v3.21.2
Pension and Other Postretirement Benefits (Tables)
 12 Months Ended
Sep. 30, 2021
Retirement Benefits [Abstract]  
Change in benefit obligations and plan assets
A reconciliation of pension benefit obligations, plan assets, funded status and amounts recognized in the Company’s consolidated balance sheets were as follows:
U.S. PlansNon-U.S. Plans
 September 30,September 30,
 2021202020212020
 (in millions)
Change in pension benefit obligation:
Benefit obligation at beginning of period
$920 $919 $563 $528 
Service cost— — 4 4 
Interest cost25 28 10 10 
Actuarial (gain) loss(8)37 (53)11 
Benefit payments(60)(64)(28)(17)
Foreign currency exchange rate changes
— — 24 27 
Benefit obligation at end of period$877 $920 $520 $563 
Accumulated benefit obligation$877 $920 $520 $563 
Change in plan assets:
Fair value of plan assets at beginning of period
$1,142 $1,090 $525 $490 
Actual return on plan assets205 114 9 5 
Company contribution1 2 21 22 
Benefit payments(60)(64)(28)(17)
Foreign currency exchange rate changes
— — 21 25 
Fair value of plan assets at end of period
$1,288 $1,142 $548 $525 
Funded status at end of period$411 $222 $28 $(38)
Recognized in consolidated balance sheets:
Non-current asset$417 $229 $30 $— 
Current liability(1)(1)— — 
Non-current liability(5)(6)(2)(38)
Funded status at end of period$411 $222 $28 $(38)
Amounts recognized in accumulated other comprehensive income (loss) before tax
Amounts recognized in accumulated other comprehensive income (loss) before tax consist of the following: 
U.S. PlansNon-U.S. Plans
September 30,September 30,
 2021202020212020
 (in millions)
Net actuarial (gain) loss$(11)$135 $47 $93 
Benefit obligations in excess of plan assets
Benefit obligations in excess of plan assets were as follows:
 U.S. PlansNon-U.S. Plans
September 30,September 30,
 2021202020212020
 (in millions)
Accumulated benefit obligation in excess of plan assets
Accumulated benefit obligation at end of period$(6)$(7)$(520)$(563)
Fair value of plan assets at end of period$— $— $548 $525 
Projected benefit obligation in excess of plan assets
Benefit obligation at end of period$(6)$(7)$(520)$(563)
Fair value of plan assets at end of period$— $— $548 $525 
Net periodic benefit cost
Net periodic benefit cost consists of the following:
U.S. PlansNon-U.S. Plans
For the Years Ended September 30,
 202120202019202120202019
 (in millions)
Service cost$— $— $— $4 $4 $4 
Interest cost25 28 32 10 10 13 
Expected return on assets(70)(72)(71)(17)(15)(18)
Amortization of actuarial (gain) loss 3 6 — 4 2 — 
Settlement (gain) loss(1)8 7 2 — — 
Total net periodic benefit cost$(43)$(30)$(32)$3 $1 $(1)
Other changes in plan assets and benefit obligations recognized in other comprehensive income (loss)
Other changes in plan assets and benefit obligations recognized in other comprehensive income (loss) consist of the following: 
U.S. PlansNon-U.S. Plans
For the Years Ended September 30,
202120202019202120202019
 (in millions)
Current year actuarial (gain) loss$(143)$(5)$114 $(45)$21 $27 
Amortization of actuarial gain (loss)(3)(14)(7)(6)(2)— 
Current year prior service cost— — — — — 1 
Total recognized in other comprehensive (income) loss$(146)$(19)$107 $(51)$19 $28 
Total recognized in net periodic benefit cost and other comprehensive (income) loss$(189)$(49)$75 $(48)$20 $27 
Weighted average actuarial assumptions
Weighted-average actuarial assumptions used to estimate the benefit obligation and net periodic benefit cost were as follows:
U.S. PlansNon-U.S. Plans
 For the Years Ended September 30,
 202120202019202120202019
Discount rate for benefit obligation:
Pension2.98 %2.88 %3.26 %2.10 %1.60 %1.80 %
Discount rate for net periodic benefit cost:
Pension2.88 %3.27 %4.23 %1.60 %1.80 %2.90 %
Expected long-term rate of return on plan assets6.50 %7.00 %7.00 %3.50 %3.00 %3.00 %
Rate of increase(1) in compensation levels for:
Benefit obligationNANANA2.50 %2.50 %2.50 %
Net periodic benefit costNANANA2.50 %2.50 %2.50 %
(1)This assumption is not applicable for the U.S. plans due to the amendment of the U.S. qualified defined benefit pension plan in October 2015, which discontinued the employer provided credits effective after December 31, 2015.
Pension plan investments at fair value
The following tables set forth by level, within the fair value hierarchy, the pension plans’ investments at fair value as of September 30, 2021 and 2020, including the impact of transactions that were not settled at the end of September:
U.S. Plans
Fair Value Measurements at September 30 Using Inputs Considered as
Level 1Level 2Level 3Total
20212020202120202021202020212020
(in millions)
Cash equivalents$20 $17 $— $— $— $— $20 $17 
Collective investment funds— — 548 509 — — 548 509 
Corporate debt securities— — 455 373 — — 455 373 
U.S. government-sponsored debt securities
— — 28 30 — — 28 30 
U.S. Treasury securities
105 84 — — — — 105 84 
Asset-backed securities— — — — 31 37 31 37 
Equity securities101 92 — — — — 101 92 
Total
$226 $193 $1,031 $912 $31 $37 $1,288 $1,142 
Non-U.S. Plans
Fair Value Measurements at September 30 Using Inputs Considered as
Level 1Level 2Level 3Total
20212020202120202021202020212020
(in millions)
Cash and cash equivalents$18 $6 $— $— $— $— $18 $6 
Corporate debt securities— — 51 48 — — 51 48 
Asset-backed securities— — — — 78 67 78 67 
Equity funds— — 68 65 — — 68 65 
Multi-asset securities(1)
— — 333 339 — — 333 339 
Total
$18 $6 $452 $452 $78 $67 $548 $525 
(1)Multi-asset securities represent pension plan assets that are invested in funds comprised of broad ranges of assets.
Expected future employer contributions and benefit payments
Expected future employer contributions and benefit payments are as follows:
U.S. PlansNon-U.S. Plans
(in millions)
Expected employer contributions
2022$1 $21 
Expected benefit payments
2022$122 $8 
2023$93 $8 
2024$84 $9 
2025$80 $9 
2026$72 $9 
2027-2031$278 $50