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Retirement Benefits
 12 Months Ended
Dec. 31, 2021
Pension and Other Postretirement Benefits Cost (Reversal of Cost) [Abstract]  
Retirement Benefits Retirement Benefits
 
The Company has funded and unfunded non-contributory U.S. and foreign defined benefit pension plans. Benefits under these plans are generally provided based on either years of service and final average pay or a specified dollar amount per year of service. The U.S. defined benefit pension plan has been closed to new participants since 2004, while the Canadian and UK defined benefit pension plans have been closed to new entrants since 2006 and 2007, respectively. These U.S., Canadian and UK employees are eligible instead for defined contribution plans.
 
The Company also has a number of health care and life insurance benefit plans covering eligible employees who reached retirement age while working for the Company. These benefits have been discontinued for substantially all future retirees. The Company anticipates future cost-sharing charges for its discontinued plans that are consistent with past practices. The Company uses a December 31 measurement date for all of its plans.

In 2020, the Company recognized a $7.6 million settlement loss relating to retirees that elected to receive lump-sum distributions from the Company's defined benefit pension plans. This charge was the result of lump-sum payments which exceeded the threshold for settlement accounting under U.S. GAAP for 2020.

In 2019, the Company approved amendments to one of its domestic qualified defined benefit pension plans, which froze service accruals for nearly all active participants within the plan effective January 1, 2020. As a result of the amendment, the Company recognized a $0.3 million curtailment charge, net of tax. Effective January 1, 2020, the amortization of unrecognized gains and losses of all of the Company's qualified defined benefit pension plans is recognized over the remaining life expectancy of participants, as nearly all participants are considered inactive as a result of plan amendments.

The Company's U.S. defined benefit pension plans were approximately 87% of the $937.7 million total pension benefit obligations at December 31, 2021. 
The following table sets forth the reconciliation of beginning and ending balances of the benefit obligations and the plan assets for the Company’s defined benefit pension and other benefit plans at December 31, (in millions): 
 Pension BenefitsOther Benefits
 2021202020212020
Change in benefit obligation    
Benefit obligation at beginning of year$994.2 $938.7 $23.2 $23.8 
Service cost1.0 1.2 — — 
Interest cost23.8 28.0 0.6 0.7 
Plan participants’ contributions— — — — 
Amendments3.6 — — — 
Actuarial loss/(gain)(22.0)89.6 (4.2)0.2 
Curtailment gain— (0.1)— — 
Settlements(0.1)(24.7)— — 
Currency impact(0.9)5.1 — — 
Other(0.3)— — — 
Benefits paid(61.6)(43.6)(0.7)(1.5)
Benefit obligation at end of year$937.7 $994.2 $18.9 $23.2 
Change in plan assets
Fair value of plan assets at beginning of year$805.1 $743.4 $— $— 
Actual return on plan assets15.6 94.9 — — 
Employer contributions7.9 29.5 0.7 1.5 
Plan participants’ contributions— — — — 
Settlements(0.1)(24.7)— — 
Currency impact(1.3)5.6 — — 
Benefits paid(61.6)(43.6)(0.7)(1.5)
Fair value of plan assets at end of year$765.6 $805.1 $— $— 
FUNDED STATUS$(172.1)$(189.1)$(18.9)$(23.2)
Amounts recognized in the consolidated balance sheet consist of:
Prepaid pensions (included in Other long-term assets)$24.8 $16.4 $— $— 
Accrued benefit liability (short-term and long-term)(196.9)(205.5)(18.9)(23.2)
NET AMOUNT RECOGNIZED IN THE CONSOLIDATED BALANCE SHEET$(172.1)$(189.1)$(18.9)$(23.2)
Amounts recognized in Accumulated other comprehensive loss (income) consist of:
Net actuarial loss$263.1 $275.4 $(3.4)$0.6 
Prior service cost (credit)6.9 3.5 — — 
NET AMOUNT RECOGNIZED IN ACCUMULATED OTHER COMPREHENSIVE LOSS$270.0 $278.9 $(3.4)$0.6 
 
