—		—		—		—		3		3
Equity securities																			—
Developed markets	225		—		—		—		225		200		—		—		—		200
Fixed income securities
Government and agency obligations	—		196		—		—		196		—		141		—		—		141
Corporate obligations	—		149		—		—		149		—		116		—		—		116
Mortgage and asset-backed securities	—		17		—		—		17		—		24		—		—		24
Plan assets at fair value	$	312	$	362	$	—	$	428	$	1,102	$	307	$	281	$	—	$	380	$	968

⁽¹⁾

Certain investments that were measured at net asset value (NAV) per share or its equivalent have not been classified in the fair value hierarchy. The NAV amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the fair value of plan assets at December 31, 2019 and 2018.

The fair values of the Company’s pension plan assets at December 31 by asset category are as follows:



	Fair Value Measurements Using										Fair Value Measurements Using
	Level 1		Level 2		Level 3		NAV ⁽¹⁾		Total		Level 1		Level 2		Level 3		NAV ⁽¹⁾		Total
	2019										2018
U.S. Pension Plans
Assets
Cash and cash equivalents	$	3	$	—	$	—	$	236	$	239	$	40	$	—	$	—	$	182	$	222
Investment funds
Developed markets equities	205		—		—		3,542		3,747		169		—		—		3,021		3,190
Emerging markets equities	165		—		—		723		888		121		—		—		720		841
Government and agency obligations	—		—		—		173		173		—		—		—		161		161
Corporate obligations	—		—		—		—		—		—		—		—		32		32
Equity securities
Developed markets	2,451		—		—		—		2,451		2,172		—		—		—		2,172
Fixed income securities																			—
Government and agency obligations	—		2,094		—		—		2,094		—		1,509		—		—		1,509
Corporate obligations	—		1,582		—		—		1,582		—		1,246		—		—		1,246
Mortgage and asset-backed securities	—		178		—		—		178		—		262		—		—		262
Other investments	—		—		9		—		9		—		—		13		—		13
Plan assets at fair value	$	2,824	$	3,854	$	9	$	4,674	$	11,361	$	2,502	$	3,017	$	13	$	4,116	$	9,648
International Pension Plans
Assets
Cash and cash equivalents	$	70	$	1	$	—	$	15	$	86	$	50	$	3	$	—	$	16	$	69
Investment funds
Developed markets equities	546		3,761		—		96		4,403		461		3,071		—		75		3,607
Government and agency obligations	462		2,534		—		207		3,203		372		2,082		—		180		2,634
Emerging markets equities	66		96		—		90		252		56		112		—		83		251
Corporate obligations	5		11		—		109		125		4		7		—		94		105
Fixed income obligations	9		6		—		—		15		7		4		—		—		11
Real estate	—		1		—		—		1		—		1		1		—		2
Equity securities
Developed markets	565		—		—		—		565		544		—		—		—		544
Fixed income securities
Government and agency obligations	3		376		—		—		379		2		291		—		—		293
Corporate obligations	1		135		—		—		136		1		113		—		—		114
Mortgage and asset-backed securities	—		61		—		—		61		—		55		—		—		55
Other investments
Insurance contracts ⁽²⁾	—		65		851		—		916		—		66		811		—		877
Other	—		5		—		16		21		—		4		1		13		18
Plan assets at fair value	$	1,727	$	7,052	$	851	$	533	$	10,163	$	1,497	$	5,809	$	813	$	461	$	8,580


⁽¹⁾	Certain investments that were measured at net asset value (NAV) per share or its equivalent have not been classified in the fair value hierarchy. The NAV amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the fair value of plan assets at December 31, 2019 and 2018.

⁽²⁾

The plans’ Level 3 investments in insurance contracts are generally valued using a crediting rate that approximates market returns and invest in underlying securities whose market values are unobservable and determined using pricing models, discounted cash flow methodologies, or similar techniques.

