Note 6: Employee Benefit Plans
9 Months Ended
Sep. 30, 2011
Notes to Condensed Consolidated Financial Statements [Abstract] 
Note 6: Employee Benefit Plans

Note 6: Employee Benefit Plans

 

Pension and Postretirement Plans. We sponsor both funded and unfunded domestic and foreign defined pension and other postretirement benefit plans, and defined contribution plans. Contributions to these plans were as follows:

 

  Quarter Ended September 30, Nine Months Ended September 30,
(Dollars in millions)  2011  2010  2011  2010
Defined Benefit Plans $627 $438 $697 $949
Defined Contribution Plans $52 $46 $165 $142

In the first nine months of 2011, we made contributions of $606 million to our domestic defined benefit pension plans, all of which was contributed in the third quarter of 2011. Included in the total domestic contributions was a $450 million contribution of UTC common stock. In the first nine months of 2010, we made contributions of $801 million to our domestic defined benefit pension plans, including $350 million which was contributed in the third quarter of 2010. Included in the total domestic contributions made through the first nine months of 2010 was a $250 million contribution of UTC common stock in the second quarter of 2010. The following tables illustrate the components of net periodic benefit cost for our defined pension and other postretirement benefit plans:

 

  Pension Benefits Other Postretirement Benefits
  Quarter Ended September 30, Quarter Ended September 30,
(Dollars in millions) 2011 2010 2011 2010
Service cost $ 111 $ 99 $ 1 $ 1
Interest cost   325   321   9   11
Expected return on plan assets   (458)   (430)   -   -
Amortization   (2)   (4)   -   (1)
Recognized actuarial net loss (gain)   116   71   (2)   -
Net settlement and curtailment loss    -   -   -   -
Total net periodic benefit cost $ 92 $ 57 $ 8 $ 11
             
             
  Pension Benefits Other Postretirement Benefits
  Nine Months Ended September 30, Nine Months Ended September 30,
(Dollars in millions) 2011 2010 2011 2010
Service cost $ 333 $ 297 $ 3 $ 2
Interest cost   975   963   29   34
Expected return on plan assets   (1,372)   (1,289)   -   -
Amortization   (8)   (12)   (2)   (2)
Recognized actuarial net loss (gain)   347   213   (6)   (1)
Net settlement and curtailment loss    13   17   -   -
Total net periodic benefit cost $ 288 $ 189 $ 24 $ 33