XML 65 R47.htm IDEA: XBRL DOCUMENT v3.21.2
Retirement Plans (Tables)
 12 Months Ended
Sep. 30, 2021
Retirement Benefits [Abstract]  
Defined Benefit Plan, Plan with Accumulated Benefit Obligation in Excess of Plan Assets
Information for pension plans with accumulated benefit obligations ("ABO") in excess of plan assets (in millions):

September 30,
20212020
Accumulated benefit obligation$4,402 $5,539 
Fair value of plan assets3,841 4,528 
Defined Benefit Plan, Plan with Projected Benefit Obligation in Excess of Plan Assets
Information for pension plans with projected benefit obligations ("PBO") in excess of plan assets (in millions):

September 30,
20212020
Projected benefit obligation$4,519 $5,643 
Fair value of plan assets3,954 4,570 
Accumulated Postretirement Benefit Obligations in Excess of Plan Assets
Information for postretirement plans with accumulated postretirement benefit obligations ("APBO") in excess of plan assets (in millions):

September 30,
20212020
Accumulated postretirement benefit obligation$96 $105 
Fair value of plan assets38 34 
Defined Benefit Plan Disclosure [Line Items]  
Plan Assets by Asset Category
The Company’s plan assets at September 30, 2021 and 2020, by asset category, are as follows (in millions):
 Fair Value Measurements Using:
Asset CategoryTotal as of September 30, 2021Quoted Prices
in Active
Markets
(Level 1)		Significant
Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
U.S. Pension
Cash and Cash Equivalents$75 $— $75 $— 
Equity Securities
Large-Cap185 185 — — 
Small-Cap215 215 — — 
International - Developed182 182 — — 
International - Emerging34 34 — — 
Fixed Income Securities
Government286 98 188 — 
Corporate/Other1,279 1,279 — — 
Total Investments in the Fair Value Hierarchy2,256 $1,993 $263 $— 
Real Estate Investments Measured at Net Asset Value*280 
Due to Broker(77)
Total Plan Assets$2,459 
Non-U.S. Pension
Cash and Cash Equivalents$151 $151 $— $— 
Equity Securities
Large-Cap197 23 174 — 
International - Developed128 30 98 — 
International - Emerging2 — 2 — 
Fixed Income Securities
Government1,123 77 1,046 — 
Corporate/Other597 320 277 — 
Hedge Fund27 — 27 — 
Real Estate14 14 — — 
Total Investments in the Fair Value Hierarchy2,239 $615 $1,624 $— 
Real Estate Investments Measured at Net Asset Value*105 
Total Plan Assets$2,344 
Postretirement
Cash and Cash Equivalents$5 $5 $— $— 
Equity Securities
Large-Cap24 — 24 — 
Small-Cap8 — 8 — 
International - Developed19 — 19 — 
International - Emerging12 — 12 — 
Fixed Income Securities
Government20 — 20 — 
Corporate/Other56 — 56 — 
Commodities17 — 17 — 
Real Estate11 — 11 — 
Total Plan Assets$172 $5 $167 $— 
 Fair Value Measurements Using:
Asset CategoryTotal as of September 30, 2020Quoted Prices
in Active
Markets
(Level 1)		Significant
Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
U.S. Pension
Cash and Cash Equivalents$36 $— $36 $— 
Equity Securities
Large-Cap198 198 — — 
Small-Cap255 255 — — 
International - Developed220 220 — — 
International - Emerging33 33 — — 
Fixed Income Securities
Government382 159 223 — 
Corporate/Other1,386 1,386 — — 
Total Investments in the Fair Value Hierarchy2,510 $2,251 $259 $— 
Real Estate Investments Measured at Net Asset Value*276 
Due to Broker(80)
Total Plan Assets$2,706 
Non-U.S. Pension
Cash and Cash Equivalents$178 $178 $— $— 
Large-Cap357 23 334 — 
International - Developed226 52 174 — 
International - Emerging4 — 4 — 
Fixed Income Securities
Government704 64 640 — 
Corporate/Other652 321 331 — 
Hedge Fund49 — 49 — 
Real Estate27 27 — — 
Total Investments in the Fair Value Hierarchy2,197 $665 $1,532 $— 
Real Estate Investments Measured at Net Asset Value*16 
Total Plan Assets$2,213 
Postretirement
Cash and Cash Equivalents$5 $5 $— $— 
Equity Securities
Large-Cap23 — 23 — 
Small-Cap7 — 7 — 
International - Developed16 — 16 — 
International - Emerging10 — 10 — 
Fixed Income Securities
Government19 — 19 — 
Corporate/Other53 — 53 — 
Commodities12 — 12 — 
Real Estate8 — 8 — 
Total Plan Assets$153 $5 $148 $— 

