EMPLOYEE BENEFIT PLANS

9 Months Ended

Sep. 24, 2016

NOTE 8. EMPLOYEE BENEFIT PLANS

Pension and Other Postretirement Benefit Plans – North America

The components of net periodic pension benefit for the Company’s North American pension plans are as follows:


	Third Quarter						Year-to-Date
(In millions)	2016			2015			2016			2015
Service cost	$	2		$	1		$	5		$	3
Interest cost		11			11			34			34
Expected return on plan assets		(14	)		(14	)		(41	)		(42	)

Net periodic pension (benefit) expense	$	(1	)	$	(2	)	$	(2	)	$	(5	)

In the year-to-date 2016, $2 million of cash contributions were made to the North American pension plans. The Company expects to make additional cash contributions of $1 million to the North American pension plans in the remainder of 2016.

Pension Plan – Europe

The components of net periodic pension benefit for the Company’s European pension plan are as follows:


	Third Quarter						Year-to-Date
(In millions)	2016			2015			2016			2015
Service cost	$	—		$	—		$	—		$	—
Interest cost		2			2			6			6
Expected return on plan assets		(3	)		(3	)		(9	)		(10	)

Net periodic pension (benefit) expense	$	(1	)	$	(1	)	$	(3	)	$	(4	)

As part of the agreement to sell the European Business, the Company retained the European defined benefit pension plan and agreed to contribute GBP 20 million to the plan prior to closing the transaction, which is expected before the end of 2016.

Net periodic pension benefits for the North American and European pension and other postretirement benefit plans are recorded in Selling, general and administrative expenses in the Condensed Consolidated Statements of Operations.