Plan curtailments

  
    Changes in benefit obligations and plan assets were as follows:

|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| ($ in millions) |  | June 30, 2022 |  | June 30, 2021 |
| Change in benefit obligation: |  |  |  |  |
| Benefit obligation at the beginning of the year |  | $ | 2,022  |  |  | $ | 2,051  |  |
| Service cost |  | 24  |  |  | 27  |  |
| Interest cost |  | 39  |  |  | 40  |  |
| Participant contributions |  | 6  |  |  | 6  |  |
| Actuarial gain |  | (341) |  |  | (58) |  |
| Plan curtailments |  | —  |  |  | (4) |  |
| Settlements |  | (244) |  |  | (40) |  |
| Benefits paid |  | (70) |  |  | (79) |  |
| Administrative expenses |  | (6) |  |  | (7) |  |
| Plan amendments |  | 1  |  |  | (15) |  |
| Divestitures |  | (4) |  |  | (1) |  |
|  |  |  |  |  |
| Foreign currency translation |  | (113) |  |  | 102  |  |
| Benefit obligation at the end of the year |  | $ | 1,314  |  |  | $ | 2,022  |  |
| Accumulated benefit obligation at the end of the year |  | $ | 1,269  |  |  | $ | 1,954  |  |



|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| Change in plan assets: |  |  |  |  |
| Fair value of plan assets at the beginning of the year |  | $ | 1,759  |  |  | $ | 1,691  |  |
| Actual return on plan assets |  | (189) |  |  | 57  |  |
| Employer contributions |  | 35  |  |  | 41  |  |
| Participant contributions |  | 6  |  |  | 6  |  |
| Benefits paid |  | (70) |  |  | (79) |  |
| Settlements |  | (244) |  |  | (40) |  |
| Administrative expenses |  | (6) |  |  | (7) |  |
|  |  |  |  |  |
| Foreign currency translation |  | (96) |  |  | 90  |  |
| Fair value of plan assets at the end of the year |  | $ | 1,195  |  |  | $ | 1,759  |  |
| Funded status at the end of the year |  | $ | (119) |  |  | $ | (263) |  |

  
    Actuarial gains resulting in a decrease to the benefit obligation for the fiscal year ended June 30, 2022, were primarily due to a weighted average increase in discount rates for our pension plans of 1.7 percentage points. Settlement impact is attributed to group annuity contracts, primarily a $186 million contract with Pacific Life Insurance Company, and other lump sum transfers and payments.   
    The following table provides information for defined benefit plans with a projected benefit obligation in excess of plan assets:

|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| ($ in millions) |  | June 30, 2022 |  | June 30, 2021 |
| Projected benefit obligation |  | $ | 398  |  |  | $ | 1,387  |  |
| Fair value of plan assets |  | 189  |  |  | 1,072  |  |

  
    The following table provides information for defined benefit plans with an accumulated benefit obligation in excess of plan assets:

|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
|  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
| ($ in millions) |  | June 30, 2022 |  | June 30, 2021 |
| Accumulated benefit obligation |  | $ | 357  |  |  | $ | 1,351  |  |
| Fair value of plan assets |  | 177  |  |  | 1,070  |  |

  
      
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