EMPLOYEE BENEFITS

9 Months Ended

Sep. 30, 2021

EMPLOYEE BENEFITS

EMPLOYEE BENEFITS

14. Employee Benefits

We sponsor various defined benefit plans for eligible employees and retirees in the U.S. and certain non-U.S. countries.

The following table presents the components of net periodic benefit cost (credit) with respect to pension benefits:

	Pension
(in millions)		U.S. Plans		Non-U.S. Plans		Total
Three Months Ended September 30, 2021
Components of net periodic benefit cost:
Service cost	$	2	$	4	$	6
Interest cost		22		2		24
Expected return on assets		(62)		(5)		(67)
Amortization of prior service cost		-		1		1
Amortization of net loss		8		2		10
Net periodic benefit cost (credit)	$	(30)	$	4	$	(26)
Settlement charges		27		-		27
Net benefit cost (credit)	$	(3)	$	4	$	1
Three Months Ended September 30, 2020
Components of net periodic benefit cost:
Service cost	$	1	$	5	$	6
Interest cost		33		3		36
Expected return on assets		(60)		(5)		(65)
Amortization of prior service cost		-		1		1
Amortization of net loss		9		1		10
Net periodic benefit cost (credit)	$	(17)	$	5	$	(12)
Nine Months Ended September 30, 2021
Components of net periodic benefit cost:
Service cost	$	4	$	15	$	19
Interest cost		67		7		74
Expected return on assets		(184)		(16)		(200)
Amortization of prior service cost		-		3		3
Amortization of net loss		25		5		30
Net periodic benefit cost (credit)	$	(88)	$	14	$	(74)
Settlement charges		27		-		27
Net benefit cost (credit)	$	(61)	$	14	$	(47)
Nine Months Ended September 30, 2020
Components of net periodic benefit cost:
Service cost	$	4	$	15	$	19
Interest cost		100		8		108
Expected return on assets		(179)		(15)		(194)
Amortization of prior service cost		-		2		2
Amortization of net loss		25		5		30
Net periodic benefit cost (credit)	$	(50)	$	15	$	(35)

The service cost for our U.S. defined benefit plans only reflects administrative fees as the plans are frozen and no longer accrue benefits. We recognized net expense of $2 million and $6 million for our U.S. and non-U.S. postretirement benefit plans for both the three- and nine-month periods ended September 30, 2021 and 2020, respectively.