Note 16 - Retirement Plans

12 Months Ended

Dec. 31, 2014

Compensation and Retirement Disclosure [Abstract]

Pension and Other Postretirement Benefits Disclosure [Text Block]

NOTE 16:  RETIREMENT PLANS

Substantially allU.S. employees are covered by a noncontributory defined benefit plan, the Kodak Retirement Income Plan (“KRIP”), which is funded by Company contributions to an irrevocable trust fund.  The funding policy for KRIP is to contribute amounts sufficient to meet minimum funding requirements as determined by employee benefit and tax laws plus any additional amounts the Company determines to be appropriate.    Assets in the trust fund are held for the sole benefit of participating employees and retirees.  They are composed of corporate equity and debt securities, U.S. government securities, partnership investments, interests in pooled funds, commodities, real estate, and various types of interest rate, foreign currency, debt, and equity market financial instruments.

For U.S. employees hired prior to March 1999 KRIP’s benefits were generally based on a formula recognizing length of service and final average earnings.  KRIP included a separate cash balance formula for all U.S. employees hired after February 1999, as well as employees hired prior to that date who opted in to the cash balance formula during a special election period.  In July of 2014 the Company announced an amendment to KRIP, effective January 1, 2015, in which all participants will accrue benefits under a single, revised cash balance formula (the “Cash Balance Plan”).  The Cash Balance Plan credits employees' hypothetical accounts with an amount equal to 7% of their pay, plus interest based on the 30-year Treasury bond rate.  As part of the KRIP amendment, the Company match on contributions to the Savings and Investment Plan (“SIP”), a defined contribution plan, of up to 3% for employees participating under the previous 4% cash balance formula has been eliminated.  The Company’s contributions to SIP were $5 million and $6 million for 2014 and 2013, respectively.

Many subsidiaries and branches operating outside the U.S. have defined benefit retirement plans covering substantially all employees.  Contributions by Kodak for these plans are typically deposited under government or other fiduciary-type arrangements.  Retirement benefits are generally based on contractual agreements that provide for benefit formulas using years of service and/or compensation prior to retirement.  The actuarial assumptions used for these plans reflect the diverse economic environments within the various countries in which Kodak operates.

Information on the major funded and unfunded U.S. and Non-U.S. defined benefit pension plans is presented below.  The composition of the major plans may vary from year to year.  If the major plan composition changes, prior year data is conformed to ensure comparability.

The measurement date used to determine the pension obligation for all funded and unfunded U.S. and Non-U.S. defined benefit plans is December 31.

	Successor												Predecessor
(in millions)	Year Ended December 31, 2014						Four Months Ended December 31, 2013						Eight Months Ended August 31, 2013
	U.S.			Non-U.S.			U.S.			Non-U.S.			U.S.			Non-U.S.
Change in Benefit Obligation
Projected benefit obligation at beginning of period	$	4,361		$	1,010		$	4,969		$	1,008		$	5,415		$	4,192
Transfers		-			(31	)		-			-			(49	)		-
Service cost		18			4			7			2			19			6
Interest cost		176			30			67			11			120			95
Participant contributions		-			-			-			-			-			1
Plan amendments		(61	)		-			-			(6	)		-			-
Benefit payments		(346	)		(76	)		(123	)		(29	)		(247	)		(138	)
Actuarial (gain) loss		574			99			(27	)		4			(269	)		(104	)
Curtailments		-			1			-			(1	)		(20	)		(7	)
Settlements		(292	)		-			(532	)		-			-			(2,890	)
Special termination benefits		8			-			-			-			-			-
Currency adjustments		-			(105	)		-			21			-			(147	)
Projected benefit obligation at end of period	$	4,438		$	932		$	4,361		$	1,010		$	4,969		$	1,008
Change in Plan Assets
Fair value of plan assets at beginning of period	$	4,184		$	848		$	4,647		$	832		$	4,848		$	2,417
Transfers		-			(9	)		-			-			-			-
Gain on plan assets		614			116			192			26			46			77
Employer contributions		-			12			-			4			-			20
Participant contributions		-			-			-			-			-			1
Settlements		(292	)		-			(532	)		-			-			(1,463	)
Benefit payments		(346	)		(76	)		(123	)		(29	)		(247	)		(138	)
Currency adjustments		-			(87	)		-			15			-			(82	)
Fair value of plan assets at end of period	$	4,160		$	804		$	4,184		$	848		$	4,647		$	832
Under Funded Status at end of period	$	(278	)	$	(128	)	$	(177	)	$	(162	)	$	(322	)	$	(176	)
Accumulated benefit obligation at end of period	$	4,436		$	921		$	4,308		$	990

