Employee Benefits

6 Months Ended

Jun. 30, 2021

Retirement Benefits [Abstract]

Employee Benefits

EMPLOYEE BENEFITS

Pension and other defined contribution retirement plan expenses included the following components:

(DOLLARS IN MILLIONS)	U.S. Plans
	Three Months Ended June 30,				Six Months Ended June 30,
	2021		2020		2021		2020
Service cost for benefits earned(1)	$	1	$	1	$	1	$	1
Interest cost on projected benefit obligation(2)	3		4		6		8
Expected return on plan assets(2)	(5)		(7)		(10)		(14)
Net amortization and deferrals(2)	2		2		4		4
Net periodic benefit (income) cost	$	1	$	—	$	1	$	(1)

(DOLLARS IN MILLIONS)	Non-U.S. Plans
	Three Months Ended June 30,				Six Months Ended June 30,
	2021		2020		2021		2020
Service cost for benefits earned(1)	$	12	$	6	$	22	$	12
Interest cost on projected benefit obligation(2)	3		3		5		6
Expected return on plan assets(2)	(13)		(11)		(25)		(23)
Net amortization and deferrals(2)	5		4		10		8
Net periodic benefit (income) cost	$	7	$	2	$	12	$	3

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(1)Included as a component of Operating profit.

(2)Included as a component of Other income, net.

The Company expects to contribute a total of $4 million to its U.S. pension plans and a total of $25 million to its Non-U.S. Plans during 2021. During the six months ended June 30, 2021, no contributions were made to the qualified U.S. pension plans, $10 million of contributions were made to the non-U.S. pension plans, and $2 million of benefit payments were made with respect to the Company's non-qualified U.S. pension plan.

Income (expense) recognized for postretirement benefits other than pensions included the following components:

	Three Months Ended June 30,				Six Months Ended June 30,
(DOLLARS IN MILLIONS)	2021		2020		2021		2020
Interest cost on projected benefit obligation	$	1	$	1	$	1	$	1
Net amortization and deferrals	(1)		(1)		(2)		(2)
Total postretirement benefit income	$	—	$	—	$	(1)	$	(1)

The Company expects to contribute $4 million to its postretirement benefits other than pension plans during 2021. In the six months ended June 30, 2021, $2 million of contributions were made.