POSTRETIREMENT BENEFIT PLANS (Tables)

12 Months Ended

Dec. 31, 2022

Description Postretirement Benefit Plans

DESCRIPTION OF OUR PLANS

Plan Category

Participants

Funding

Comments

Principal Pension Plans

GE Pension Plan

Covers U.S. participants ~177,000 retirees and beneficiaries, ~82,500 vested former employees and ~23,000 active employees

Our funding policy is to contribute amounts sufficient to meet minimum funding requirements under employee benefit and tax laws. We may decide to contribute additional amounts beyond this level.

This plan has been closed to new participants since 2012. Benefits for ~20,000 employees with salaried benefits were frozen effective January 1, 2021, and thereafter these employees receive increased company contributions in the company sponsored defined contribution plan in lieu of participation in a defined benefit plan (announced October 2019).

GE Supplementary Pension Plan

Provides supplementary benefits to higher-level, longer-service U.S. employees

This plan is unfunded. We pay benefits from company cash.

The annuity benefit has been closed to new participants since 2011 and has been replaced by an installment benefit (which was closed to new executives after 2020). Benefits for ~700 employees who became executives before 2011 were frozen effective January 1, 2021, and thereafter these employees accrue the installment benefit.

Other Pension Plans(a)

41 U.S. and non-U.S. pension plans with pension assets or obligations that have reached $50 million

Covers ~58,000 retirees and beneficiaries, ~48,500 vested former employees and ~14,000 active employees

Our funding policy is to contribute amounts sufficient to meet minimum funding requirements under employee benefit and tax laws in each country. We may decide to contribute additional amounts beyond this level. We pay benefits for some plans from company cash.

In certain countries, benefit accruals have ceased and/or have been closed to new hires as of various dates.

Principal Retiree Benefit Plans

Provides health and life insurance benefits to certain eligible participants

Covers U.S. participants ~151,500 retirees and dependents and ~21,500 active employees

We fund retiree health benefits on a pay-as-you-go basis and the retiree life insurance trust at our discretion.

Participants share in the cost of the healthcare benefits.

(a) Plans that reach $50 million are not removed from the presentation unless part of a disposition or plan termination.

Funded Status


FUNDING STATUS BY PLAN TYPE	Benefit Obligation				Fair Value of Assets				Deficit/(Surplus)
	2022		2021		2022		2021		2022		2021
Principal Pension Plans:
GE Pension Plan (subject to regulatory funding)	$	48,134	$	65,073	$	44,993	$	60,990	$	3,141	$	4,083
GE Supplementary Pension Plan (not subject to regulatory funding)	5,457		7,226		—		—		5,457		7,226
	53,591		72,299		44,993		60,990		8,598		11,309
Other Pension Plans:
Subject to regulatory funding	12,078		19,698		14,512		22,280		(2,434)		(2,582)
Not subject to regulatory funding	1,838		2,558		151		210		1,687		2,348
Principal retiree benefit plans (not subject to regulatory funding)	3,304		4,308		10		42		3,294		4,266

Total plans subject to regulatory funding	60,212		84,771		59,505		83,270		707		1,501
Total plans not subject to regulatory funding	10,599		14,092		161		252		10,438		13,840
Total plans	$	70,811	$	98,863	$	59,666	$	83,522	$	11,145	$	15,341


PLAN FUNDED STATUS AND AMOUNTS RECORDED IN ACCUMULATED OTHER COMPREHENSIVE LOSS (INCOME)
	2022									2021
	Principal pension			Other pension			Principal retiree benefit			Principal pension			Other pension			Principal retiree benefit
Change in benefit obligations
Balance at January 1	$	72,299		$	22,256		$	4,308		$	76,298		$	24,658		$	5,019
Service cost	221			86			39			237			233			44
Interest cost	2,069			398			108			1,951			383			103
Participant contributions	14			19			54			15			24			60
Plan amendments	—			—			—			—			(1)			—
Actuarial loss (gain) - net	(17,281)		(a)	(6,282)		(a)	(778)		(a)	(2,448)		(a)	(1,561)		(a)	(446)
Benefits paid	(3,731)			(920)			(438)			(3,754)			(998)			(472)
Curtailments	—			—			—			—			(74)			—