The Non-US transfers of $31 million of projected benefit obligation and $9 million of assets for the year ended December 31, 2014 relate to a plan split for a subset of participants into a non-major plan.  The transfers of $49 million in the eight months ended August 31, 2013 represent pre-petition obligations related to U.S. non-qualified pension plans which were discharged pursuant to the terms of the Plan.

The settlement amounts above of $292 million and $532 million for the U.S. in the Successor periods are a result of lump sum payments from KRIP.  The settlement amounts in the eight months ended August 31, 2013 are primarily a result of the Global Settlement.

The mortality assumption is the basis for determining the longevity of Kodak’s pension plan participants and the expected period over which those participants will receive pension benefits. A recent study released by the Society of Actuaries in the U.S. indicated that life expectancies have increased over the past several years and are longer than what was assumed by most existing mortality tables. Kodak’s projected benefit obligation in the U.S. as of December 31, 2014 reflects a change in the underlying mortality assumption, which reflects improvements in life expectancy consistent with the Society of Actuaries’ study and Kodak’s plan specific experience. Kodak’s projected benefit obligation in the U.S. also reflects an increase in the expected rate of future longevity improvement taking into consideration data from multiple sources including the Society of Actuaries’ study and plan specific data.

Amounts recognized in the Consolidated Statement of Financial Position for all major funded and unfunded U.S. and Non-U.S. defined benefit plans are as follows:

	As of December 31,
(in millions)	2014						2013
	U.S.			Non-U.S.			U.S.			Non-U.S.
Other long-term assets	$	-		$	29		$	-		$	-
Other current liabilities		-			-			-			(1	)
Pension and other postretirement liabilities		(278	)		(157	)		(177	)		(161	)
Net amount recognized	$	(278	)	$	(128	)	$	(177	)	$	(162	)

Information with respect to the major funded and unfunded U.S. and Non-U.S. defined benefit plans with an accumulated benefit obligation in excess of plan assets is as follows:

	As of December 31,
(in millions)	2014				2013
	U.S.		Non-U.S.		U.S.		Non-U.S.
Projected benefit obligation	$	4,438	$	637	$	4,361	$	1,010
Accumulated benefit obligation		4,436		626		4,308		990
Fair value of plan assets		4,160		480		4,184		848

Amounts recognized in accumulated other comprehensive (loss) income for all major funded and unfunded U.S. and Non-U.S. defined benefit plans consist of:

	As of December 31,
(in millions)	2014						2013
	U.S.			Non-U.S.			U.S.		Non-U.S.
Prior service credit	$	58		$	4		$	-	$	6
Net actuarial (loss) gain		(159	)		(11	)		86		7
Total	$	(101	)	$	(7	)	$	86	$	13

Other changes in plan assets and benefit obligations recognized in Other comprehensive income (expense) are as follows:

	Successor											Predecessor
	Year Ended December 31, 2014						Four Months Ended December 31, 2013					Eight Months Ended August 31, 2013
(in millions)	U.S.			Non-U.S.			U.S.			Non-U.S.		U.S.		Non-U.S.
Newly established (loss) gain	$	(255	)	$	(21	)	$	97		$	7	$	80	$	75
Newly established prior service credit		61			-			-			6		-		-
Amortization of:
Prior service (credit) cost		(3	)		-			-			-		1		1
Net actuarial loss		-			-			-			-		120		55
Prior service cost recognized due to   curtailment		-			-			-			-		1		13
Net curtailment (loss) gain not recognized in   expense		-			(1	)		-			-		20		7
Net loss (gain) recognized in expense due to settlements		10			-			(11	)		-		-		1,542
Transfers		-			1			-			-		-		-
Total Income (loss) recognized in Other comprehensive income before fresh start accounting	$	(187	)	$	(21	)	$	86		$	13	$	222	$	1,693
Effect of application of fresh start accounting												$	1,955	$	436

