XML 67 R47.htm IDEA: XBRL DOCUMENT v3.23.3
Retirement Plans (Tables)
 12 Months Ended
Sep. 30, 2023
Retirement Benefits [Abstract]  
Defined Benefit Plan, Plan with Accumulated Benefit Obligation in Excess of Plan Assets
The following table includes information for pension plans with accumulated benefit obligations ("ABO") in excess of plan assets (in millions):
September 30,
20232022
Accumulated benefit obligation$1,834 $2,004 
Fair value of plan assets1,618 1,720 
Defined Benefit Plan, Plan with Projected Benefit Obligation in Excess of Plan Assets
The following table includes information for pension plans with projected benefit obligations ("PBO") in excess of plan assets (in millions):
September 30,
20232022
Projected benefit obligation$1,846 $2,013 
Fair value of plan assets1,633 1,729 
Projected Benefit Payments from Plans
Projected benefit payments from the plans as of September 30, 2023 are estimated as follows (in millions):

2024$277 
2025235 
2026235 
2027233 
2028172 
2029 - 20331,160 
Projected benefit payments from the plans as of September 30, 2023 are estimated as follows (in millions):

2024$10 
202510 
20269 
20279 
20287 
2029 - 203327 
Accumulated Postretirement Benefit Obligations in Excess of Plan Assets
The following table includes information for postretirement plans with accumulated postretirement benefit obligations ("APBO") in excess of plan assets (in millions):

September 30,
20232022
Accumulated postretirement benefit obligation$58 $68 
Fair value of plan assets24 28 
Plan Assets by Asset Category
The Company’s plan assets at September 30, 2023 and 2022, by asset category, are as follows (in millions):

 Fair Value Measurements Using:
Asset CategoryTotal as of September 30, 2023Quoted Prices
in Active
Markets
(Level 1)		Significant
Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
U.S. Pension
Cash and Cash Equivalents$61 $— $61 $— 
Equity Securities
Large-Cap60 60 — — 
Small-Cap65 65 — — 
International - Developed108 108 — — 
International - Emerging20 20 — — 
Fixed Income Securities
Government225 225 — — 
Corporate/Other583 583 — — 
Alternative211 — 211 — 
Total Investments in the Fair Value Hierarchy1,333 $1,061 $272 $— 
Real Estate Investments Measured at Net Asset Value(1)
295 
Due to Broker(129)
Total Plan Assets$1,499 
Non-U.S. Pension
Cash and Cash Equivalents$52 $52 $— $— 
Equity Securities
Large-Cap52 9 43 — 
International - Developed52 12 40 — 
International - Emerging2 — 2 — 
Fixed Income Securities
Government701 40 661 — 
Corporate/Other415 271 144 — 
Hedge Fund15 — 15 — 
Real Estate9 9 — — 
Total Investments in the Fair Value Hierarchy1,298 $393 $905 $— 
Real Estate Investments Measured at Net Asset Value(1)
90 
Total Plan Assets$1,388 
Postretirement
Cash and Cash Equivalents$8 $8 $— $— 
Equity Securities - Global
71 — 71 — 
Total Investments in the Fair Value Hierarchy79 $8 $71 $— 
Multi-Credit Strategy Investments Measured at Net Asset Value(1)
65 
Total Plan Assets$144 
 Fair Value Measurements Using:
Asset CategoryTotal as of September 30, 2022Quoted Prices
in Active
Markets
(Level 1)		Significant
Other
Observable
Inputs
(Level 2)		Significant
Unobservable
Inputs
(Level 3)
U.S. Pension
Cash and Cash Equivalents$40 $— $40 $— 
Equity Securities
Large-Cap160 160 — — 
Small-Cap175 175 — — 
International - Developed139 139 — — 
International - Emerging39 39 — — 
Fixed Income Securities
Government217 216 1 — 
Corporate/Other804 804 — — 
Total Investments in the Fair Value Hierarchy1,574 $1,533 $41 $— 
Real Estate Investments Measured at Net Asset Value(1)
322 
Due to Broker(166)
Total Plan Assets$1,730 
Non-U.S. Pension
Cash and Cash Equivalents$150 $150 $— $— 
Large-Cap45 8 37 — 
International - Developed43 12 31 — 
International - Emerging3 — 3 — 
Fixed Income Securities
Government650 50 600 — 
Corporate/Other418 277 141 — 
Hedge Fund18 — 18 — 
Real Estate9 9 — — 
Total Investments in the Fair Value Hierarchy1,336 $506 $830 $— 
Real Estate Investments Measured at Net Asset Value(1)
97 
Total Plan Assets$1,433 
Postretirement
Cash and Cash Equivalents$13 $13 $— $— 
Equity Securities
Global66 — 66 — 
Total Investments in the Fair Value Hierarchy79 13 66 — 
Multi-Credit Strategy Investments Measured at Net Asset Value(1)
65 
Total Plan Assets$144 