* The fair value of certain investments in real estate do not have a readily determinable fair value and requires the fund managers to independently arrive at fair value by calculating net asset value ("NAV") per share. In order to calculate NAV per
share, the fund managers value the real estate investments using any one, or a combination of, the following methods: independent third party appraisals, discounted cash flow analysis of net cash flows projected to be generated by the investment and recent sales of comparable investments. Assumptions used to revalue the properties are updated every quarter. Due to the fact that the fund managers calculate NAV per share, the Company utilizes a practical expedient for measuring the fair value of its real-estate investments, as provided for under ASC 820, "Fair Value Measurement." In applying the practical expedient, the Company is not required to further adjust the NAV provided by the fund manager in order to determine the fair value of its investment as the NAV per share is calculated in a manner consistent with the measurement principles of ASC 946, "Financial Services - Investment Companies," and as of the Company's measurement date. The Company believes this is an appropriate methodology to obtain the fair value of these assets. For the component of the real estate portfolio under development, the investments are carried at cost until they are completed and valued by a third party appraiser. In accordance with ASU No. 2015-07, "Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent)," investments for which fair value is measured using the net asset value per share practical expedient should be disclosed separate from the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of total plan assets to the amounts presented in the notes to consolidated financial statements.
Accumulated Benefit Obligations and Reconciliations of Changes in Projected Benefit Obligation, Changes in Plan Assets and Funded Status
The table that follows contains the ABO and reconciliations of the changes in the PBO, the changes in plan assets and the funded status (in millions):
 Pension BenefitsPostretirement
Benefits
 U.S. PlansNon-U.S. Plans
September 30,202120202021202020212020
Accumulated Benefit Obligation$2,629 $3,217 $2,540 $2,627 $— $— 
Change in Projected Benefit Obligation
Projected benefit obligation at beginning of year$3,217 $3,115 $2,726 $2,652 $146 $174 
Service cost— — 27 25 1 1 
Interest cost47 67 32 36 2 4 
Plan participant contributions— — 3 3 3 4 
Other divestitures— — — (2)— — 
Actuarial (gain) loss(52)298 (103)7 (13)(3)
Amendments made during the year— — (6)— — (13)
Benefits and settlements paid(583)(263)(124)(109)(17)(21)
Estimated subsidy received— — — — — 1 
Curtailment— — (3)(8)— — 
Other— — (2)4 — — 
Currency translation adjustment— — 75 118 1 (1)
Projected benefit obligation at end of year$2,629 $3,217 $2,625 $2,726 $123 $146 
Change in Plan Assets
Fair value of plan assets at beginning of year$2,706 $2,736 $2,213 $2,098 $153 $163 
Actual return on plan assets333 228 125 75 30 4 
Employer and employee contributions3 5 65 56 6 7 
Benefits paid(108)(112)(79)(73)(17)(21)
Settlement payments(475)(151)(45)(36)— — 
Other— — (1)— — — 
Currency translation adjustment— — 66 93 — — 
Fair value of plan assets at end of year$2,459 $2,706 $2,344 $2,213 $172 $153 
Funded status$(170)$(511)$(281)$(513)$49 $7 
Amounts recognized in the statement of financial position consist of:
Prepaid benefit cost$44 $32 $79 $29 $107 $78 
Accrued benefit liability(214)(543)(360)(542)(58)(71)
Net amount recognized$(170)$(511)$(281)$(513)$49 $7 
Weighted Average Assumptions (1)
Discount rate (2)2.50 %2.25 %1.80 %1.35 %2.30 %1.90 %
Rate of compensation increaseN/AN/A2.85 %2.75 %N/AN/A
Interest crediting rateN/AN/A1.45 %1.50 %N/AN/A

(1)    Plan assets and obligations are determined based on a September 30 measurement date at September 30, 2021 and 2020.

