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Retirement Benefits (Tables)

12 Months Ended

Dec. 31, 2020

Schedule of Changes in Accumulated Postemployment Benefit Obligations

We use a measurement date of December 31 to develop the change in benefit obligation, change in plan assets, funded status, and amounts recognized in the consolidated balance sheets at December 31 for our defined benefit pension and retiree health benefit plans, which were as follows:


	Defined Benefit Pension Plans				Retiree Health Benefit Plans
	2020		2019		2020		2019
Change in benefit obligation:
Benefit obligation at beginning of year	$	16,251.0	$	13,427.1	$	1,601.4	$	1,540.0
Service cost	325.5		250.4		40.8		36.3
Interest cost	425.8		486.0		43.7		58.0
Actuarial loss	1,563.1		2,631.7		142.1		54.3
Benefits paid	(587.2)		(584.2)		(75.1)		(87.3)

Curtailment (gain) loss	2.2		(16.8)		—		(0.5)
Foreign currency exchange rate changes and other adjustments	245.1		56.8		0.8		0.6
Benefit obligation at end of year	18,225.5		16,251.0		1,753.7		1,601.4

Schedule of Changes in Fair Value of Plan Assets


Change in plan assets:
Fair value of plan assets at beginning of year	12,858.0	10,932.6	2,768.2	2,398.1
Actual return on plan assets	1,802.4	2,012.0	539.0	444.1
Employer contribution	318.8	429.9	(5.1)	13.2
Benefits paid	(587.2)	(584.2)	(75.1)	(87.3)
Foreign currency exchange rate changes and other adjustments	187.0	67.7	—	0.1
Fair value of plan assets at end of year	14,579.0	12,858.0	3,227.0	2,768.2

Schedule of Net Funded Status


Funded status	(3,646.5)		(3,393.0)		1,473.3		1,166.8
Unrecognized net actuarial (gain) loss	6,515.5		6,177.6		(349.1)		(111.6)
Unrecognized prior service (benefit) cost	15.4		17.4		(177.6)		(236.4)
Net amount recognized	$	2,884.4	$	2,802.0	$	946.6	$	818.8

Schedule of Amounts Recognized in Balance Sheet


Amounts recognized in the consolidated balance sheet consisted of:
Other noncurrent assets	$	299.6	$	163.3	$	1,697.0	$	1,381.3
Other current liabilities	(67.9)		(65.3)		(7.4)		(7.3)
Accrued retirement benefits	(3,878.2)		(3,491.0)		(216.3)		(207.2)
Accumulated other comprehensive (income) loss before income taxes	6,530.9		6,195.0		(526.7)		(348.0)
Net amount recognized	$	2,884.4	$	2,802.0	$	946.6	$	818.8

Schedule of Assumptions Used

The following represents our weighted-average assumptions as of December 31:


	Defined Benefit Pension Plans						Retiree Health Benefit Plans
(Percents)	2020		2019		2018		2020		2019		2018
Discount rate for benefit obligation	2.4	%	3.0	%	4.0	%	2.6	%	3.3	%	4.4	%
Discount rate for net benefit costs	3.0		4.0		3.4		3.3		4.4		3.7
Rate of compensation increase for benefit obligation	3.3		3.3		3.4
Rate of compensation increase for net benefit costs	3.3		3.4		3.4
Expected return on plan assets for net benefit costs	7.3		7.4		7.4		6.0		6.0		8.0

Schedule of Expected Benefit Payments

The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid as follows:


	2021		2022		2023		2024		2025		2026-2030
Defined benefit pension plans	$	639.2	$	635.3	$	645.8	$	673.1	$	689.6	$	3,800.8
Retiree health benefit plans	91.2		91.2		91.2		94.9		95.7		481.8

Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets

Amounts relating to defined benefit pension plans with projected benefit obligations in excess of plan assets were as follows at December 31:


	2020		2019
Projected benefit obligation	$	15,770.7	$	14,039.7
Fair value of plan assets	11,824.4		10,483.4

Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets

Amounts relating to defined benefit pension plans and retiree health benefit plans with accumulated benefit obligations in excess of plan assets were as follows at December 31:


	Defined Benefit Pension Plans				Retiree Health Benefit Plans
	2020		2019		2020		2019
Accumulated benefit obligation	$	14,682.3	$	13,063.7	$	223.8	$	214.4
Fair value of plan assets	11,824.4		10,483.4		—		—

Schedule of Net Benefit Costs

Net pension and retiree health benefit expense included the following components:


	Defined Benefit Pension Plans						Retiree Health Benefit Plans
	2020		2019		2018		2020		2019		2018
Components of net periodic (benefit) cost:
Service cost	$	325.5	$	250.4	$	292.7	$	40.8	$	36.3	$	41.5
Interest cost	425.8		486.0		458.5		43.7		58.0		57.3
Expected return on plan assets	(901.5)		(839.6)		(842.1)		(158.1)		(144.3)		(177.9)
Amortization of prior service (benefit) cost	4.5		6.1		4.6		(59.5)		(62.9)		(79.5)
Recognized actuarial loss (gain)	396.3		284.9		332.5		(3.0)		1.9		6.1
Curtailment (gain) loss	—		2.2		1.3		—		—		(29.3)

