Pension and Other Postretirement Benefits (Tables)

12 Months Ended

Dec. 31, 2016

Compensation and Retirement Disclosure [Abstract]

Pension and Other Postretirement Benefit Costs

Summarized information regarding the Company’s significant defined benefit pension and other postretirement benefit plans related to both continuing and discontinued operations is as follows:

	Pension									Other Postretirement Benefits
In millions	2016			2015			2014			2016			2015			2014
Components of net periodic benefit cost:
Service cost	$	62		$	70		$	80		$	9		$	11		$	10
Interest cost	92			92			103			24			24			24
Expected return on plan assets	(144		)	(151		)	(159		)	(23		)	(25		)	(25		)
Amortization of actuarial (gain) loss	44			60			48			—			(1		)	(4		)
Amortization of prior service cost	—			1			1			(1		)	1			1
Settlement/curtailment (gain) loss	—			—			1			—			—			(9		)
Total net periodic benefit cost	$	54		$	72		$	74		$	9		$	10		$	(3	)

Net periodic benefit cost was included in the statement of income as follows:

	Pension						Other Postretirement Benefits
In millions	2016		2015		2014		2016		2015		2014
Income from continuing operations	$	54	$	72	$	69	$	9	$	10	$	6
Income from discontinued operations	—		—		5		—		—		(9		)
Total net periodic benefit cost	$	54	$	72	$	74	$	9	$	10	$	(3	)

Change in Plan Benefit Obligations

The following tables provide a rollforward of the plan benefit obligations, plan assets and a reconciliation of funded status for the years ended December 31, 2016 and 2015:

	Pension						Other Postretirement Benefits
In millions	2016			2015			2016			2015
Change in benefit obligation:
Benefit obligation at January 1	$	2,462		$	2,607		$	552		$	591
Service cost	62			70			9			11
Interest cost	92			92			24			24
Plan participants’ contributions	2			3			12			13
Amendments	—			1			—			—
Actuarial (gain) loss	216			(82		)	(5		)	(43		)
Acquisitions and divestitures	7			—			—			—
Benefits paid	(150		)	(169		)	(43		)	(46		)
Medicare subsidy received	—			—			2			2
Foreign currency translation	(129		)	(60		)	—			—
Benefit obligation at December 31	$	2,562		$	2,462		$	551		$	552

Change in Plan Assets and Reconciliation of Funded Status

	Pension						Other Postretirement Benefits
In millions	2016			2015			2016			2015
Change in plan assets:
Fair value of plan assets at January 1	$	2,441		$	2,557		$	342		$	372
Actual return on plan assets	274			16			36			(3		)
Company contributions	70			97			4			6
Plan participants’ contributions	2			3			12			13
Benefits paid	(150		)	(169		)	(43		)	(46		)
Foreign currency translation	(150		)	(63		)	—			—
Fair value of plan assets at December 31	$	2,487		$	2,441		$	351		$	342
Funded status	$	(75	)	$	(21	)	$	(200	)	$	(210	)
Other immaterial plans	(58		)	(50		)	(5		)	(5		)
Net liability at December 31	$	(133	)	$	(71	)	$	(205	)	$	(215	)
The amounts recognized in the statement of financial position as of December 31 consist of:
Other assets	$	131		$	191		$	—		$	—
Accrued expenses	(12		)	(11		)	(4		)	(4		)
Other noncurrent liabilities	(252		)	(251		)	(201		)	(211		)
Net liability at end of year	$	(133	)	$	(71	)	$	(205	)	$	(215	)
The pre-tax amounts recognized in accumulated other comprehensive income consist of:
Net actuarial (gain) loss	$	673		$	631		$	(38	)	$	(20	)
Prior service cost	—			—			—			(1		)
	$	673		$	631		$	(38	)	$	(21	)
Accumulated benefit obligation	$	2,207		$	2,297
Plans with accumulated benefit obligation in excess of plan assets as of December 31:
Projected benefit obligation	$	183		$	164
Accumulated benefit obligation	$	167		$	152
Fair value of plan assets	$	25		$	25

Weighted-average Assumptions Used in the Valuations of Pension and Other Postretirement Benefits