Dispositions/acquisitions/other - net	—			—			11			—			(188)			—
Exchange rate adjustments	—			(1,641)			—			—			(220)			—
Balance at December 31	$	53,591	(b)	$	13,916		$	3,304	(c)	$	72,299	(b)	$	22,256		$	4,308	(c)
Change in plan assets
Balance at January 1	$	60,990		$	22,490		$	42		$	58,843		$	21,506		$	134
Actual gain (loss) on plan assets	(12,605)			(5,334)			—			5,559			1,602			41
Employer contributions	325			209			352			327			594			279
Participant contributions	14			19			54			15			24			60
Benefits paid	(3,731)			(920)			(438)			(3,754)			(998)			(472)

Dispositions/acquisitions/other - net	—			—			—			—			(138)			—
Exchange rate adjustments	—			(1,801)			—			—			(100)			—
Balance at December 31	$	44,993		$	14,663		$	10		$	60,990		$	22,490		$	42
Funded status - surplus (deficit)	$	(8,598)		$	747		$	(3,294)		$	(11,309)		$	234		$	(4,266)
Amounts recorded in Statement of Financial Position
Non-current assets - other	$	—		$	2,591		$	—		$	—		$	2,898		$	—
Current liabilities - other	(351)			(101)			(355)			(337)			(107)			(362)
Non-current liabilities - compensation and benefits	(8,247)			(1,743)			(2,939)			(10,972)			(2,557)			(3,904)
Net amount recorded	$	(8,598)		$	747		$	(3,294)		$	(11,309)		$	234		$	(4,266)
Amounts recorded in Accumulated other comprehensive loss (income)
Prior service cost (credit)	$	(113)		$	(42)		$	(1,677)		$	(109)		$	(52)		$	(1,912)
Net loss (gain)	(5,710)			1,787			(1,705)			(2,754)			2,012			(1,042)
Total recorded in Accumulated other comprehensive loss (income)	$	(5,823)		$	1,745		$	(3,382)		$	(2,863)		$	1,960		$	(2,954)

(a)Principally associated with discount rate changes.

(b)The benefit obligation for the GE Supplementary Pension Plan, which is an unfunded plan, was $5,457 million and $7,226 million at December 31, 2022 and 2021, respectively.

(c)The benefit obligation for retiree health plans was $1,991 million and $2,548 million at December 31, 2022 and 2021, respectively.

Cost of Benefits Plans and Assumptions



COST OF OUR BENEFITS PLANS	2022									2021									2020
AND ASSUMPTIONS	Principal pension			Other pension			Principal retiree benefit			Principal pension			Other pension			Principal retiree benefit			Principal pension			Other pension			Principal retiree benefit
Components of expense (income)
Service cost - operating	$	221		$	86		$	39		$	237		$	233		$	44		$	657		$	243		$	59
Interest cost	2,069			398			108			1,951			383			103			2,350			422			150
Expected return on plan assets	(3,142)			(967)			—			(3,049)			(1,194)			—			(2,993)			(1,082)			(11)
Amortization of net loss (gain)	1,422			101			(115)			3,483			403			(79)			3,399			434			(82)
Amortization of prior service cost (credit)	5			(8)			(235)			28			(3)			(236)			146			1			(234)
Curtailment / settlement loss (gain)	—			(6)			—			—			76			—			—			12			—
Non-operating	$	354		$	(482)		$	(242)		$	2,413		$	(335)		$	(212)		$	2,902		$	(213)		$	(177)
Net periodic expense (income)	$	575		$	(396)		$	(203)		$	2,650		$	(102)		$	(168)		$	3,559		$	30		$	(118)
Weighted-average benefit obligations assumptions
Discount rate	5.53		%	4.59		%	5.43		%	2.94		%	1.93		%	2.64		%	2.61		%	1.44		%	2.15		%
Compensation increases	3.07			2.44			3.12			3.05			2.35			2.63			2.95			3.06			2.82
Initial healthcare trend rate(a)	N/A			N/A			6.40			N/A			N/A			5.70			N/A			N/A			5.90
Weighted-average benefit cost assumptions
Discount rate	2.94			1.93			2.64			2.61			1.44			2.15			3.36			1.97			3.05
Expected rate of return on plan assets	6.00			4.80			—			6.25			5.69			1.25			6.25			6.10			7.00

(a) For 2022, ultimately declining to 5% for 2030 and thereafter.

