Retirement Benefits

3 Months Ended

Mar. 31, 2012

Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract]

Retirement Benefits

Retirement Benefits

The Company maintains qualified and non-qualified defined benefit pension plans for its U.S. and non-U.S. eligible employees. The Company’s policy for funding its tax qualified defined benefit retirement plans is to contribute amounts at least sufficient to meet the funding requirements set forth by U.S. law and the laws of the non-U.S. jurisdictions in which the Company offers defined benefit plans.

The target asset allocation for the U.S. Plan is 58% equities and equity alternatives and 42% fixed income. At the end of the first quarter of 2012, the actual allocation for the U.S. Plan was 59% equities and equity alternatives and 41% fixed income. The target asset allocation for the U.K. Plan, which comprises approximately 82% of non-U.S. Plan assets, is 53% equities and equity alternatives and 47% fixed income. At the end of the first quarter of 2012, the actual allocation for the U.K. Plan was 53% equities and equity alternatives and 47% fixed income.

The components of the net periodic benefit cost for defined benefit and other post-retirement plans are as follows:

Combined U.S. and significant non-U.S. Plans	Pension						Postretirement
For the Three Months Ended March 31,	Benefits						Benefits
(In millions of dollars)	2012			2011			2012			2011
Service cost	$	61		$	56		$	2		$	2
Interest cost	148			152			3			3
Expected return on plan assets	(226		)	(221		)	—			—
Amortization of prior service credit	(5		)	(5		)	(3		)	(3		)
Recognized actuarial loss	66			55			—			—
Net periodic benefit cost	$	44		$	37		$	2		$	2

U.S. Plans only	Pension						Postretirement
For the Three Months Ended March 31,	Benefits						Benefits
(In millions of dollars)	2012			2011			2012			2011
Service cost	$	24		$	21		$	1		$	1
Interest cost	57			58			2			2
Expected return on plan assets	(81		)	(79		)	—			—
Amortization of prior service credit	(4		)	(4		)	(3		)	(3		)
Recognized actuarial loss	37			26			—			—
Net periodic benefit cost	$	33		$	22		$	—		$	—

Significant non-U.S. Plans only	Pension						Postretirement
For the Three Months Ended March 31,	Benefits						Benefits
(In millions of dollars)	2012			2011			2012		2011
Service cost	$	37		$	35		$	1	$	1
Interest cost	91			94			1		1
Expected return on plan assets	(145		)	(142		)	—		—
Amortization of prior service cost	(1		)	(1		)	—		—
Recognized actuarial loss	29			29			—		—
Net periodic benefit cost	$	11		$	15		$	2	$	2

The weighted average actuarial assumptions utilized to calculate the net periodic benefit costs for the U.S. and significant non-U.S. defined benefit plans are as follows:

Combined U.S. and significant non-U.S. Plans	Pension Benefits				Postretirement Benefits
March 31,	2012		2011		2012		2011
Weighted average assumptions:
Expected return on plan assets	8.04	%	8.18	%	—	%	—	%
Discount rate	4.91	%	5.59	%	5.05	%	5.84	%
Rate of compensation increase	3.09	%	4.09	%	—	%	—	%

The Company made $273 million of contributions to its U.S. and non-U.S. pension plans in the first three months of 2012, including discretionary contributions of $100 million to its U.S. qualified pension plan and $100 million to its U.K plans, and expects to contribute approximately $246 million to its non-qualified U.S. pension and non-U.S pension plans during the remainder of 2012.