The weighted-average assumptions used in the valuations of pension and other postretirement benefits were as follows:

	Pension						Other Postretirement Benefits
	2016		2015		2014		2016		2015		2014
Assumptions used to determine benefit obligations at December 31:
Discount rate	3.41	%	3.95	%	3.70	%	4.30	%	4.55	%	4.15	%
Rate of compensation increases	3.77	%	3.72	%	3.72	%	—	%	—	%	—	%
Assumptions used to determine net periodic benefit cost for years ended December 31:
Discount rate	3.95	%	3.70	%	4.32	%	4.55	%	4.15	%	4.95	%
Expected return on plan assets	6.22	%	6.54	%	7.02	%	7.00	%	7.00	%	7.00	%
Rate of compensation increases	3.72	%	3.72	%	3.72	%	—	%	—	%	—	%

Assumed Health Care Cost Trend Rates

The assumed health care cost trend rates used to determine the postretirement benefit obligation at December 31 were as follows:

	2016		2015		2014
Health care cost trend rate assumed for the next year	6.00	%	6.00	%	8.00	%
Ultimate trend rate	4.50	%	4.50	%	4.50	%
Year the rate reaches the ultimate trend rate	2023		2021		2022

Impact of One Percentage-point Change in Assumed Health Care Costs Trend Rates

A one percentage-point change in assumed health care cost trend rates would have the following impact:

In millions	1 Percentage-Point Increase		1 Percentage-Point Decrease
Change in service cost and interest cost for 2016	$	—	$	(1	)
Change in postretirement benefit obligation at December 31, 2016	$	6	$	(14	)

Benefit Plan Assets by Category and Valuation Methodology

The following tables present the fair value of the Company’s pension and other postretirement benefit plan assets at December 31, 2016 and 2015, by asset category and valuation methodology. Level 1 assets are valued using unadjusted quoted prices for identical assets in active markets. Level 2 assets are valued using quoted prices or other observable inputs for similar assets. Level 3 assets are valued using unobservable inputs, but reflect the assumptions market participants would be expected to use in pricing the assets. Each financial instrument’s categorization is based on the lowest level of input that is significant to the fair value measurement.

	2016
In millions	Total		Level 1		Level 2		Level 3
Pension Plan Assets:
Cash and equivalents	$	82	$	55	$	27	$	—
Equity securities:
Domestic	1		1		—		—
Fixed income securities:
Government securities	307		—		307		—
Corporate debt securities	541		—		541		—
Mortgage-backed securities	19		—		19		—
Investment contracts with insurance companies	1		—		—		1
Commingled funds:
Collective trust funds	1,478
Partnerships/private equity interests	54
Other	4
Total fair value of pension plan assets	$	2,487	$	56	$	894	$	1
Other Postretirement Benefit Plan Assets:
Cash and equivalents	$	1	$	1	$	—	$	—
Life insurance policies	350
Total fair value of other postretirement benefit plan assets	$	351	$	1	$	—	$	—

	2015
In millions	Total			Level 1		Level 2			Level 3
Pension Plan Assets:
Cash and equivalents	$	53		$	53	$	—		$	—
Equity securities:
Domestic	1			1		—			—
Foreign	62			62		—			—
Fixed income securities:
Government securities	285			—		285			—
Corporate debt securities	483			—		483			—
Investment contracts with insurance companies	1			—		—			1
Commingled funds:
Mutual funds	145			145		—			—
Collective trust funds	1,347
Partnerships/private equity interests	66
Other	(2		)	—		(2		)	—
Total fair value of pension plan assets	$	2,441		$	261	$	766		$	1
Other Postretirement Benefit Plan Assets:
Cash and equivalents	$	8		$	8	$	—		$	—
Life insurance policies	334
Total fair value of other postretirement benefit plan assets	$	342		$	8	$	—		$	—

Expected Benefit Payments

The Company’s portion of the benefit payments that are expected to be paid during the years ending December 31 is as follows:

In millions	Pension		Other Postretirement Benefits
2017	$	182	$	35
2018	181		36
2019	183		37
2020	185		38
2021	184		38
Years 2022-2026	882		193