The accumulated benefit obligation for all defined benefit pension plans was $937.6 million and $993.9 million at December 31, 2021 and 2020, respectively. Information with respect to plans with accumulated benefit obligations in excess of plan assets is as follows, (in millions):
 20212020
Projected benefit obligation$817.7 $865.1 
Accumulated benefit obligation$817.7 $865.1 
Fair value of plan assets$620.7 $659.5 
  
The following table sets forth the components of pension and other benefit costs for the years ended December 31, (in millions):
 Pension BenefitsOther Benefits
 202120202019202120202019
Components of net periodic benefit cost:      
Service cost$1.0 $1.2 $2.2 $— $— $0.1 
Interest cost23.8 28.0 34.6 0.6 0.7 1.1 
Expected return on plan assets(36.5)(33.9)(30.7)— — — 
Amortization of prior service cost (credit)0.2 0.2 0.2 — (0.4)(0.9)
Amortization of actuarial losses (gains)10.8 9.8 9.6 (0.1)(0.1)0.1 
Curtailment and settlement losses— 7.5 0.3 — — — 
Net periodic benefit cost$(0.7)$12.8 $16.2 $0.5 $0.2 $0.4 
Changes recognized in other comprehensive loss (income), before tax:
Current year net actuarial loss (gain)$(1.4)$28.6 $31.5 $(4.1)$0.1 $(2.0)
Current year prior service credit3.6 — — — — — 
Amortization of prior service (cost) credit(0.2)(0.2)(0.2)— 0.4 0.9 
Amortization of net actuarial (losses) gains(10.8)(9.8)(9.6)0.1 0.1 (0.1)
Currency impact(0.2)0.1 0.7 — — — 
Settlement adjustment— (7.6)— — — — 
Curtailment adjustments— 0.1 (0.3)— — — 
Total recognized in other comprehensive loss(9.0)11.2 22.1 (4.0)0.6 (1.2)
TOTAL RECOGNIZED IN NET PERIODIC PENSION COST AND OTHER COMPREHENSIVE LOSS$(9.7)$24.0 $38.3 $(3.5)$0.8 $(0.8)
 
The Company also maintains four primary defined contribution pension plans. The total cost of the Company's defined contribution plans was $23.3 million in 2021, $21.0 million in 2020 and $20.8 million in 2019, excluding the employer match for the 401(k) plan. This cost is not included in the above net periodic benefit cost for the defined benefit pension plans.
 
In 2019, 2020 and 2021 the Company participated in one multi-employer defined benefit pension plan. The Company’s total contributions while participating in this plan was $0.2 million in each of these years.

The risks of participating in multi-employer plans are different from single-employer plans in that assets contributed are pooled and may be used to provide benefits to employees of other participating employers. If a participating employer stops contributing to the plan, the unfunded obligations of the plan may have to be assumed by the remaining participant employers. If we choose to stop participating in a multi-employer plan we may be required to pay those plans a withdrawal liability based on the unfunded status of the plan.
Assumptions
 
The following assumptions were used to determine the projected benefit obligations at the measurement date and the net periodic benefit cost for the year:
 Pension BenefitsOther Benefits
 202120202019202120202019
Weighted-average assumptions used to determine benefit obligations at December 31,     
Discount rate2.79 %2.47 %3.17 %2.90 %2.50 %3.30 %
Rate of compensation increase0.08 %0.24 %2.94 %3.87 %3.99 %4.00 %
Weighted-average assumptions used to determine net periodic benefit cost for years ended December 31,
Discount rate2.47 %3.17 %4.24 %2.50 %3.30 %4.40 %
Expected return on plan assets4.66 %4.69 %4.75 %N/AN/AN/A
Rate of compensation increase0.24 %2.94 %3.25 %3.99 %4.00 %4.05 %
 
At the end of each year, the Company determines the appropriate expected return on assets for each plan based upon its strategic asset allocation (see discussion below). In making this determination, the Company utilizes expected returns for each asset class based upon current market conditions and expected risk premiums for each asset class.
 