Summary of Changes in Fair Value of Company's Level 3 Pension Plan Assets

The table below provides a summary of the changes in fair value, including transfers in and/or out, of all financial assets measured at fair value using significant unobservable inputs (Level 3) for the Company’s pension plan assets:



	2019												2018
	Insurance Contracts			Real Estate			Other			Total			Insurance Contracts			Real Estate			Other			Total
U.S. Pension Plans
Balance January 1	$	—		$	—		$	13		$	13		$	—		$	—		$	15		$	15
Actual return on plan assets:
Relating to assets still held at December 31	—			—			(8		)	(8		)	—			—			(3		)	(3		)
Relating to assets sold during the year	—			—			8			8			—			—			4			4
Purchases and sales, net	—			—			(4		)	(4		)	—			—			(3		)	(3		)
Balance December 31	$	—		$	—		$	9		$	9		$	—		$	—		$	13		$	13
International Pension Plans
Balance January 1	$	811		$	1		$	1		$	813		$	470		$	2		$	1		$	473
Actual return on plan assets:
Relating to assets still held at December 31	54			—			—			54			(32		)	—			—			(32		)
Purchases and sales, net	(14		)	(1		)	(1		)	(16		)	380			(1		)	—			379
Transfers out of Level 3	—			—			—			—			(7		)	—			—			(7		)
Balance December 31	$	851		$	—		$	—		$	851		$	811		$	1		$	1		$	813

Summary of Expected Benefit Payments

Expected benefit payments are as follows:



	U.S. Pension Benefits		International Pension Benefits		Other Postretirement Benefits
2020	$	747	$	242	$	88
2021	717		225		92
2022	710		243		94
2023	718		250		98
2024	708		250		100
2025 — 2029	3,943		1,417		540

Components of Other Comprehensive Income

The following amounts were reflected as components of OCI:



	Pension Plans																		Other Postretirement Benefit Plans
	U.S.									International									Other Postretirement Benefit Plans
Years Ended December 31	2019			2018			2017			2019			2018			2017			2019			2018			2017
Net (loss) gain arising during the period	$	(816	)	$	(397	)	$	(19	)	$	(227	)	$	(505	)	$	309		$	112		$	186		$	170
Prior service (cost) credit arising during the period	(4		)	(4		)	(13		)	(1		)	(10		)	22			(11		)	2			(31		)
	$	(820	)	$	(401	)	$	(32	)	$	(228	)	$	(515	)	$	331		$	101		$	188		$	139
Net loss amortization included in benefit cost	$	151		$	232		$	180		$	64		$	84		$	98		$	(10	)	$	1		$	1
Prior service credit amortization included in benefit cost	(49		)	(50		)	(53		)	(12		)	(13		)	(11		)	(78		)	(84		)	(98		)
	$	102		$	182		$	127		$	52		$	71		$	87		$	(88	)	$	(83	)	$	(97	)

Summary of Weighted Average Assumptions Used in Determining Pension Plan and U.S. Pension and Other Postretirement Benefit Plan Information

The Company reassesses its benefit plan assumptions on a regular basis. The weighted average assumptions used in determining U.S. pension and other postretirement benefit plan and international pension plan information are as follows:



	U.S. Pension and Other Postretirement Benefit Plans						International Pension Plans
December 31	2019		2018		2017		2019		2018		2017
Net periodic benefit cost
Discount rate	4.40	%	3.70	%	4.30	%	2.20	%	2.10	%	2.20	%
Expected rate of return on plan assets	8.10	%	8.20	%	8.70	%	4.90	%	5.10	%	5.10	%
Salary growth rate	4.30	%	4.30	%	4.30	%	2.80	%	2.90	%	2.90	%
Interest crediting rate	3.40	%	3.30	%	3.30	%	2.90	%	2.80	%	3.00	%
Benefit obligation
Discount rate	3.40	%	4.40	%	3.70	%	1.50	%	2.20	%	2.10	%
Salary growth rate	4.20	%	4.30	%	4.30	%	2.80	%	2.80	%	2.90	%
Interest crediting rate	4.90	%	3.40	%	3.30	%	2.80	%	2.90	%	2.80	%

Summary of Health Care Cost Trend Rate Assumptions for Other Postretirement Benefit Plans

The health care cost trend rate assumptions for other postretirement benefit plans are as follows:



December 31	2019		2018
Health care cost trend rate assumed for next year	6.8	%	7.0	%
Rate to which the cost trend rate is assumed to decline	4.5	%	4.5	%
Year that the trend rate reaches the ultimate trend rate	2032		2032