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Defined Benefit Plans
 3 Months Ended
Apr. 01, 2016
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract]  
Defined Benefit Plans
DEFINED BENEFIT PLANS
The following sets forth the components of the Company’s continuing operations net periodic benefit cost of the noncontributory defined benefit pension plans ($ in millions):
 
Three Month Period Ended
U.S. Pension Benefits
April 1, 2016
 
April 3, 2015
Service cost
$
2.3

 
$
1.5

Interest cost
22.7

 
24.1

Expected return on plan assets
(33.3
)
 
(32.8
)
Amortization of actuarial loss
6.0

 
6.5

Curtailment gain recognized
(0.7
)
 
—

Net periodic pension cost
$
(3.0
)

$
(0.7
)
 
 
 
 
Non-U.S. Pension Benefits
 
 
 
Service cost
$
9.6

 
$
11.3

Interest cost
10.5

 
8.6

Expected return on plan assets
(12.4
)
 
(9.5
)
Amortization of actuarial loss
3.3

 
4.4

Amortization of prior service credit
(0.1
)
 
(0.1
)
Settlement gain recognized
—

 
(0.4
)
Net periodic pension cost
$
10.9

 
$
14.3

The following sets forth the components of the Company’s continuing operations net periodic benefit cost of the other postretirement employee benefit plans ($ in millions): 
 
Three Month Period Ended
 
April 1, 2016
 
April 3, 2015
Service cost
$
0.2

 
$
0.3

Interest cost
1.4

 
2.0

Amortization of actuarial loss
0.1

 
0.7

Amortization of prior service credit
(0.8
)
 
(0.8
)
Net periodic benefit cost
$
0.9

 
$
2.2


Net periodic pension and benefit costs are included in cost of sales and selling, general and administrative expenses in the accompanying Consolidated Condensed Statements of Earnings.
Effective December 31, 2015, the Company changed its estimate of the service and interest cost components of net periodic benefit cost for its U.S. and non-U.S. pension and other postretirement benefit plans. Previously, the Company estimated the service and interest cost components utilizing a single weighted-average discount rate derived from the yield curve used to measure the benefit obligation. The new estimate utilizes a full yield curve approach in the estimation of these components by applying the specific spot rates along the yield curve used in the determination of the benefit obligation to their underlying projected cash flows. The new estimate provides a more precise measurement of service and interest costs by improving the correlation between projected benefit cash flows and their corresponding spot rates. The change does not affect the measurement of the Company’s U.S. and non-U.S. pension and other postretirement benefit obligations and it is accounted for as a change in accounting estimate that is inseparable from a change in accounting principle, which is applied prospectively. For fiscal year 2016, the change in estimate is expected to reduce U.S. and non-U.S. pension and other postretirement net periodic benefit plan cost by $25 million when compared to the prior estimate.
Employer Contributions
During 2016, the Company’s cash contribution requirements for its U.S. and non-U.S. defined benefit pension plans (including any pension plans to be assumed by the Fortive business that the Company anticipates spinning-off in 2016) are expected to be approximately $40 million and $55 million, respectively. The ultimate amounts to be contributed depend upon, among other things, legal requirements, underlying asset returns, the plan’s funded status, the anticipated tax deductibility of the contribution, local practices, market conditions, interest rates and other factors.