Composition of Plan Assets

The fair value of our pension plans' investments is presented below. The inputs and valuation techniques used to measure the fair value of these assets are described in Note 1 and have been applied consistently.


	2022				2021
	Principal pension		Other pension		Principal pension		Other pension
Global equities	$	3,918	$	1,097	$	7,778	$	3,589
Debt securities
Fixed income and cash investment funds	4,918		6,506		7,665		10,527
U.S. corporate(a)	8,715		382		10,324		468
Other debt securities(b)	7,853		443		7,331		492
Real estate	1,486		53		2,510		89
Private equities and other investments	1,245		364		1,515		943
Total	28,135		8,845		37,123		16,108
Plan assets measured at net asset value
Global equities	$	3,285	$	1,029	$	9,517	$	1,172
Debt securities	3,469		1,024		5,269		1,287
Real estate	1,624		1,976		1,408		2,126
Private equities and other investments	8,480		1,789		7,673		1,797
Total plan assets at fair value	$	44,993	$	14,663	$	60,990	$	22,490

(a)Primarily represented investment-grade bonds of U.S. issuers from diverse industries.

(b)Primarily represented investments in residential and commercial mortgage-backed securities, non-U.S. corporate and government bonds and U.S. government, federal agency, state and municipal debt.

Asset Allocation


ASSET ALLOCATION OF PENSION PLANS	2022 Target allocation				2022 Actual allocation
	Principal Pension		Other Pension (weighted average)		Principal Pension		Other Pension (weighted average)
Global equities	14.0 - 34.0	%	17	%	16	%	14	%
Debt securities (including cash equivalents)	31.0 - 81.5		60		55		57
Real estate	1.0 - 10.0		8		7		14
Private equities & other investments	6.0 - 30.0		15		22		15

Schedule of Defined Benefit Plan Annual Returns


ANNUALIZED RETURNS	1 year		5 years		10 years		25 years
GE Pension Plan	(20.5)	%	2.7	%	5.4	%	5.8	%

Estimated Future Benefit Payments


EXPECTED FUTURE BENEFIT PAYMENTS OF OUR BENEFIT PLANS(a)	Principal pension		Other pension		Principal retiree benefit
2023	$	3,830	$	850	$	375
2024	3,865		845		360
2025	3,890		855		345
2026	3,910		870		330
2027	3,920		885		325
2028-2032	19,510		4,585		1,375

(a) As of the measurement date of December 31, 2022

Cost of Postretirement Benefit Plans and Changes in Other Comprehensive Income


COST OF POSTRETIREMENT BENEFIT PLANS AND CHANGES IN OTHER COMPREHENSIVE INCOME
For the years ended December 31	2022						2021						2020
(Pre-tax)	Principal pension		Other pension		Principal retiree benefit		Principal pension		Other pension		Principal retiree benefit		Principal pension		Other pension		Principal retiree benefit
Cost (income) of postretirement benefit plans	$	575	$	(396)	$	(203)	$	2,650	$	(102)	$	(168)	$	3,559	$	30	$	(118)
Changes in other comprehensive loss (income)
Prior service cost (credit) - current year	—		—		—		—		(1)		—		—		27		(7)
Net loss (gain) - current year	(1,533)		(128)		(778)		(4,959)		(2,104)		(488)		1,124		529		119
Reclassifications out of AOCI
Curtailment/settlement gain (loss)	—		6		—		—		(68)		—		—		(3)		—
Dispositions	—		—		—		—		(68)		—		—		(166)		—
Amortization of net gain (loss)	(1,422)		(101)		115		(3,483)		(403)		79		(3,399)		(434)		82
Amortization of prior service credit (cost)	(5)		8		235		(28)		3		236		(146)		(1)		234
Total changes in other comprehensive loss (income)	(2,960)		(215)		(428)		(8,470)		(2,641)		(173)		(2,421)		(48)		428
Cost (income) of postretirement benefit plans and changes in other comprehensive loss (income)	$	(2,385)	$	(611)	$	(631)	$	(5,820)	$	(2,743)	$	(341)	$	1,138	$	(18)	$	310