Benefit Plans:

Components of Net Periodic Benefit (Income) Cost

Net periodic benefit (income) cost consisted of the following:



	For the Six Months Ended June 30,												For the Three Months Ended June 30,
	Pension						Postretirement						Pension						Postretirement
	2017			2016			2017			2016			2017			2016			2017			2016
	(in millions)
Service cost	$	38		$	37		$	9		$	8		$	19		$	19		$	5		$	4
Interest cost	144			141			40			40			72			70			20			19
Expected return on plan assets	(300		)	(277		)	—			—			(150		)	(139		)	—			—
Amortization:
Net loss	98			87			16			16			48			43			8			9
Prior service cost (credit)	2			2			(19		)	(19		)	1			1			(10		)	(9		)
Termination and curtailment	—			20			—			—			—			—			—			—
Net periodic benefit (income) cost	$	(18	)	$	10		$	46		$	45		$	(10	)	$	(6	)	$	23		$	23

Termination and curtailment costs shown in the table above relate to the productivity initiative discussed in Note 2. Asset Impairment, Exit and Implementation Costs.

Employer Contributions

Altria Group, Inc. makes contributions to the pension plans to the extent that the contributions are tax deductible and pays benefits that relate to plans for salaried employees that cannot be funded under Internal Revenue Service regulations. Employer contributions of $10 million were made to Altria Group, Inc.’s pension plans during the six months ended June 30, 2017. Currently, Altria Group, Inc. anticipates making additional employer contributions to its pension plans during the remainder of 2017 of approximately $10 million to $30 million, based on current tax law. However, this estimate is subject to change as a result of changes in tax and other benefit laws, as well as asset performance significantly above or below the assumed long-term rate of return on pension assets, or changes in interest rates.