GE 2015 Annual Report Download - page 233

FINANCIAL STATEMENTS SUPPLEMENTAL INFORMATION
GE 2015 FORM 10-K 205
NOTE 27. SUPPLEMENTAL INFORMATION
POSTRETIREMENT BENEFIT PLANS
As discussed in Note 12, we sponsor a number of pension plans which consist of the two principal pension plans for certain U.S.
employees as well as other affiliate pension plans. In addition, we sponsor a number of postretirement health and life insurance benefit
plans (retiree benefit plans).
The accounting requirements and concepts discussed in Note 12 Postretirement Benefit Plans are the same for other pension plans
and principal retiree benefit plans and are consistently applied.
The following disclosures provide additional information with respect to our pension plans and principal retiree benefit plans.
Other pension plans in 2015 included 53 U.S. and non-U.S. pension plans with pension assets or obligations greater than $50 million.
Principal Retiree Benefit Plans provide health and life insurance benefits to eligible participants and these participants share in the
cost of healthcare benefits.
COST OF BENEFIT PLANS
Other pension plans Principal retiree benefit plans
(In millions) 2015 201
4
2013 2015 2014 2013
Service cost for benefits earned $ 416 $ 403 $ 435 $ 145 $ 164 $ 229
Prior service cost (credit) amortization - 6 7 (8) 353 393
Expected return on plan assets (881) (789) (663) (48) (50) (60)
Interest cost on benefit obligations 555 587 523 335 424 410
Net actuarial loss (gain) amortization 289 205 343 (25) (150) (45)
Curtailment loss (gain) (6) - - (225)(a) 48 -
Benefit plans cost $ 373 $ 412 $ 645 $ 174 $ 789 $ 927
(a) Gain principally resulting from life insurance amendment.
ASSUMPTION USED IN BENEFIT CALCULATIONS
The accounting assumptions in the table below are those that are significant to the measurement of our benefit obligations.
ASSUMPTIONS USED TO MEASURE BENEFIT OBLIGATIONS
Other pension plans (weighted average) Principal retiree benefit plans
December 31 2015 2014 2013 2015 201
4
2013
Discount rate 3.33% 3.53 % 4.39 % 3.93% 3.89% 4.61%
Compensation increases 3.32 3.60 3.76 3.80 4.10 4.00
Initial healthcare trend rate N/
A
N/
A
N/
A
6.00(a) 6.00 6.00
(a) For 2015, ultimately declining to 5% for 2030 and thereafter.
The healthcare trend assumptions for 2015 apply to our pre-65 retiree medical plans. Our post-65 retiree plan has a fixed subsidy and
therefore is not subject to healthcare inflation.
The discount rate used to measure the benefit obligation at the end of the year is also used to measure benefit cost in the following
year. The assumptions used to measure benefit cost follow.
GE 2015 FORM 10-K 205