Retirement Plans (Tables)
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12 Months Ended |
Dec. 31, 2016 |
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| Defined Benefit Plan Disclosure [Line Items] |
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| Net Periodic Pension Expense For Qualified And Nonqualified U.S. Defined Benefit Plans [Table Text Block] |
Net periodic pension expense for qualified and nonqualified U.S. and non-U.S. defined benefit plans comprised the following: | | | | | | | | | | | | | | | | | | | | | 2016 | 2015 | 2014 | In millions | U.S.
Plans | Non-
U.S.
Plans | U.S.
Plans | Non-
U.S.
Plans | U.S.
Plans | Non-
U.S.
Plans | Service cost | $ | 158 |
| $ | 4 |
| $ | 161 |
| $ | 6 |
| $ | 145 |
| $ | 5 |
| Interest cost | 580 |
| 9 |
| 597 |
| 10 |
| 600 |
| 13 |
| Expected return on plan assets | (815 | ) | (10 | ) | (783 | ) | (11 | ) | (762 | ) | (14 | ) | Actuarial loss / (gain) | 400 |
| 1 |
| 428 |
| 1 |
| 374 |
| — |
| Amortization of prior service cost | 41 |
| — |
| 43 |
| — |
| 30 |
| — |
| Curtailment loss / (gain) | — |
| — |
| — |
| — |
| — |
| (4 | ) | Settlement loss | 445 |
| — |
| 15 |
| — |
| — |
| — |
| Net periodic pension expense (a) | $ | 809 |
| $ | 4 |
| $ | 461 |
| $ | 6 |
| $ | 387 |
| $ | — |
|
(a) Excludes $1 million in curtailments in 2014 related to the pension freeze remeasurement that were recorded in restructuring and other charges. |
| Pension Allocations By Type Of Fund And Target Allocations [Table Text Block] |
International Paper’s U.S. pension allocations by type of fund at December 31, and target allocations were as follows: | | | | | | | Asset Class | 2016 | 2015 | Target
Allocations | Equity accounts | 51 | % | 48 | % | 43% - 54% | Fixed income accounts | 27 | % | 33 | % | 25% - 35% | Real estate accounts | 10 | % | 10 | % | 7% - 13% | Other | 12 | % | 9 | % | 8% - 17% | Total | 100 | % | 100 | % | |
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| Schedule of Allocation of Plan Assets [Table Text Block] |
| | | | | | | | | | | | | | Fair Value Measurement at December 31, 2015 | Asset Class | Total | Quoted
Prices
in
Active
Markets
For
Identical
Assets
(Level 1) | Significant
Observable
Inputs
(Level 2) | Significant
Unobservable
Inputs
(Level 3) | In millions | | | | | Equities – domestic | $ | 2,150 |
| $ | 1,382 |
| $ | 768 |
| $ | — |
| Equities – international | 2,563 |
| 1,818 |
| 745 |
| — |
| Corporate bonds | 1,286 |
| — |
| 1,286 |
| — |
| Government securities | 518 |
| — |
| 518 |
| — |
| Mortgage backed securities | 217 |
| — |
| 217 |
| — |
| Other fixed income | 275 |
| — |
| 265 |
| 10 |
| Commodities | 118 |
| — |
| 118 |
| — |
| Hedge funds | — |
| — |
| — |
| — |
| Private equity | — |
| — |
| — |
| — |
| Real estate | — |
| — |
| — |
| — |
| Derivatives | (19 | ) | — |
| 1 |
| (20 | ) | Cash and cash equivalents | 975 |
| 975 |
| — |
| — |
| Other investments: (a) | | | | | Hedge funds | 894 |
| | | | Private equity | 492 |
| | | | Real estate | 1,094 |
| | | | Risk parity funds | 360 |
| | | | Total Investments | $ | 10,923 |
| $ | 4,175 |
| $ | 3,918 |
| $ | (10 | ) |
(a) In accordance with accounting guidance ASU 2015-07, certain investments that are measured at fair value using the NAV per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy. The fair value amounts presented in these tables for these investments are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the reconciliation of changes in the plan's benefit obligations and fair value of plan assets above. The fair values of International Paper’s pension plan assets at December 31, 2016 and 2015 by asset class are shown below. Plan assets included an immaterial amount of International Paper common stock at December 31, 2016 and 2015. Hedge funds disclosed in the following table are allocated equally between equity and fixed income accounts for target allocation purposes. | | | | | | | | | | | | | | Fair Value Measurement at December 31, 2016 | Asset Class | Total | Quoted
Prices in
Active
Markets
For
Identical
Assets
(Level 1) | Significant
Observable
Inputs
(Level 2) | Significant
Unobservable
Inputs
(Level 3) | In millions | | | | | Equities – domestic | $ | 2,208 |
| $ | 1,380 |
| $ | 828 |
| $ | — |
| Equities – international | 2,575 |
| 1,806 |
| 769 |
| — |
| Corporate bonds | 1,018 |
| — |
| 1,018 |
| — |
| Government securities | 870 |
| — |
| 870 |
| — |
| Mortgage backed securities | 41 |
| — |
| 40 |
| 1 |
| Other fixed income | 245 |
| — |
| 234 |
| 11 |
| Commodities | 324 |
| — |
| 324 |
| — |
| Hedge funds | — |
| — |
| — |
| — |
| Private equity | — |
| — |
| — |
| — |
| Real estate | — |
| — |
| — |
| — |
| Derivatives | (71 | ) | — |
| — |
| (71 | ) | Cash and cash equivalents | 322 |
| 322 |
| — |
| — |
| Other investments: (a) | | | | | Hedge funds | 891 |
| | | | Private equity | 472 |
| | | | Real estate | 1,015 |
| | | | Risk parity funds | 402 |
| | | | Total Investments | $ | 10,312 |
| $ | 3,508 |
| $ | 4,083 |
| $ | (59 | ) |
