XML 31 R20.htm IDEA: XBRL DOCUMENT v3.19.2
Pension Benefits
3 Months Ended
Jun. 30, 2019
Defined Benefit Plan [Abstract]  
Pension Benefits
Pension Benefits
The net periodic expense for our defined pension benefit plans was $24 million and $5 million for the first quarters of 2020 and 2019.

Cash contributions to these plans were $6 million and $3 million for the first quarters of 2020 and 2019. The projected unit credit method is utilized in measuring net periodic pension expense over the employees’ service life for the pension plans. Unrecognized actuarial losses exceeding 10% of the greater of the projected benefit obligation or the market value of assets are amortized straight-line over the average remaining future service periods and expected life expectancy.

On May 23, 2018, the Company’s Board of Directors approved the termination of our frozen U.S. defined benefit pension plan (“Plan”). The Plan was fully funded by its plan assets at June 30, 2019 and March 31, 2019. During the first quarter of 2020, we offered the option of receiving a lump sum payment to certain participants with vested qualified Plan benefits in lieu of receiving monthly annuity payments. Approximately 1,300 participants elected to receive the settlement, and lump sum payments of approximately $49 million were made from plan assets to these participants in June 2019. The benefit obligation settled approximated payments to plan participants and a pre-tax settlement charge of $17 million was recorded during the first quarter of 2020. We expect to purchase non-participating annuity contracts from an insurer that will pay and administer the future pension benefits of the remaining participants, which is expected to be completed by September 30, 2019.
As of June 30, 2019 and March 31, 2019, this Plan had an accumulated other comprehensive loss of approximately $95 million and $121 million.