Postretirement Benefit Plans

3 Months Ended

Mar. 31, 2013

Postretirement Benefit Plans

NOTE 5 – POSTRETIREMENT BENEFIT PLANS

The components of our pretax net periodic benefit costs for our significant qualified defined benefit and retiree medical and life insurance plans were as follows (in millions):

	Quarters Ended
	March 31,   2013		March 25,       2012
Qualified defined benefit pension plans
Service cost		$    286		$    264
Interest cost		450		471
Expected return on plan assets		(622)		(547)
Recognized net actuarial losses		353		279
Amortization of prior service cost		20		18
Total net periodic benefit cost		$     487		$    485
Retiree medical and life insurance plans
Service cost		$         7		$        7
Interest cost		29		33
Expected return on plan assets		(36)		(33)
Recognized net actuarial losses		11		8
Amortization of prior service credit		(5)		(3)
Total net periodic benefit cost		$         6		$      12

The recognized net actuarial losses and the amortization of prior service cost (credit) in the table above, as well as similar costs related to our other postretirement benefit plans, reflect costs that were recorded as a component of net periodic benefit cost for the period. These costs totaled $254 million (net of $139 million of tax expense) for the quarter ended March 31, 2013, and $203 million (net of $111 million of tax expense) for the quarter ended March 25, 2012, which are recorded on our Statements of Comprehensive Income as an increase to comprehensive income for all periods presented.

We determine funding requirements for our defined benefit pension plans in a manner consistent with CAS and the Employee Retirement Income Security Act of 1974 (ERISA), as amended by the Pension Protection Act of 2006. We anticipate making total contributions of $1.5 billion related to our qualified defined benefit pension plans in 2013. We do not expect to make any contributions to our retiree medical and life insurance plans in 2013. There were no contributions to either our qualified defined benefit pension plans or our retiree medical and life insurance plans during the quarter ended March 31, 2013.