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Employee Benefit Plans (Tables)
12 Months Ended
Dec. 31, 2022
Retirement Benefits [Abstract]  
Change in Benefit Obligation, Plan Assets and Funded Status of Defined Benefit Pension Plans

The change in benefit obligation, plan assets and the funded status of the defined benefit pension plans in the United States, United Kingdom, Norway, Germany and the Netherlands and defined postretirement plans in the United States, using a measurement date of December 31, 2022 and 2021, is as follows (in millions):

 

 

 

Pension benefits

 

 

Postretirement benefits

 

At year end

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Benefit obligation at beginning of year

 

$

594

 

 

$

641

 

 

$

34

 

 

$

43

 

Service cost

 

 

1

 

 

 

1

 

 

 

1

 

 

 

 

Interest cost

 

 

9

 

 

 

11

 

 

 

1

 

 

 

1

 

Actuarial loss (gain)

 

 

(135

)

 

 

(5

)

 

 

(5

)

 

 

4

 

Benefits paid

 

 

(62

)

 

 

(29

)

 

 

(8

)

 

 

(14

)

Exchange rate loss (gain)

 

 

(25

)

 

 

(12

)

 

 

 

 

 

 

Plan amendments

 

 

 

 

 

 

 

 

27

 

 

 

 

Settlements

 

 

 

 

 

(13

)

 

 

 

 

 

 

Benefit obligation at end of year

 

$

382

 

 

$

594

 

 

$

50

 

 

$

34

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fair value of plan assets at beginning of year

 

$

571

 

 

$

584

 

 

$

 

 

$

 

Actual return

 

 

(105

)

 

 

32

 

 

 

 

 

 

 

Benefits paid

 

 

(62

)

 

 

(29

)

 

 

(8

)

 

 

(15

)

Company contributions

 

 

3

 

 

 

4

 

 

 

8

 

 

 

15

 

Exchange rate gain (loss)

 

 

(26

)

 

 

(7

)

 

 

 

 

 

 

Settlements

 

 

 

 

 

(13

)

 

 

 

 

 

 

Fair value of plan assets at end of year

 

$

381

 

 

$

571

 

 

$

 

 

$

 

Funded status

 

$

(1

)

 

$

(23

)

 

$

(50

)

 

$

(34

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Accumulated benefit obligation at end of year

 

$

381

 

 

$

592

 

 

 

 

 

 

 

Assumption Rates Used for Benefit Obligations The assumption rates used for benefit obligations are as follows:

 

 

 

Year Ended December 31,

 

 

2022

 

2021

Discount rate:

 

 

 

 

United States plan

 

4.74% - 5.20%

 

1.80% - 2.20%

International plans

 

3.30% - 4.80%

 

1.00% - 1.90%

Salary increase:

 

 

 

 

United States plan

 

N/A

 

N/A

International plans

 

2.50% - 3.75%

 

2.50% - 3.40%

 

Assumption Rates Used for Net Periodic Benefit Costs

The assumption rates used for net periodic benefit costs are as follows:

 

 

 

Year Ended December 31,

 

 

2022

 

2021

 

2020

Discount rate:

 

 

 

 

 

 

United States plan

 

1.80% - 2.20%

 

1.20% - 2.40%

 

2.50% - 3.20%

International plans

 

1.00% - 1.90%

 

0.70% - 1.80%

 

0.00% - 2.30%

Salary increase:

 

 

 

 

 

 

United States plan

 

N/A

 

N/A

 

N/A

International plans

 

2.50% - 3.40%

 

1.75% - 2.90%

 

1.80% - 3.10%

Expected return on assets:

 

 

 

 

 

 

United States plan

 

1.84%

 

3.90%

 

4.80%

International plans

 

1.00% - 4.00%

 

0.80% - 3.40%

 

0.00% - 4.50%

Plan's Assets Carried at Fair Value

The following table sets forth by level, within the fair value hierarchy, the plan’s assets carried at fair value (in millions):

 

 

 

Fair Value Measurements

 

 

 

Total

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

December 31, 2021:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

$

8

 

 

$

 

 

$

8

 

 

$

 

Bonds

 

 

372

 

 

 

 

 

 

372

 

 

 

 

Other (insurance contracts)

 

 

191

 

 

 

 

 

 

132

 

 

 

59

 

Total Fair Value Measurements

 

$

571

 

 

$

 

 

$

512

 

 

$

59

 

December 31, 2022:

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities

 

$

4

 

 

$

 

 

$

4

 

 

$

 

Bonds

 

 

79

 

 

 

 

 

 

79

 

 

 

 

Other (insurance contracts)

 

 

298

 

 

 

 

 

 

260

 

 

 

38

 

Total Fair Value Measurements

 

$

381

 

 

$

 

 

$

343

 

 

$

38

 

Summary of Changes in Fair Value of Plan's Level Three Assets The following table sets forth a summary of changes in the fair value of the plan’s Level 3 assets (in millions):

 

 

 

Level 3 Plan
Assets

 

Balance at December 31, 2020

 

$

66

 

Actual return on plan assets still held at
   reporting date

 

 

(2

)

Purchases, sales and settlements

 

 

(1

)

Currency translation adjustments

 

 

(4

)

Balance at December 31, 2021

 

$

59

 

Actual return on plan assets still held at
   reporting date

 

 

(16

)

Purchases, sales and settlements

 

 

(1

)

Currency translation adjustments

 

 

(4

)

Balance at December 31, 2022

 

$

38