The Company expects to recognize $7 million of prior service credits and $3 million of net actuarial gains as components of net periodic benefit cost over the next year.

Pension (income) expense for all defined benefit plans included:

	Successor												Predecessor
(in millions)	Year Ended						Four Months Ended						Eight Months Ended						Year Ended
	December 31, 2014						December 31, 2013						August 31, 2013						December 31, 2012
	U.S.			Non-U.S.			U.S.			Non-U.S.			U.S.			Non-U.S.			U.S.			Non-U.S.
Major defined benefit plans:
Service cost	$	18		$	4		$	7		$	2		$	19		$	6		$	46		$	10
Interest cost		176			30			67			11			120			95			206			154
Expected return on plan assets		(295	)		(38	)		(122	)		(15	)		(236	)		(106	)		(389	)		(161	)
Amortization of:
Prior service credit		(3	)		-			-			-			1			1			1			3
Actuarial loss		-			-			-			-			120			55			166			64
Pension (income) expense before special termination benefits, curtailments and settlements		(104	)		(4	)		(48	)		(2	)		24			51			30			70
Special termination benefits		8			-			-			-			-			-			97			-
Curtailment (gains) losses		-			-			-			(1	)		1			13			-			(1	)
Settlement (gains) losses		10			-			(11	)		-			-			114			-			-
Net pension (income) expense for major defined benefit plans		(86	)		(4	)		(59	)		(3	)		25			178			127			69
Other plans including unfunded plans		-			8			-			-			4			7			11			15
Net pension (income) expense	$	(86	)	$	4		$	(59	)	$	(3	)	$	29		$	185		$	138		$	84

The pension (income) expense before special termination benefits, curtailments, and settlements reported above for the eight months ended August 31, 2013 and year ended December 31, 2012 (Predecessor) includes $38 million and $53 million respectively, which was reported as Earnings (loss) from discontinued operations.

The special termination benefits of $8 million for the year ended December 31, 2014 and $97 million for the year ended December 31, 2012 were incurred as a result of Kodak's restructuring actions and, therefore, have been included in Restructuring costs and other in the Consolidated Statement of Operations for those periods.

For the eight months ended August 31, 2013, $5 million of the Non-U.S. curtailment losses were incurred as a result of Kodak’s restructuring actions, and have been included in Restructuring costs and other in the Consolidated Statement of Operations.  The remaining curtailment losses of $8 million have been included in Earnings (loss) from discontinued operations in the Consolidated Statement of Operations.  The $114 million of settlement losses were incurred as a result of the Global Settlement, and have been included in Earnings (loss) from discontinued operations in the Consolidated Statement of Operations.

The weighted-average assumptions used to determine the benefit obligation amounts for all major funded and unfunded U.S. and Non-U.S. defined benefit plans were as follows:

	Successor												Predecessor
	December 31, 2014						December 31, 2013						August 31, 2013
	U.S.			Non-U.S.			U.S.			Non-U.S.			U.S.			Non-U.S.
Discount rate		3.50	%		2.07	%		4.50	%		3.30	%		4.25	%		3.24	%
Salary increase rate		3.34	%		1.95	%		3.37	%		2.77	%		3.39	%		2.80	%

The weighted-average assumptions used to determine net pension (income) expense for all the major funded and unfunded U.S. and Non-U.S. defined benefit plans were as follows:

	Successor												Predecessor
	Year Ended						Four Months Ended						Eight Months Ended						Year Ended
	December 31, 2014						December 31, 2013						August 31, 2013						December 31, 2012
	U.S.			Non-U.S.			U.S.			Non-U.S.			U.S.			Non-U.S.			U.S.			Non-U.S.
Discount rate		4.16	%		3.24	%		4.25	%		3.24	%		3.52	%		3.59	%		4.26	%		4.46	%
Salary increase rate		3.37	%		2.66	%		3.39	%		2.80	%		3.40	%		2.83	%		3.45	%		2.98	%
Expected long-term rate of return on plan   assets		7.63	%		4.88	%		8.20	%		5.51	%		8.12	%		6.63	%		8.52	%		7.11	%

Plan Asset Investment Strategy

The investment strategy underlying the asset allocation for the pension assets is to achieve an optimal return on assets with an acceptable level of risk while providing for the long-term liabilities, and maintaining sufficient liquidity to pay current benefits and other cash obligations of the plans.  This is primarily achieved by investing in a broad portfolio constructed of various asset classes including equity and equity-like investments, debt and debt-like investments, real estate, private equity and other assets and instruments.  Long duration bonds and Treasury bond futures are used to partially match the long-term nature of plan liabilities. Other investment objectives include maintaining broad diversification between and within asset classes and fund managers, and managing asset volatility relative to plan liabilities.

Every three years, or when market conditions have changed materially, each of Kodak’s major pension plans will undertake an asset allocation or asset and liability modeling study.  The asset allocation and expected return on the plans’ assets are individually set to provide for benefits and other cash obligations within each country’s legal investment constraints.

Actual allocations may vary from the target asset allocations due to market value fluctuations, the length of time it takes to implement changes in strategy, and the timing of cash contributions and cash requirements of the plans.  The asset allocations are monitored, and are rebalanced in accordance with the policy set forth for each plan.

The total plan assets attributable to the major U.S. defined benefit plans at December 31, 2014 relate to KRIP.  The expected long-term rate of return on plan assets assumption (“EROA”) is based on a combination of formal asset and liability studies that include forward-looking return expectations given the current asset allocation.  A review of the EROA as of December 31, 2014, based upon the current asset allocation and forward-looking expected returns for the various asset classes in which KRIP invests, resulted in an EROA of 7.4%.

As with KRIP, the EROA assumptions for certain of Kodak’s other pension plans were reassessed as of December 31, 2014.  The annual expected return on plan assets for the major non-U.S. pension plans range from 2.7% to 6.7% based on the plans’ respective asset allocations as of December 31, 2014.

Plan Asset Risk Management

Kodak evaluates its defined benefit plans’ asset portfolios for the existence of significant concentrations of risk.  Types of concentrations that are evaluated include, but are not limited to, investment concentrations in a single entity, type of industry, foreign country, and individual fund.  As of December 31, 2014 and 2013, there were no significant concentrations (defined as greater than 10 % of plan assets) of risk in Kodak’s defined benefit plan assets.

The Company's weighted-average asset allocations for its major U.S. defined benefit pension plans by asset category, are as follows:

	As of December 31,
	2014			2013			2014 Target
Asset Category
Equity securities		15	%		16	%		10-20	%
Debt securities		35	%		30	%		30-40	%
Real estate		3	%		5	%		2-8	%
Cash and cash equivalents		3	%		14	%		0-6	%
Global balanced asset allocation funds		14	%		13	%		10-20	%
Other		30	%		22	%		25-35	%
Total		100	%		100	%

The Company's weighted-average asset allocations for its major Non-U.S. defined benefit pension plans by asset category, are as follows:

	As of December 31,
	2014			2013			2014 Target
Asset Category
Equity securities		6	%		18	%		2-12	%
Debt securities		27	%		27	%		22-32	%
Real estate		1	%		1	%		0-3	%
Cash and cash equivalents		4	%		3	%		0-8	%
Global balanced asset allocation funds		11	%		6	%		5-15	%
Other		51	%		45	%		45-55	%
Total		100	%		100	%

Fair Value Measurements

Kodak’s asset allocations by level within the fair value hierarchy at December 31, 2014 and 2013 are presented in the tables below for Kodak’s major defined benefit plans.  Kodak’s plan assets were accounted for at fair value and are classified in their entirety based on the lowest level of input that is significant to the fair value measurement.  Kodak’s assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of fair value of assets and their placement within the fair value hierarchy levels.

