Multiemployer Plans, Estimated Annual Cash Contribution

  
As of June 30, 2022, the Company had a total of $5 million of unrecognized tax benefits. A reconciliation of unrecognized tax benefits, excluding accrued interest, as of June 30, 2022, 2021, and 2020 is as follows:

|  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |
| (Dollars in millions) |
| Balance at June 30, 2019 | $ | 4  |  |
|  |  |
| Additions for tax positions of prior years | 1  |  |
|  |  |
|  |  |
| Lapse of the applicable statute of limitations | (1) |  |
| Balance at June 30, 2020 | $ | 4  |  |
|  |  |
| Additions for tax positions of prior years | 3  |  |
|  |  |
|  |  |
| Lapse of the applicable statute of limitations | (2) |  |
| Balance at June 30, 2021 | $ | 5  |  |
| Additions for tax positions related to the current year | 1  |  |
| Additions for tax positions of prior years | 1  |  |
|  |  |
| Settlements | (1) |  |
| Lapse of the applicable statute of limitations | (1) |  |
| Balance at June 30, 2022 | $ | 5  |  |

All of the unrecognized tax benefits as of June 30, 2022 and 2021 would, if subsequently recognized, favorably affect the effective income tax rate. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense. As of June 30, 2022, the Company has $1 million of accrued interest related to uncertain tax positions, with a reduction from the prior year, as a result of statute of limitations lapses and settlements. The Company had $1 million of accrued interest related to uncertain tax positions as of both June 30, 2021 and 2020.12.    EMPLOYEE RETIREMENT BENEFIT PLANS The Company sponsors various retirement plans, including defined benefit pension plans and defined contribution plans. Substantially all of the Company’s domestic non-union employees are eligible to participate in employer-sponsored retirement savings plans, which include plans created under Section 401(k) of the Internal Revenue Code that provide for the Company to match a portion of contributions by participating U.S. employees. The Company’s contributions to the plans are discretionary but are subject to certain minimum requirements as specified in the plans. The Company uses a measurement date of June 30 for all of its retirement and postretirement benefit plans. The Company records obligations related to its withdrawal from one multi-employer pension plan that covered former employees at three former sites. This withdrawal was classified as a mass withdrawal under the Multiemployer Pension Plan Amendments Act of 1980, as amended, and the Pension Protection Act of 2006 and resulted in the recognition of liabilities associated with the Company’s long-term obligations in prior years not presented, which were primarily recorded as an expense within discontinued operations. The estimated discounted value of the projected contributions related to these plans is $38 million as of June 30, 2022 and 2021. The annual cash impact associated with the Company’s long-term obligation arising from this plan is $2 million per year. The following table provides a reconciliation of the change in projected benefit obligation and fair value of plan assets for the defined benefit retirement and other retirement plans, excluding the multi-employer pension plan liability:98