(2)    The Company considers the expected benefit payments on a plan-by-plan basis when setting assumed discount rates. As a result, the Company uses different discount rates for each plan depending on the plan jurisdiction, the demographics of participants and the expected timing of benefit payments. For the U.S. pension and postretirement
plans, the Company uses a discount rate provided by an independent third party calculated based on an appropriate mix of high quality bonds. For the non-U.S. pension and postretirement plans, the Company consistently uses the relevant country specific benchmark indices for determining the various discount rates. The Company has elected to utilize a full yield curve approach in the estimation of service and interest components of net periodic benefit cost (credit) for pension and other postretirement for plans that utilize a yield curve approach. The full yield curve approach applies the specific spot rates along the yield curve used in the determination of the benefit obligation to the relevant projected cash flows.

The fiscal 2021 net actuarial gains related to changes in the benefit obligation were the result of the increase in the discount rates globally. The fiscal 2020 net actuarial losses related to changes in the benefit obligation were primarily driven by the decrease in the U.S. discount rates.
Components of Net Periodic Benefit Cost
The table that follows contains the components of net periodic benefit costs, which are primarily recorded in selling, general and administrative expenses in the consolidated statements of income (in millions):
 Pension BenefitsPostretirement Benefits
 U.S. PlansNon-U.S. Plans
Year ended September 30,202120202019202120202019202120202019
Components of Net Periodic Benefit Cost (Credit):
Service cost$— $— $8 $27 $25 $22 $1 $1 $1 
Interest cost47 67 108 32 36 54 2 4 6 
Expected return on plan assets(171)(180)(199)(112)(111)(105)(8)(9)(9)
Net actuarial (gain) loss(214)244 361 (115)43 236 (35)2 17 
Amortization of prior service cost (credit)
— — — 1 1 — (4)(3)— 
Curtailment gain— — — (3)(8)— — — — 
Settlement (gain) loss— 6 13 (1)— 4 — — — 
Special termination benefit cost— — — 2 — — — — — 
Net periodic benefit cost (credit)
(338)137 291 (169)(14)211 (44)(5)15 
Net periodic benefit cost related to discontinued operations— — (2)— — — — — — 
Net periodic benefit cost (credit) included in continuing operations
$(338)$137 $289 $(169)$(14)$211 $(44)$(5)$15 
Expense Assumptions:
Discount rate2.25 %2.95 %4.10 %1.35 %1.50 %2.45 %1.90 %2.65 %3.80 %
Expected return on plan assets6.50 %6.90 %7.10 %4.90 %5.20 %5.20 %5.30 %5.70 %5.65 %
Rate of compensation increaseN/AN/A3.50 %2.75 %2.80 %2.95 %N/AN/AN/A
Interest crediting rateN/AN/AN/A1.50 %1.50 %1.55 %N/AN/AN/A
Pension Benefits  
Defined Benefit Plan Disclosure [Line Items]  
Projected Benefit Payments from Plans
In fiscal 2021, total employer contributions to the defined benefit pension plans were $65 million, none of which were voluntary contributions made by the Company. The Company expects to contribute approximately $42 million in cash to its defined benefit pension plans in fiscal 2022. Projected benefit payments from the plans as of September 30, 2021 are estimated as follows (in millions):

2022$329 
2023298 
2024285 
2025280 
2026284 
2027 - 20311,387 
Postretirement Benefits  
Defined Benefit Plan Disclosure [Line Items]  
Projected Benefit Payments from Plans
In fiscal 2021, total employer contributions to the postretirement plans were $3 million. The Company expects to contribute approximately $3 million in cash to its postretirement plans in fiscal 2022 for continuing operations. Projected benefit payments from the plans as of September 30, 2021 are estimated as follows (in millions):

2022$11 
202311 
202411 
202510 
202610 
2027 - 203138