Q10.3 2018 Financial Reporting for Pensions. General Motors Company Pension Costs 2017 2016 Service cost $ 493.0 Included in operating $ 514.0 $ 654.0 income (new rules) Interest cost 2,514.0 2,618.0 2.739.0 Expected return on assets (4.715.0) (4.427.0) (4,511.0) Other cost.. 178.0 122.0 124.0 Total cost $(1,530.0) $(1.173.0) $ (994.0) Included in operating income (old rules) In March of 2017, the FASB updated the standards for reporting pension costs. Under the old standards, the components of pension cost, such as service cost the cost of benefits camed in the current year), interest cost (the increase in pension costs due to the passage of time), the expected retum on plan assets (the amount that managers anticipate they will ear on the plan's investments), and other costs were all reflected in operating income. Under the new rules (which are now in effect), service costs will be reported as an operating cost and all the other pension costs and any expected retums will be reported as norating items. What will be the change in operating income for GM? Should this change matter to investors 2018 $ 493.0 General Motors Company Pension Costs 2017 2016 Service cost Included in operating $ 514.0 $ 654.0 Income (new rules) Interest cost 2,514.0 2.618.0 2,739.0 Expected return on assets (4.715.0) (4,427.0) (4,511.0) Other cost. 178.0 122.0 124.0 Total cost Included in operating $(1,530.0) $(1.173.0) $ (994.0) income (old rules) In March of 2017, the FASB updated the standards for reporting pension costs. Under the old standards, the components of pension cost, such as service cost (the cost of benefits eamed in the current year), interest cost (the increase in pension costs due to the passage of time), the expected return on plan assets (the amount that managers anticipate they will cam on the plan's investments), and other costs were all reflected in operating income. Under the new rules (which are now in effect), service costs will be reported as an operating cost and all the other pension costs and any expected retums will be reported as non-operating items. What will be the change in operating income for GM? Should this change matter to investors? Q10.3 2018 Financial Reporting for Pensions. General Motors Company Pension Costs 2017 2016 Service cost $ 493.0 Included in operating $ 514.0 $ 654.0 income (new rules) Interest cost 2,514.0 2,618.0 2.739.0 Expected return on assets (4.715.0) (4.427.0) (4,511.0) Other cost.. 178.0 122.0 124.0 Total cost $(1,530.0) $(1.173.0) $ (994.0) Included in operating income (old rules) In March of 2017, the FASB updated the standards for reporting pension costs. Under the old standards, the components of pension cost, such as service cost the cost of benefits camed in the current year), interest cost (the increase in pension costs due to the passage of time), the expected retum on plan assets (the amount that managers anticipate they will ear on the plan's investments), and other costs were all reflected in operating income. Under the new rules (which are now in effect), service costs will be reported as an operating cost and all the other pension costs and any expected retums will be reported as norating items. What will be the change in operating income for GM? Should this change matter to investors 2018 $ 493.0 General Motors Company Pension Costs 2017 2016 Service cost Included in operating $ 514.0 $ 654.0 Income (new rules) Interest cost 2,514.0 2.618.0 2,739.0 Expected return on assets (4.715.0) (4,427.0) (4,511.0) Other cost. 178.0 122.0 124.0 Total cost Included in operating $(1,530.0) $(1.173.0) $ (994.0) income (old rules) In March of 2017, the FASB updated the standards for reporting pension costs. Under the old standards, the components of pension cost, such as service cost (the cost of benefits eamed in the current year), interest cost (the increase in pension costs due to the passage of time), the expected return on plan assets (the amount that managers anticipate they will cam on the plan's investments), and other costs were all reflected in operating income. Under the new rules (which are now in effect), service costs will be reported as an operating cost and all the other pension costs and any expected retums will be reported as non-operating items. What will be the change in operating income for GM? Should this change matter to investors