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| Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Table Text Block] |
| | | | | | | | | | Other Investments at December 31, 2015 | Investment | Fair Value | Unfunded Commitments | Redemption Frequency | Remediation Notice Period | Hedge funds | $ | 894 |
| $ | — |
| Daily to annually | 1 - 100 days | Private equity | 492 |
| 102 |
| None | None | Real estate | 1,094 |
| 59 |
| Quarterly | 45 - 60 days | Risk parity funds | 360 |
| — |
| Monthly | 5 - 15 days | Total | $ | 2,840 |
| $ | 161 |
| | |
he following investments are measured at NAV and are not classified in the fair value hierarchy. Some of the investments have redemption limitations, restrictions, and notice requirements which are further explained below. | | | | | | | | | | Other Investments at December 31, 2016 | Investment | Fair Value | Unfunded Commitments | Redemption Frequency | Remediation Notice Period | Hedge funds | $ | 891 |
| $ | — |
| Daily to annually | 1 - 100 days | Private equity | 472 |
| 226 |
| None | None | Real estate | 1,015 |
| 224 |
| Quarterly | 45 - 60 days | Risk parity funds | 402 |
| — |
| Monthly | 5 - 15 days | Total | $ | 2,780 |
| $ | 450 |
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| Fair Value Measurements Using Significant Unobservable Inputs (Level 3) [Table Text Block] |
The following is a reconciliation of the assets that are classified using significant unobservable inputs (Level 3) at December 31, 2016.
Fair Value Measurements Using Significant Unobservable Inputs (Level 3)
| | | | | | | | | | | | | | In millions | Mortgage backed securities | Other
fixed
income | Derivatives | Total | Beginning balance at December 31, 2015 | $ | — |
| $ | 10 |
| $ | (20 | ) | $ | (10 | ) | Actual return on plan assets: | | | | | Relating to assets still held at the reporting date | — |
| 1 |
| (66 | ) | (65 | ) | Relating to assets sold during the period | — |
| — |
| (24 | ) | (24 | ) | Purchases, sales and settlements | 1 |
| — |
| 39 |
| 40 |
| Transfers in and/or out of Level 3 | — |
| — |
| — |
| — |
| Ending balance at December 31, 2016 | $ | 1 |
| $ | 11 |
| $ | (71 | ) | $ | (59 | ) |
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| Retirement Plans [Member] |
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| Defined Benefit Plan Disclosure [Line Items] |
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| Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan [Table Text Block] |
| | | | | | | | | | | | | | | 2016 | 2015 | In millions | U.S.
Plans | Non-
U.S.
Plans | U.S.
Plans | Non-
U.S.
Plans | Change in projected benefit obligation: | | | | | Benefit obligation, January 1 | $ | 14,438 |
| $ | 204 |
| $ | 14,741 |
| $ | 233 |
| Service cost | 158 |
| 4 |
| 161 |
| 6 |
| Interest cost | 580 |
| 9 |
| 597 |
| 10 |
| Settlements | (1,222 | ) | (2 | ) | (43 | ) | (12 | ) | Actuarial loss (gain) | 495 |
| 35 |
| (254 | ) | (1 | ) | Acquisitions | 1 |
| — |
| — |
| — |
| Plan amendments | — |
| (1 | ) | — |
| — |
| Benefits paid | (767 | ) | (9 | ) | (764 | ) | (7 | ) | Effect of foreign currency exchange rate movements | — |
| (21 | ) | — |
| (25 | ) | Benefit obligation, December 31 | $ | 13,683 |
| $ | 219 |
| $ | 14,438 |
| $ | 204 |
| Change in plan assets: | | | | | Fair value of plan assets, January 1 | $ | 10,923 |
| $ | 155 |
| $ | 10,918 |
| $ | 180 |
| Actual return on plan assets | 607 |
| 17 |
| (1 | ) | 4 |
| Company contributions | 771 |
| 8 |
| 813 |
| 9 |
| Benefits paid | (767 | ) | (9 | ) | (764 | ) | (7 | ) | Settlements | (1,222 | ) | (2 | ) | (43 | ) | (12 | ) | Effect of foreign currency exchange rate movements | — |
| (16 | ) | — |
| (19 | ) | Fair value of plan assets, December 31 | $ | 10,312 |
| $ | 153 |
| $ | 10,923 |
| $ | 155 |
| Funded status, December 31 | $ | (3,371 | ) | $ | (66 | ) | $ | (3,515 | ) | $ | (49 | ) | Amounts recognized in the consolidated balance sheet: | | | | | Non-current asset | $ | — |
| $ | 6 |
| $ | — |
| $ | 7 |
| Current liability | (40 | ) | (3 | ) | (22 | ) | (2 | ) | Non-current liability | (3,331 | ) | (69 | ) | (3,493 | ) | (54 | ) | | $ | (3,371 | ) | $ | (66 | ) | $ | (3,515 | ) | $ | (49 | ) |
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| Schedule Of Amounts In Accumulated Other Comprehensive Income [Table Text Block] |
| | | | | | | | | | | | | | Amounts recognized in accumulated other comprehensive income under ASC 715 (pre-tax): | | | | | Prior service cost | $ | 125 |
| $ | — |
| $ | 166 |
| $ | — |
| Net actuarial loss | 4,757 |
| 61 |
| 4,899 |
| 42 |
| | $ | 4,882 |
| $ | 61 |
| $ | 5,065 |
| $ | 42 |
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| Pension Benefit Adjustments Recognized In Other Comprehensive (Loss) Income [Table Text Block] |
The components of the $183 million and $19 million change related to U.S. plans and non-U.S. plans, respectively, in the amounts recognized in OCI during 2016 consisted of: | | | | | | | | In millions | U.S.