The Company also determines the discount rate to be used to calculate the present value of pension plan liabilities at the end of each year. The discount rate for the Company’s U.S. and Canadian pension plans is determined by matching the expected cash flows associated with its benefit obligations to the expected cash flows of a hypothetical portfolio of high quality, fixed income debt instruments with maturities that closely match the expected funding period of its pension liabilities. As of December 31, 2021, the Company used a discount rate of 2.90% for its U.S. pension plans compared to a discount rate of 2.60% used in 2020. For its Canadian pension plan, the Company used a discount rate of 2.98% as of December 31, 2021 compared to a 2.55% discount rate used in 2020.

For its UK pension plan the discount rate was derived using a full yield curve and uses plan specific cash flows. The derived discount rate is the single discount rate equivalent to discounting these liability cash flows at the term-dependent spot rate of AA corporate bonds. This methodology resulted in a December 31, 2021 discount rate for the UK pension plan of 1.80% as compared to a discount rate of 1.40% used in 2020.

In 2019 we changed the mortality table used to calculate the present value of our pension plan liabilities from the RP-2014 mortality table, with generational projection from 2006 using Scale MP-2018 to the Pri-2012 mortality table, with generational projection from 2012 using Scale MP-2019. In 2020 we used the Pri-2012 mortality table and adopted the MP-2020 projection scale and in 2021 we used the Pri-2012 mortality table and adopted the MP-2021 projection scale The Pri-2012 mortality table with adjustment for collar as appropriate and generational projection from 2012 using Scale MP-2021 was chosen as the best estimate based on the observed and anticipated experience of the plans after considering alternative tables. These changes did not have a material impact to the projected benefit obligation of our U.S. plans upon remeasurement.
 
The rate of compensation increase assumption reflects the Company’s actual experience and best estimate of future increases.

The assumed health care cost trend rates used to determine the projected postretirement benefit obligation are as follows: 
 Other Benefits
 202120202019
Assumed health care cost trend rates at December 31,   
Health care cost trend assumed for next year6.2 %6.4 %6.6 %
Rate to which the cost trend is assumed to decline5.0 %5.0 %5.0 %
Year that the rate reaches the ultimate trend rate202820282028
 
Plan Assets
 
The Company’s combined targeted 2022 weighted average asset allocation for domestic and foreign pension plans and the actual weighted average asset allocation for domestic and foreign pension plans at December 31, 2021 and 2020 by asset category are as follows: 
 Percentage of Plan Assets
 TargetActual
Asset Category202220212020
Equity securities30 %22 %24 %
Debt securities & Cash70 %77 %74 %
Alternative Investments— %1 %2 %
TOTAL100 %100 %100 %
 
At the end of each year, the Company estimates the expected long-term rate of return on pension plan assets based on the strategic asset allocation for its plans. In making this determination, the Company utilizes expected rates of return for each asset class based upon current market conditions and expected risk premiums for each asset class. The Company has written investment policies and asset allocation guidelines for its domestic and foreign pension plans. In establishing these policies, the Company has considered that its various pension plans are a major retirement vehicle for most plan participants and has acted to discharge its fiduciary responsibilities with regard to the plans solely in the interest of such participants and their beneficiaries. The goal underlying the establishment of the investment policies is to provide that pension assets shall be invested in a prudent manner and so that, together with the expected contributions to the plans, the funds will be sufficient to meet the obligations of the plans as they become due.
 
To achieve this result, the Company conducts a periodic strategic asset allocation study to form a basis for the allocation of pension assets between various asset categories. Specific policy benchmark percentages are assigned to each asset category with minimum and maximum ranges established for each. The assets are then tactically managed within these ranges. Derivative investments include futures contracts used by the plan to adjust the level of its investments within an asset allocation category. The actual and target percentages reported in the preceding table reflect the economic exposure to each asset category, including the impact of derivative positions. All futures contracts are 100% supported by cash or cash equivalent investments. At no time may derivatives be utilized to leverage the asset portfolio. At December 31, 2021 and 2020, there were no holdings of Company stock in pension plan assets.
 
The Company’s other post-employment benefits are unfunded; therefore, no asset information is reported.

