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Postretirement Benefit Plans
 3 Months Ended
Jun. 30, 2026
Retirement Benefits [Abstract]  
8. POSTRETIREMENT BENEFIT PLANS
8. POSTRETIREMENT BENEFIT PLANS
The Company recognizes actuarial gains and losses and prior service costs in the condensed consolidated balance sheet and recognizes changes in these amounts during the year in which changes occur through other comprehensive income. The Company uses various assumptions when computing amounts relating to its defined benefit pension plan obligations and their associated expenses (including the discount rate and the expected rate of return on plan assets). Net actuarial gains and losses are amortized over periods of 15 years or less, which represent the group's average future service life of the employees or the group's average life expectancy.
During the first quarter of fiscal 2026, the Company closed its Fairmont, West Virginia, plant. Due to this closure, eligible participants in the Fairmont Pension Plan can elect to receive early retirement benefits. The Company determined the number of participants who elected to do so had an immaterial impact on the condensed consolidated statements of operations and the condensed consolidated balance sheets. Additionally, eligible participants in the Fairmont Medical and Fairmont Death Benefit plans were offered and accepted the option to waive future medical and death benefits. This transaction and related remeasurement resulted in noncash curtailment and settlement gains totaling $11 million during the three months ended June 30, 2025.
Components of net periodic benefit cost for all of our postretirement benefit plans are shown in the table below.
Pension Benefit PlansOther Benefit Plans
Three Months Ended
June 30,
Three Months Ended
June 30,
in millions2026202520262025
Service cost $6 $5 $1 $— 
Interest cost18 18 2 1 
Expected return on assets(19)(20)— — 
Amortization — losses (gains), net— 1 (1)— 
Amortization — prior service credit, net— (1)(1)(1)
Settlement and curtailment gain
— — — (11)
Net periodic benefit cost(1)
$5 $3 $1 $(11)
____________________
(1)Service cost is included within cost of goods sold (exclusive of depreciation and amortization) and selling, general and administrative expenses. Other benefit plans' settlement and curtailment gain for fiscal 2026 is due to the Fairmont plant closure and included in restructuring and impairment expenses, net. All other cost components are recorded within other expenses (income), net.
The average expected long-term rate of return on all plan assets is 6.3% in fiscal 2027.
Employer Contributions to Plans
For pension plans, our policy is to fund an amount required to provide for contractual benefits attributed to service to date and amortize unfunded actuarial liabilities typically over periods of 15 years or less. We also participate in savings plans in Canada and the U.S., as well as defined contribution pension plans in the U.S., the U.K., Canada, Germany, Italy, Switzerland, and Brazil. We contributed the following amounts to all plans:
Three Months Ended
June 30,
in millions20262025
Funded pension plans$12 $13 
Unfunded pension plans4 4 
Savings and defined contribution pension plans18 18 
Total contributions$34 $35 
During the remainder of fiscal 2027, we expect to contribute an additional $22 million to our funded pension plans, $15 million to our unfunded pension plans, and $47 million to our savings and defined contribution pension plans.