XML 31 R21.htm IDEA: XBRL DOCUMENT v3.22.2.2
Note 14 - Retirement Plans and Other Postretirement Benefits
 9 Months Ended
Sep. 30, 2022
Notes to Financial Statements  
Retirement Benefits [Text Block]

NOTE 14: RETIREMENT PLANS AND OTHER POSTRETIREMENT BENEFITS

 

Components of the net periodic benefit cost for all major U.S. and non-U.S. defined benefit plans are as follows:

 

  

Three Months Ended

  

Nine Months Ended

 
  

September 30,

  

September 30,

 
  

2022

  

2021

  

2022

  

2021

 

(in millions)

 

U.S.

  

Non-U.S.

  

U.S.

  

Non-U.S.

  

U.S.

  

Non-U.S.

  

U.S.

  

Non-U.S.

 

Major defined benefit plans:

                                

Service cost

 $3  $—  $3  $1  $9  $2  $8  $3 

Interest cost

  24   2   12   2   56   6   36   4 

Expected return on plan assets

  (45)  (3)  (42)  (4)  (133)  (10)  (126)  (11)

Amortization of:

                                

Prior service credit

  —   —   (2)  —   (3)  —   (5)  — 

Actuarial loss

  —   3   7   2   —   8   22   6 

Net pension (income) expense before special termination benefits

  (18)  2   (22)  1   (71)  6   (65)  2 

Special termination benefits

  1   —   —   —   1   —   —   — 

Total net pension (income) expense

 $(17) $2  $(22) $1  $(70) $6  $(65) $2 

 

The special termination benefits were incurred as a result of Kodak's restructuring actions and have been included in Restructuring costs and other in the Consolidated Statement of Operations for that period.

 

The Kodak Retirement Income Plan (“KRIP”) was remeasured on May 31, 2022 due to a plan amendment. The plan amendment increased the employees’ crediting rates from 9% or 10% of pay based on employee classification to 12% or 13% of pay, retroactive to January 1, 2022. The plan amendment also provided a one-time service credit to eligible employees’ cash balance accounts.

 

As a result of the remeasurement, KRIP’s projected benefit obligation decreased $345 million primarily driven by an increase in the discount rate ($376 million) partially offset by the impacts from the plan amendments ($28 million) and changes in other demographic assumptions ($3 million). The discount rate assumption used in the May 31, 2022 remeasurement was 4.16% compared to 2.54% used in the December 31, 2021 remeasurement. The remeasurement decreased the fair value of KRIP’s plan assets by $236 million. The expected long-term rate of return on plan assets assumption used in the May 31, 2022 remeasurement was unchanged from the rate used in the previous year-end remeasurement (5.20%). The net impact of the remeasurement increased the U.S. Plan’s funded status by $109 million.