v3.25.4
Defined Benefit Plans
 12 Months Ended
Dec. 31, 2025
Retirement Benefits [Abstract]  
Defined Benefit Plans Defined Benefit Plans
We maintain various funded defined benefit plans for certain current and past employees, including (i) the CWSF, which is C&W’s largest defined benefit plan, (ii) plans in The Bahamas, Jamaica, Barbados, Curacao and Puerto Rico and (iii) certain other defined benefit arrangements in the U.K., which are governed by individual trust deeds. These defined benefit plans are closed to new entrants, and existing participants do not accrue any additional benefits.
Defined benefit plan amounts included in our consolidated balance sheets are as follows:
December 31,
20252024
in millions
Other assets, net $27.5 $33.6 
Other long-term liabilities, net (a)(4.8)(5.6)
Net pension asset$22.7 $28.0 
(a)Amounts include an indemnification asset from The Bahamas government of $113 million and $115 million, respectively, and investments in U.K. Gilts of $24 million and $23 million, respectively.
The table below provides summary information for our defined benefit plans:
December 31,
20252024
in millions
Projected benefit obligations (a) (b)$(1,407.8)$(1,361.4)
Fair value of plan assets (c)1,430.5 1,389.4 
Net pension asset$22.7 $28.0 
(a)Amounts include an indemnification asset from The Bahamas government of $113 million and $115 million, respectively, and investments in U.K. Gilts of $24 million and $23 million, respectively.
(b)The weighted average discount rate used in determining our benefit obligations was 6.1% for each of the years ended December 31, 2025 and 2024. A 1.0% increase or decrease in the weighted average discount rate would have a ($34 million) or $40 million impact, respectively, on the projected benefit obligations, net of the annuity insurance policies (as described further below).
(c)Our plan assets primarily comprise investments in insurance contracts, debt securities and equity securities. The fair value of plan assets at December 31, 2025 includes $239 million, $132 million and $1,060 million of assets that are valued based on Level 1, Level 2 and Level 3 inputs, respectively, of the fair value hierarchy (as further described in note 4). The fair value of plan assets at December 31, 2024 includes $233 million, $135 million and $1,021 million of assets that are valued based on Level 1, Level 2 and Level 3 inputs, respectively.
In May 2023, the CWSF completed an additional buy-in bulk annuity, resulting in 100% of the plan’s liabilities being covered by insurance annuity policies, the payments from which match the corresponding obligations to employees. In addition, at December 31, 2025, 100% of the Jamaican and UTS defined benefit obligations are covered through the purchase of insurance annuity policies. The remaining investment risks in the plans have also been mitigated to a reasonable extent by a combination of matching assets and diversification of the return-seeking assets.
The CWSF buy-in resulted in the remeasurement of $75 million from net pension assets to accumulated other comprehensive income during 2023, which represents the loss associated with the difference between the projected benefit obligations and the cost of the bulk annuity policy.