(1)The fair value of certain real estate and multi-credit strategy investments do not have a readily determinable fair value and require 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 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 investments 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 and multi-credit strategy 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 investments 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 are disclosed separate from the fair value hierarchy. The fair value amounts presented in these tables 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 following table 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 30,202320222023202220232022
Accumulated Benefit Obligation$1,564 $1,822 $1,424 $1,417 $76 $89 
Change in Projected Benefit Obligation
Projected benefit obligation at beginning of year$1,822 $2,629 $1,471 $2,625 $89 $123 
Service cost— — 16 20 — 1 
Interest cost78 56 68 39 4 2 
Plan participant contributions— — 3 2 3 3 
Actuarial gain(37)(587)(62)(651)(7)(25)
Benefits and settlements paid(299)(276)(126)(166)(12)(14)
Other— — (3)(3)— — 
Currency translation adjustment— — 106 (395)— (1)
Projected benefit obligation at end of year$1,564 $1,822 $1,473 $1,471 $77 $89 
Change in Plan Assets
Fair value of plan assets at beginning of year$1,730 $2,459 $1,433 $2,344 $144 $172 
Actual return on plan assets66 (454)(77)(459)7 (20)
Employer and employee contributions3 1 55 94 5 6 
Benefits paid(85)(85)(61)(74)(12)(14)
Settlement payments(215)(191)(65)(92)— — 
Other— — (2)(2)— — 
Currency translation adjustment— — 105 (378)— — 
Fair value of plan assets at end of year$1,499 $1,730 $1,388 $1,433 $144 $144 
Funded status$(65)$(92)$(85)$(38)$67 $55 
Amounts recognized in the statement of financial position consist of:
Prepaid benefit cost$1 $37 $97 $151 $101 $95 
Accrued benefit liability(66)(129)(182)(189)(34)(40)
Net amount recognized$(65)$(92)$(85)$(38)$67 $55 
Weighted Average Assumptions (1)
Discount rate (2)
5.48 %5.08 %4.72 %4.36 %5.42 %4.92 %
Rate of compensation increaseN/AN/A2.90 %3.00 %N/AN/A
Interest crediting rateN/AN/A1.63 %1.69 %N/AN/A

(1)Plan assets and obligations are determined based on a September 30 measurement date at September 30, 2023 and 2022.

(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.
Components of Net Periodic Benefit Cost
The following table contains the components of net periodic benefit costs, which are recorded in selling, general and administrative expenses or cost of sales consistent with the related employees' salaries in the consolidated statements of income (in millions):
 Pension BenefitsPostretirement Benefits
 U.S. PlansNon-U.S. Plans
Year ended September 30,202320222021202320222021202320222021
Components of Net Periodic Benefit Cost (Credit):
Service cost$— $— $— $16 $20 $27 $— $1 $1 
Interest cost78 56 47 68 39 32 4 2 2 
Expected return on plan assets(131)(150)(171)(77)(81)(112)(9)(9)(8)
Net actuarial (gain) loss28 16 (214)86 (116)(115)(5)4 (35)
Settlement (gain) loss1 1 — 6 5 (1)— — — 
Amortization of prior service cost (credit)
— — — — — 1 (4)(4)(4)
Other— — — — — (1)— — — 
Net periodic benefit cost (credit) included in continuing operations
$(24)$(77)$(338)$99 $(133)$(169)$(14)$(6)$(44)
Expense Assumptions:
Discount rate5.08 %2.52 %2.25 %4.36 %1.79 %1.35 %4.92 %2.30 %1.90 %
Expected return on plan assets8.25 %7.00 %6.90 %5.02 %3.70 %4.90 %6.64 %5.29 %5.30 %
Rate of compensation increaseN/AN/AN/A3.00 %2.85 %2.75 %N/AN/AN/A
Interest crediting rateN/AN/AN/A1.69 %1.44 %1.50 %N/AN/AN/A