Major U.S. Plans

December 31, 2014

	U.S.
(in millions)	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Cash and cash equivalents	$	-	$	114	$	-	$	114
Equity Securities		-		408		223		631
Debt Securities:
Government Bonds		-		595		395		990
Investment Grade Bonds		-		442		-		442
Real Estate		-		-		139		139
Global Balanced Asset Allocation Funds		-		587		-		587
Other:
Absolute Return		-		58		368		426
Private Equity		-		-		781		781
Derivatives with unrealized gains		50		-		-		50
	$	50	$	2,204	$	1,906	$	4,160

Major U.S. Plans

December 31, 2013

	U.S.
(in millions)	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Cash and cash equivalents	$	-		$	587	$	-	$	587
Equity Securities		-			481		183		664
Debt Securities:
Government Bonds		-			224		205		429
Inflation-Linked Bonds		-			39		105		144
Investment Grade Bonds		-			234		-		234
Global High Yield & Emerging Market Debt		-			263		178		441
Real Estate		-			-		200		200
Global Balanced Asset Allocation Funds		-			540		-		540
Other:
Private Equity		-			-		951		951
Derivatives with unrealized gains		16			-		-		16
Derivatives with unrealized losses		(22	)		-		-		(22	)
	$	(6	)	$	2,368	$	1,822	$	4,184

For Kodak’s major U.S. defined benefit pension plans, equity investments are invested broadly in U.S. equity, developed international equity, and emerging markets.  Fixed income investments are comprised primarily of long duration U.S. Treasuries and global government bonds, U.S. below investment-grade corporate bonds, as well as U.S. and emerging market companies’ debt securities diversified by sector, geography, and through a wide range of market capitalizations.  Real estate investments include investments in office, industrial, retail and apartment properties.  Private equity investments are primarily comprised of limited partnerships and fund-of-fund investments that invest in distressed investments, venture capital, leveraged buyout and special situation funds.  Natural resource investments in oil and gas partnerships and timber funds are also included in this category. Absolute return investments are comprised of a diversified portfolio of hedge funds using equity, debt, commodity, and currency strategies held separate from the derivative-linked hedge funds described later in this footnote.

Major Non-U.S. Plans

December 31, 2014

	Non - U.S.
(in millions)	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Cash and cash equivalents	$	-		$	36	$	-	$	36
Equity Securities		-			33		13		46
Debt Securities:
Government Bonds		-			124		38		162
Inflation-Linked Bonds		-			9		-		9
Investment Grade Bonds		-			37		-		37
Global High Yield & Emerging Market Debt		-			11		-		11
Real Estate		-			3		-		3
Global Balanced Asset Allocation Funds		-			91		-		91
Other:
Absolute Return		-			11		-		11
Private Equity		-			-		55		55
Insurance Contracts		-			340		-		340
Derivatives with unrealized gains		5			-		-		5
Derivatives with unrealized losses		(2	)		-		-		(2	)
	$	3		$	695	$	106	$	804

Major Non-U.S. Plans

December 31, 2013

	Non - U.S.
(in millions)	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Cash and cash equivalents	$	-		$	21	$	-	$	21
Equity Securities		-			137		15		152
Debt Securities:
Government Bonds		-			101		32		133
Inflation-Linked Bonds		-			10		-		10
Investment Grade Bonds		-			62		-		62
Global High Yield & Emerging Market Debt		-			24		-		24
Real Estate		-			4		5		9
Global Balanced Asset Allocation Funds		-			53		-		53
Other:
Absolute Return		-			36		-		36
Private Equity		-			2		54		56
Insurance Contracts		-			295		-		295
Derivatives with unrealized gains		1			-		-		1
Derivatives with unrealized losses		(4	)		-		-		(4	)
	$	(3	)	$	745	$	106	$	848