Plans | Non-
U.S.
Plans | Current year actuarial (gain) loss | $ | 703 |
| $ | 27 |
| Amortization of actuarial loss | (400 | ) | (1 | ) | Current year prior service cost | — |
| (1 | ) | Amortization of prior service cost | (41 | ) | — |
| Settlements | (445 | ) | — |
| Effect of foreign currency exchange rate movements | — |
| (6 | ) | | $ | (183 | ) | $ | 19 |
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| Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets [Table Text Block] |
The following table summarizes information for pension plans with an accumulated benefit obligation in excess of plan assets at December 31, 2016 and 2015: | | | | | | | | | | | | | | | 2016 | 2015 | In millions | U.S.
Plans | Non-U.S.
Plans | U.S.
Plans | Non-U.S.
Plans | Projected benefit obligation | $ | 13,683 |
| $ | 190 |
| $ | 14,438 |
| $ | 182 |
| Accumulated benefit obligation | 13,535 |
| 177 |
| 14,282 |
| 168 |
| Fair value of plan assets | 10,312 |
| 118 |
| 10,923 |
| 126 |
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| Schedule of Assumptions Used [Table Text Block] |
ajor actuarial assumptions used in determining the benefit obligations and net periodic pension cost for our defined benefit plans are presented in the following table: | | | | | | | | | | | | | | | 2016 | 2015 | 2014 | | U.S.
Plans | Non-
U.S.
Plans | U.S.
Plans | Non-
U.S.
Plans | U.S.
Plans | Non-
U.S.
Plans | Actuarial assumptions used to determine benefit obligations as of December 31: | | | | | | | Discount rate | 4.10 | % | 3.88 | % | 4.40 | % | 4.64 | % | 4.10 | % | 4.72 | % | Rate of compensation increase | 3.75 | % | 4.20 | % | 3.75 | % | 4.12 | % | 3.75 | % | 4.03 | % | Actuarial assumptions used to determine net periodic pension cost for years ended December 31: | | | | | | | Discount rate (a) | 4.05 | % | 4.72 | % | 4.10 | % | 4.72 | % | 4.65 | % | 5.07 | % | Expected long-term rate of return on plan assets (b) | 7.75 | % | 6.55 | % | 7.75 | % | 6.64 | % | 7.75 | % | 7.53 | % | Rate of compensation increase | 3.75 | % | 4.03 | % | 3.75 | % | 4.03 | % | 3.75 | % | 4.13 | % |
(a) Represents the weighted average rate for the U.S. qualified plans in 2016 and 2014 due to the remeasurement in the second, third and fourth quarters of 2016 and the first quarter of 2014. | | (b) | Represents the expected rate of return for International Paper's qualified pension plan for 2014. The weighted average rate for the Temple-Inland Retirement Plan was 7.00% for 2014 |
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| Effect Of A 25 Basis Point Decrease On Net Pension Expense [Table Text Block] |
The following illustrates the effect on pension expense for 2017 of a 25 basis point decrease in the above assumptions: | | | | | In millions | 2017 | Expense/(Income): | | Discount rate | $ | 33 |
| Expected long-term rate of return on plan assets | 26 |
| Rate of compensation increase | (1 | ) |
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| Projected Future Pension Benefit Payments, Excluding Any Termination Benefits [Table Text Block] |
At December 31, 2016, projected future pension benefit payments, excluding any termination benefits, were as follows: | | | | | In millions | | 2017 | $ | 800 |
| 2018 | 788 |
| 2019 | 796 |
| 2020 | 804 |
| 2021 | 812 |
| 2022 – 2026 | 4,137 |
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