 
The fair value of the Company’s pension plan assets at December 31, 2021 and 2020, by asset category are as follows (in millions):
Quoted Prices in Active
Markets for Identical Assets		Quoted Prices in Active
Market for Similar Asset		Significant
Unobservable Inputs		Investments Priced
Using Net Asset Value
Asset CategoryTotal(Level 1)(Level 2)(Level 3)
Cash and cash equivalents$8.9 $8.9 $— $— $— 
Equity securities: 
   Equity Mutual Funds31.7 31.7 — — — 
   Common Pooled Equity Funds (a)
123.3 — 123.3 — — 
Fixed Income Securities: 
   U.S. Treasuries55.0 — 55.0 — — 
   State and Local Municipal Bonds6.2 — 6.2 — — 
   Sovereign Debt7.1 — 7.1 — — 
   Corporate Bonds (b)
141.6 — 141.6 — — 
   Fixed Income Mutual Funds55.5 55.5 — — — 
   Common Pooled Fixed Income Funds (c)
306.3 — 275.2 — 31.1 
Alternative Investment Funds (d)
7.1 — — — 7.1 
Common Pooled Funds (e)
22.9 0.5 22.4 — — 
BALANCE AT DECEMBER 31, 2021$765.6 $96.6 $630.8 $— $38.2 
 
Quoted Prices in Active
Markets for Identical Assets		Quoted Prices in Active
Market for Similar Asset		Significant
Unobservable Inputs		Investments Priced
Using Net Asset Value
Asset CategoryTotal(Level 1)(Level 2)(Level 3)
Cash and cash equivalents$26.6 $26.6 $— $— $— 
Equity securities: 
   Equity Mutual Funds29.8 29.8 — — — 
   Common Pooled Equity Funds (a)
153.9 — 153.9 — — 
Fixed Income Securities: 
   U.S. Treasuries52.0 — 52.0 — — 
   State and Local Municipal Bonds9.3 — 9.3 — — 
   Sovereign Debt9.3 — 9.3 — — 
   Corporate Bonds (b)
145.1 — 145.1 — — 
   Fixed Income Mutual Funds59.9 59.9 — — — 
   Common Pooled Fixed Income Funds (c)
279.4 — 279.4 — — 
Alternative Investment Funds (d)
14.3 — — — 14.3 
Common Pooled Funds (e)
25.5 0.5 25.0 — — 
BALANCE AT DECEMBER 31, 2020$805.1 $116.8 $674.0 $— $14.3 
(a)Investments in Common Pooled Equity Funds, including funds and fund products investing in various equity securities.
(b)Includes primarily investment grade bonds from diverse industries
(c)Investments in Common Pooled Fixed Income Funds, including funds and fund products investing in various fixed income investments
(d)Includes investments in hedge funds, including fund of funds products and open end mutual funds
(e)Investments in Common Pooled Funds, consisting of equities and fixed income securities


Investments priced using Net Asset Value ("NAV") within Alternative Investment Funds and Common Pooled Fixed Income Funds in the preceding tables consist of fund of fund products. These products invest in a number of investment funds managed by a diversified group of third-party investment managers who employ a variety of investment strategies, including relative value, security selection, distressed value, global macro, specialized credit and directional strategies. The objective of these funds is to achieve the desired capital appreciation or fixed income as applicable with lower volatility than either traditional equity or fixed income securities.
Contributions
 
In 2021, there were no contributions to the Company's U.S. qualified plans required by the Pension Protection Act of 2006. The Company contributed $0.1 million to its foreign qualified plans in 2021. The Company entered into a settlement agreement with a multi-employer pension plan in December of 2019 and, pursuant to that agreement, made a $10.0 million cash payment in 2019, $6.0 million cash payment in 2020, and $5.0 million cash payment in 2021, according to the terms of that settlement agreement.

Estimated Future Benefit Payments
 
The following domestic and foreign benefit payments, which reflect future service, as appropriate, are expected to be paid as follows, (in millions): 
Pension BenefitsOther Benefits
2022$55.1 $1.7 
2023$55.4 $1.6 
2024$55.4 $1.5 
2025$55.6 $1.4 
2026$55.8 $1.3 
2027-2031$263.9 $5.6