For Kodak’s major non-U.S. defined benefit pension plans, equity investments are invested broadly in local equity, developed international and emerging markets.  Fixed income investments are comprised primarily of long duration government and corporate bonds with some emerging market debt.  Real estate investments include investments in primarily office, industrial, and retail properties.  Private equity investments are comprised of limited partnerships and fund-of-fund investments that invest in distressed investments, venture capital and leveraged buyout funds.  Absolute return investments are comprised of a diversified portfolio of hedge funds using equity, debt, commodity, and currency strategies held separate from the derivative-linked hedge funds described later in this footnote.

Cash and cash equivalents are valued utilizing cost approach valuation techniques.  Equity and debt securities are valued using a market approach based on the closing price on the last business day of the year (if the securities are traded on an active market), or based on the proportionate share of the estimated fair value of the underlying assets (net asset value).  Other investments are valued using a combination of market, income, and cost approaches, based on the nature of the investment.  Absolute return investments are primarily valued based on net asset value derived from observable market inputs.  Real estate investments are valued primarily based on independent appraisals and discounted cash flow models, taking into consideration discount rates and local market conditions.  Private equity investments are valued primarily based on independent appraisals, discounted cash flow models, cost, and comparable market transactions, which include inputs such as discount rates and pricing data from the most recent equity financing.  Insurance contracts are primarily valued based on contract values, which approximate fair value.

Some of the plans’ assets, primarily absolute return, real estate, and private equity, do not have readily determinable market values due to the nature of these investments.  For these investments, fund manager or general partner estimates were used where available.  The estimates for the absolute return assets are derived from observable inputs, based on the fair value of the underlying positions, which have readily available market prices.  For investments with lagged pricing, Kodak used the available net asset values, and also considered expected return, subsequent cash flows and material events.

For all of Kodak’s major defined benefit pension plans, investment managers are selected that are expected to provide best-in-class asset management for their particular asset class, and expected returns greater than those expected from existing salable assets, especially if this would maintain the aggregate volatility desired for each plan’s portfolio.  Investment managers are retained for the purpose of managing specific investment strategies within contractual investment guidelines.  Certain investment managers are authorized to invest in derivatives such as futures, swaps, and currency forward contracts.  Investments in futures and swaps are used to obtain targeted exposure to a particular asset, index or bond duration and only require a portion of the cash to gain exposure to the notional value of the underlying investment.  The remaining cash is available to be deployed and in some cases is invested in a diversified portfolio of various uncorrelated hedge fund strategies that provide added returns at a lower level of risk.  Of the investments shown in the major U.S. plans table above, 9% and 25% of the total pension assets as of December 31, 2014 reported in equity securities and government bonds, respectively, and 10%, 10%, and 3% of the total pension assets as of December 31, 2013 reported in equity securities, government bonds, and inflation-linked bonds, respectively, are reflective of the exposures gained from the use of derivatives, and are invested in a diversified portfolio of hedge funds using equity, debt, commodity, and currency strategies.

Of the investments shown in the major Non-U.S. plans table above, 1%, and 9% of the total pension assets as of December 31, 2014 reported in equity securities and government bonds, respectively, and 1%, and 10% of the total pension assets as of December 31, 2013 reported in equity securities and government bonds, respectively, are reflective of the exposures gained from the use of derivatives, and are invested in a diversified portfolio of hedge funds using equity, debt, commodity, and currency strategies.

Foreign currency contracts and swaps are used to partially hedge foreign currency risk.  Additionally, Kodak’s major defined benefit pension plans invest in government bond futures or local government bonds to partially hedge the liability risk of the plans.

