NOTE 5 – POSTRETIREMENT BENEFIT PLANS

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


	Quarters Ended				Nine Months Ended

	September 29, 2013		September 30, 2012		September 29, 2013		September 30, 2012

Qualified defined benefit pension plans
Service cost		$ 286		$ 264		$ 857		$ 791
Interest cost		450		471		1,350		1,413
Expected return on plan assets		(621)		(547)		(1,864)		(1,640)
Recognized net actuarial losses		352		279		1,058		837
Amortization of prior service cost		20		18		60		55

Total net periodic benefit cost		$ 487		$ 485		$ 1,461		$ 1,456

Retiree medical and life insurance plans
Service cost		$ 7		$ 7		$ 21		$ 21
Interest cost		29		33		87		99
Expected return on plan assets		(36)		(33)		(109)		(99)
Recognized net actuarial losses		11		8		33		24
Amortization of prior service credit		(4)		(3)		(13)		(9)

Total net periodic benefit cost		$ 7		$ 12		$ 19		$ 36

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 $138 million of tax expense) and $761 million (net of $417 million of tax expense) for the quarter and nine months ended September 29, 2013, and $249 million (net of $136 million of tax expense) and $655 million (net of $358 million of tax expense) for the quarter and nine months ended September 30, 2012, which are recorded on our Statements of Comprehensive Income as an increase to comprehensive income.

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. During the quarter and nine months ended September 29, 2013, we made $750 million and $1.5 billion in contributions to our qualified defined benefit pension plans, which completes our planned funding for 2013. During the quarter and nine months ended September 29, 2013, there were no contributions to our retiree medical and life insurance plans, and no contributions are required in 2013. Consistent with prior years, we may review options for further contributions to the plans in the remainder of 2013.