Net periodic (benefit) cost	$	250.6	$	190.0	$	247.5	$	(136.1)	$	(111.0)	$	(181.8)

Schedule of Amounts Recognized in Other Comprehensive Income (Loss)

The following represents the amounts recognized in other comprehensive income (loss) for the years ended December 31, 2020, 2019, and 2018:


	Defined Benefit Pension Plans						Retiree Health Benefit Plans
	2020		2019		2018		2020		2019		2018
Actuarial gain (loss) arising during period	$	(663.0)	$	(1,461.0)	$	182.8	$	238.8	$	246.1	$	37.5
Plan amendments during period	(2.2)		—		(17.6)		—		—		14.1
Curtailment gain (loss)	—		19.0		45.2		—		—		(31.8)
Amortization of prior service (benefit) cost included in net income	4.5		6.1		4.6		(59.5)		(62.9)		(79.5)
Amortization of net actuarial loss included in net income	396.3		284.9		332.5		(3.0)		1.9		6.1
Foreign currency exchange rate changes and other	(71.5)		(7.7)		47.1		2.4		3.6		(0.1)
Total other comprehensive income (loss) during period	$	(335.9)	$	(1,158.7)	$	594.6	$	178.7	$	188.7	$	(53.7)

Schedule of Allocation of Plan Assets

The fair values of our defined benefit pension plan and retiree health plan assets as of December 31, 2020 by asset category were as follows:


			Fair Value Measurements Using
Asset Class	Total		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Investments Valued at Net Asset Value(1)
Defined Benefit Pension Plans
Public equity securities:
U.S.	$	737.6	$	476.1	$	—	$	1.0	$	260.5
International	2,635.8		1,102.3		—		—		1,533.5
Fixed income:
Developed markets	4,301.3		2.9		3,179.2		—		1,119.2
Developed markets - repurchase agreements	(1,670.8)		—		(1,670.8)		—		—
Emerging markets	631.0		14.2		262.7		0.1		354.0
Private alternative investments:
Hedge funds	2,661.3		—		—		—		2,661.3
Equity-like funds	2,844.7		—		—		16.9		2,827.8
Real estate	558.9		259.6		6.9		5.8		286.6
Other	1,879.2		60.4		301.2		18.0		1,499.6
Total	$	14,579.0	$	1,915.5	$	2,079.2	$	41.8	$	10,542.5

Retiree Health Benefit Plans
Public equity securities:
U.S.	$	68.3	$	45.0	$	—	$	0.1	$	23.2
International	162.3		58.1		—		—		104.2
Fixed income:
Developed markets	101.5		—		80.3		—		21.2
Emerging markets	53.5		—		24.7		—		28.8
Private alternative investments:
Hedge funds	229.7		—		—		—		229.7
Equity-like funds	223.4		—		—		1.6		221.8
Cash value of trust owned insurance contract	2,204.6		—		2,204.6		—		—
Real estate	25.8		24.5		0.7		0.6		—
Other	157.9		14.1		21.1		1.7		121.0
Total	$	3,227.0	$	141.7	$	2,331.4	$	4.0	$	749.9

(1) Certain investments that are measured at fair value using the NAV per share (or its equivalent) as a practical expedient have not been classified in the fair value hierarchy.

The fair values of our defined benefit pension plan and retiree health plan assets as of December 31, 2019 by asset category were as follows:


			Fair Value Measurements Using
Asset Class	Total		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Investments Valued at Net Asset Value(1)
Defined Benefit Pension Plans
Public equity securities:
U.S.	$	794.2	$	532.4	$	—	$	—	$	261.7
International	2,439.2		1,046.8		—		—		1,392.4
Fixed income:
Developed markets	3,661.4		4.8		2,658.9		—		997.7
Developed markets - repurchase agreements	(1,659.1)		—		(1,659.1)		—		—
Emerging markets	648.0		18.5		277.4		4.1		348.0
Private alternative investments:
Hedge funds	2,897.9		—		—		—		2,897.9
Equity-like funds	2,279.3		—		—		16.8		2,262.5
Real estate	570.3		166.2		—		—		404.1
Other	1,226.8		62.9		222.6		6.6		934.7
Total	$	12,858.0	$	1,831.7	$	1,499.8	$	27.5	$	9,499.0

Retiree Health Benefit Plans
Public equity securities:
U.S.	$	76.5	$	52.1	$	—	$	—	$	24.4
International	152.6		60.8		—		—		91.8
Fixed income:
Developed markets	82.7		—		56.3		—		26.4
Emerging markets	58.5		—		27.0		0.4		31.1
Private alternative investments:
Hedge funds	250.8		—		—		—		250.8
Equity-like funds	187.4		—		—		1.6		185.8
Cash value of trust owned insurance contract	1,832.2		—		1,832.2		—		—
Real estate	31.3		16.2		—		—		15.1
Other	96.2		11.4		7.9		0.7		76.2
Total	$	2,768.2	$	140.5	$	1,923.4	$	2.7	$	701.6

(1) Certain investments that are measured at fair value using the NAV per share (or its equivalent) as a practical expedient have not been classified in the fair value hierarchy.