Employee Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2022

Schedule of Changes in Projected Benefit Obligations

The following table presents the projected benefit obligation, fair value of plan assets, funded status and accumulated benefit obligation for the Domestic Plan, the U.K. Plan and the International Plans:


	Domestic Plan				U.K. Plan				International Plans
	2022		2021		2022		2021		2022		2021
	(in millions)
Change in projected benefit obligation
Benefit obligation at beginning of year	$	370	$	399	$	490	$	541	$	81	$	90
Service cost	—		—		2		2		2		1
Interest cost	8		6		8		5		2		2
Actuarial gain(1)	(71)		(11)		(152)		(32)		(10)		(3)
Settlements	—		—		—		—		—		(1)
Effect of foreign currency exchange rates	—		—		(49)		(4)		(4)		(4)
Benefits paid	(23)		(24)		(13)		(22)		(7)		(4)
Benefit obligation at end of year	$	284	$	370	$	286	$	490	$	64	$	81

Change in plan assets
Fair value of plan assets at beginning of year	$	374	$	343	$	505	$	485	$	71	$	70
Actual return on plan assets, net of expenses	(80)		44		(186)		36		(3)		7
Employer contributions	—		11		21		11		2		2
Settlements	—		—		—		—		—		(1)
Effect of foreign currency exchange rates	—		—		(50)		(5)		(3)		(3)
Benefits paid	(23)		(24)		(13)		(22)		(7)		(4)
Fair value of plan assets at end of year	271		374		277		505		60		71
Funded status at end of year (underfunded)	(13)		4		(9)		15		(4)		(10)
Accumulated benefit obligation	$	284	$	370	$	286	$	490	$	64	$	81

____________

(1)The actuarial gains during the year ended December 31, 2022 were primarily related to increases in the discount rate assumptions.

Schedule of Amounts Recognized in Balance Sheet

Amounts recognized in our consolidated balance sheets consisted of the following:


	Domestic Plan				U.K. Plan				International Plans
	2022		2021		2022		2021		2022		2021
	(in millions)
Other non-current assets	$	—	$	4	$	—	$	15	$	14	$	15
Other liabilities	(13)		—		(9)		—		(18)		(25)
Net amount recognized	$	(13)	$	4	$	(9)	$	15	$	(4)	$	(10)

Schedule of Amounts Recognized in Other Comprehensive Income (Loss)

Amounts recognized in accumulated other comprehensive loss consisted of the following:


	Domestic Plan						U.K. Plan						International Plans
	2022		2021		2020		2022		2021		2020		2022		2021		2020
	(in millions)
Net actuarial loss (gain)	$	25	$	(38)	$	4	$	39	$	(48)	$	41	$	(4)	$	(7)	$	3
Amortization of prior service cost	(4)		(4)		(4)		—		—		—		—		—		—
Amortization of net loss	(3)		(5)		(4)		(3)		(5)		(4)		(1)		(1)		(1)
Net amount recognized	$	18	$	(47)	$	(4)	$	36	$	(53)	$	37	$	(5)	$	(8)	$	2

Schedule of Net Periodic Pension Cost (Credit)

The net periodic pension cost (credit) was as follows:


	Domestic Plan						U.K. Plan						International Plans
	2022		2021		2020		2022		2021		2020		2022		2021		2020
	(in millions)
Service cost(1)	$	3	$	3	$	3	$	2	$	2	$	3	$	2	$	1	$	1
Interest cost(2)	8		6		10		8		5		8		2		2		2
Expected return on plan assets(2)	(20)		(19)		(17)		(23)		(21)		(20)		(3)		(3)		(3)
Amortization of prior service cost(2)	4		4		4		—		—		—		—		—		—
Amortization of net loss(2)	3		5		4		3		5		4		1		1		1
Net periodic pension cost (credit)	$	(2)	$	(1)	$	4	$	(10)	$	(9)	$	(5)	$	2	$	1	$	1

____________

(1)Recognized in owned and leased hotels expenses and general and administrative expenses, as applicable, in our consolidated statements of operations.

(2)Recognized in other non-operating income (loss), net in our consolidated statements of operations.

Schedule of Weighted Average Assumptions Used

The weighted average assumptions used to determine benefit obligations were as follows:


	Domestic Plan				U.K. Plan				International Plans
	2022		2021		2022		2021		2022		2021
Discount rate	5.6	%	2.8	%	4.8	%	1.9	%	4.4	%	2.3	%
Salary inflation	N/A		N/A		2.6		2.6		2.4		2.3
Pension inflation	N/A		N/A		3.1		3.1		2.1		1.9

The weighted average assumptions used to determine net periodic pension cost (credit) were as follows:


	Domestic Plan						U.K. Plan						International Plans
	2022		2021		2020		2022		2021		2020		2022		2021		2020
Discount rate	2.9	%	2.6	%	3.2	%	1.9	%	1.3	%	2.1	%	2.2	%	1.7	%	2.0	%
Expected return on plan assets	6.3		6.3		6.3		5.0		4.5		5.0		2.7		2.4		2.7
Salary inflation	N/A		N/A		N/A		2.6		2.1		1.6		2.3		2.2		2.2
Pension inflation	N/A		N/A		N/A		3.1		2.7		2.8		1.9		1.8		1.9

Schedule of Fair Value of Pension Assets

The following tables present the fair value hierarchy of total plan assets measured at fair value by asset category:


	December 31, 2022
	Domestic Plan		U.K. Plan		International Plans
	(in millions)
Level 1
Cash	$	—	$	13	$	12
Equity funds	—		—		3
Bond funds	6		—		—
Level 2
Equity funds	—		—		4
Bond funds	—		35		6
Net asset value(1)
Cash equivalents	—		24		—
Bond funds	—		44		—
Common collective trusts	265		—		35
Alternative investments	—		111		—
Other	—		50		—
	$	271	$	277	$	60


	December 31, 2021
	Domestic Plan		U.K. Plan		International Plans
	(in millions)
Level 1
Cash	$	—	$	12	$	12
Equity funds	—		—		3
Bond funds	3		42		—
Level 2
Equity funds	—		—		4
Bond funds	—		34		6
Net asset value(1)
Cash equivalents	—		34		—
Equity funds	—		86
Bond funds	—		69		—
Common collective trusts	371		—		46
Alternative investments	—		168		—
Other	—		60		—
	$	374	$	505	$	71

____________

(1)Certain investments are measured at net asset value per share as a practical expedient and, therefore, have not been classified in the fair value hierarchy.

Schedule of Expected Benefit Payments

As of December 31, 2022, the benefits expected to be paid in the next five years and in the aggregate for the five years thereafter were as follows:


	Domestic Plan		U.K. Plan		International Plans
Year	(in millions)
2023	$	33	$	13	$	9
2024	26		13		4
2025	26		13		3
2026	25		14		3
2027	25		14		3
2028-2032	110		77		15
	$	245	$	144	$	37