Employee Benefit Obligations

9 Months Ended

Sep. 30, 2026

Employee Benefit Obligations

Employee Benefit Obligations

17. Employee Benefit Obligations


		September 30,			December 31,
($ in millions)		2026			2025

Underfunded defined benefit pension liabilities		$	172		$	191
Less: Current portion			(19)			(19)
Long-term defined benefit pension liabilities			153			172
Long-term retiree medical liabilities			73			77
Deferred compensation plans			156			178
Other			66			72
		$	448		$	499

Components of net periodic benefit cost associated with the company’s defined benefit pension plans were as follows:


		Three Months Ended September 30,
		2026									2025
($ in millions)		U.S.			Non-U.S.			Total			U.S.			Non-U.S.			Total

Ball-sponsored plans:
Service cost		$	3		$	—		$	3		$	4		$	—		$	4
Interest cost			12			8			20			14			23			37
Expected return on plan assets			(19)			(8)			(27)			(20)			(22)			(42)
Amortization of prior service cost			—			1			1			—			1			1
Recognized net actuarial loss			1			2			3			1			4			5
Settlement losses and other charges			—			475			475			—			—			—
Total net periodic benefit cost		$	(3)		$	478		$	475		$	(1)		$	6		$	5


		Nine Months Ended September 30,
		2026									2025
($ in millions)		U.S.			Non-U.S.			Total			U.S.			Non-U.S.			Total

Ball-sponsored plans:
Service cost		$	9		$	—		$	9		$	11		$	—		$	11
Interest cost			37			53			90			43			68			111
Expected return on plan assets			(57)			(51)			(108)			(59)			(66)			(125)
Amortization of prior service cost			—			2			2			—			2			2
Recognized net actuarial loss			2			11			13			2			13			15
Settlement losses and other charges			—			475			475			—			—			—
Total net periodic benefit cost		$	(9)		$	490		$	481		$	(3)		$	17		$	14

Non-service pension income of $3 million and expense of $1 million for the three months ended September 30, 2026, and 2025, respectively, and income of $3 million and expense of $3 million for the nine months ended September 30, 2026, and 2025, respectively, is included in selling, general, and administrative in the unaudited condensed consolidated statements of earnings (loss).

Contributions to the company’s defined benefit pension plans were $25 million for the first nine months of 2026 compared to $36 million for the same period in 2025, and such contributions are expected to be approximately $30 million for the full year of 2026. This estimate may change based on changes in the Pension Protection Act, actual plan asset performance and available company cash flow, among other factors.

In November 2023, the Trustee Board of the U.K. defined benefit pension plan entered into an agreement with an insurance company for a bulk annuity purchase, or “buy-in”, for its U.K. defined benefit pension plan to reduce retirement plan risk, while delivering promised benefits to plan participants. This transaction allowed the company to reduce volatility by removing investment, longevity, mortality, interest rate and inflation risk upon the transfer of substantially all of the pension plan assets to the insurer in exchange for the group annuity insurance contract.

In August 2026, Ball completed a pension buy-out transaction, or “buy-out”, for its U.K. defined benefit pension plan, further reducing retirement plan risk. The buy-out transferred the related U.K. pension obligations to an insurance company and removed them from the company's unaudited condensed consolidated balance sheet through the conversion of the group annuity contract established in the buy-in transaction into a signed deed poll agreement with the insurance company to facilitate the assignment of individual policies directly to affected retirees and beneficiaries. As a result, the insurer assumed responsibility for future benefit payments, and the company was discharged from those obligations which triggered settlement accounting. The buy-out had no impact on the amount, timing, or form of monthly retirement benefit payments to such retirees and beneficiaries.

In connection with this transaction, Ball recognized a noncash settlement charge of $475 million reflected in business consolidation and other activities. The charge included an accumulated other comprehensive income ("AOCI") loss of $475 million, including an $11 million loss related to the derecognition of the overfunded net pension asset recognized on the company's unaudited condensed consolidated balance sheet. Additionally, the company recognized a tax benefit of $116 million in connection with the settlement charge.