The following is a reconciliation of the beginning and ending balances of level 3 assets of Kodak’s major U.S. defined benefit pension plans:

(in millions)

	Successor
	U.S.
	Balance at January 1, 2014		Net Realized and Unrealized Gains/(Losses)			Net Purchases and Sales			Net Transfer Into/(Out of) Level 3		Balance at December 31, 2014
Equity Securities	$	183	$	22		$	18		$	-	$	223
Government Bonds		205		26			164			-		395
Inflation-Linked Bonds		105		(1	)		(104	)		-		-
Global High Yield & Emerging Market Debt		178		25			(203	)		-		-
Absolute Return		-		(8	)		293			83		368
Real Estate		200		22			(83	)		-		139
Private Equity		951		93			(263	)		-		781
Total	$	1,822	$	179		$	(178	)	$	83	$	1,906

	Successor
	U.S.
	Balance at September 1, 2013		Net Realized and Unrealized Gains/(Losses)			Net Purchases and Sales			Net Transfer Into/(Out of) Level 3		Balance at December 31, 2013
Equity Securities	$	176	$	9		$	(2	)	$	-	$	183
Government Bonds		204		5			(4	)		-		205
Inflation-Linked Bonds		111		(4	)		(2	)		-		105
Global High Yield & Emerging Market Debt		140		38			-			-		178
Real Estate		204		6			(10	)		-		200
Private Equity		959		52			(60	)		-		951
Total	$	1,794	$	106		$	(78	)	$	-	$	1,822

	Predecessor
	U.S.
	Balance at January 1, 2013		Net Realized and Unrealized Gains/(Losses)		Net Purchases and Sales			Net Transfer Into/(Out of) Level 3			Balance at  August 31, 2013
Equity Securities	$	163	$	16	$	5		$	(8	)	$	176
Government Bonds		201		17		(15	)		1			204
Inflation-Linked Bonds		104		12		(5	)		-			111
Absolute Return		201		27		(5	)		(83	)		140
Real Estate		198		21		(15	)		-			204
Private Equity		1,002		39		(82	)		-			959
Total	$	1,869	$	132	$	(117	)	$	(90	)	$	1,794

The following is a reconciliation of the beginning and ending balances of level 3 assets of Kodak’s major Non-U.S. defined benefit pension plans (in millions):

	Successor
	Non-U.S.
	Balance at January 1, 2014		Net Realized and Unrealized Gains/(Losses)		Net Purchases and Sales			Net Transfer Into/(Out of) Level 3		Balance at December 31, 2014
Equity Securities	$	15	$	2	$	(4	)	$	-	$	13
Government Bonds		32		4		2			-		38
Real Estate		5		-		(5	)		-		-
Private Equity		54		9		(8	)		-		55
Total	$	106	$	15	$	(15	)	$	-	$	106

	Successor
	Non-U.S.
	Balance at September 1, 2013		Net Realized and Unrealized Gains/(Losses)		Net Purchases and Sales			Net Transfer Into/(Out of) Level 3		Balance at December 31, 2013
Equity Securities	$	15	$	1	$	(1	)	$	-	$	15
Government Bonds		30		2		-			-		32
Real Estate		7		-		(2	)		-		5
Private Equity		55		1		(2	)		-		54
Total	$	107	$	4	$	(5	)	$	-	$	106

	Predecessor
	Non-U.S.
	Balance at January 1, 2013		Net Realized and Unrealized Gains/(Losses)			Net Purchases and Sales			Net Transfer Into/(Out of) Level 3		Balance at  August 31, 2013
Equity Securities	$	13	$	2		$	-		$	-	$	15
Government Bonds		7		4			19			-		30
Inflation-Linked Bonds		251		21			(272	)		-		-
Real Estate		44		(5	)		(32	)		-		7
Private Equity		322		(26	)		(241	)		-		55
Total	$	637	$	(4	)	$	(526	)	$	-	$	107

Kodak expects to contribute $15 million in 2015 for the major Non-U.S. defined benefit pension plans and does not expect to make a contribution to KRIP in 2015.

The following pension benefit payments, which reflect expected future service, are expected to be paid:

(in millions)	U.S.		Non-U.S.
2015	$	392	$	61
2016		354		57
2017		342		54
2018		331		53
2019		321		51
2020-2024		1,455		244