| Pension And Postretirement Benefits | NOTE 1 2 . PENSION AND POSTRETIREMENT BENEFITS Pension Benefits and Postretirement Benefits Substantially all of our U.S. employees are covered by one of our noncontributory pension plans. The majority of our newly hired employees , longer-service management and some nonmanagement employees participate in cash balance pension programs that include annual or monthly credits based on salary as well as an interest credit. Other longer-service management employees participate in pension programs that have a traditional pension formula (i.e., a stated percentage of employees' adjusted career income). Other l onger-service nonmanagement employees' pension benefits are generally calculated using one of two formulas: a flat dollar amount applied to years of service according to job classification or a cash balance plan with n egotiated annual pension band credits as well as interest credits. Most nonmanagement employees can elect to receive their pension benefits in either a lump sum payment or an annuity. Effective January 1, 2015, the pension plan was amended so that new management hires are no longer eligible for the plan. We also provide a variety of medical, dental and life insurance benefits to certain retired employees under various plans and accrue actuarially determined postretirement benefit costs as active employees earn these benefits . We acquired DIRECTV on July 24, 2015. DIRECTV sponsors a noncontributory defined benefit pension plan, which provides benefits to most employees based on either years of service and final average salary, or eligible compensation while employed by DIRECTV. DIRECTV also maintains (1) a postretirement benefit plan for those retirees eligible to participate in health care and life insurance benefits generally until they reach age 65 and (2) an unfunded nonqualified pension plan for certain eligible employees. We have recorded the fair value of the DIRECTV plans using assumptions and accounting policies consistent with those disclosed by AT&T. Upon acquisition, the excess of projected benefit obligation over the plan assets was recognized as a liability and previously existing deferred actuarial gains and losses and unrecognized service costs or benefits were eliminated. In December 2014, we announced an opportunity for certain management employees who are retirement eligible as of March 31, 2015 to elect an enhanced, full lump sum payment option of their accrued pension if they retire on or before March 31, 2015. T he lump sum value totaled approximately $1,200 which was distributed in 2015. We recorded special termination benefits of $1 49 as a result of the offer. In October 2013, we offered a n o pportunity for certain retirement-eligible employees to elect a full lump sum payment of their accrued pension if they retire d as of December 30, 2013. The lump sum value was calculated using the August 2012 discount rates for some pension programs and was equal to the cash balance amount for the management new hire pension program. The lump sum value totaled approximately $2, 700 , which was distributed in 2014. We recorded special termination benefits of $ 15 in 2014 and $250 in 2013 as a result of this offer . In October 201 3 , as part of our 2014 annual benefits enrollment process, we also communicated an amendment to our Medicare-eligible retirees that , beginning in 2015 , AT&T w ould provide access to retiree health insurance coverage that supplements government-sponsored Medicare through a private insurance marketplace. The plan was further amended in 2014 to include access to dental benefits through the private insurance marketplace. This new approach allow ed retirees to choose insurance with the terms, cost and coverage that best fit their needs, while still receiving financial support as determined by AT&T. Future changes in support, if any, will be based on a number of factors such as business conditions, government actions, marketplace changes and the general consumer inflation rate . In the fourth quarter of 2014, we changed the method we use to estimate the service and interest components of net periodic benefit cost for pension (as of October 1, 2014) and other postretirement benefits (as of December 31, 2014). This change did not affect the measurement of our total benefit obligations or our annual net periodic benefit cost as the change in service and interest costs was completely offset in the actuarial (gain) loss reported. This change compared to the previous method resulted in a decrease of $150 in the service and interest components for pension cost in the fourth quarter of 2014. For the year ended December 3 1, 2015, the change resulted in an incremental decrease of $740 in service and interest components for pension and postretirement costs. Prior to the fourth quarter of 2014, we estimated these service and interest cost components utilizing a single weighted-average discount rate derived from the yield curve used to measure the benefit obligation at the beginning of the period. We have elected to utilize a full yield curve approach in the estimation of these components by applying the specific spot rates along the yield curve used in the determination of the benefit obligation to the relevant projected cash flows. We have made this change to provide a more precise measurement of service and interest costs by improving the correlation between projected benefit cash flows to the corresponding spot yield curve rates. We have accounted for this change as a change in accounting estimate that is inseparable from a change in accounting principle and accordingly have accounted for it prospectively. Obligations and Funded Status For defined benefit pension plans, the benefit obligation is the “projected benefit obligation,” the actuarial present value, as of our December 31 measurement date, of all benefits attributed by the pension benefit formula to employee service rendered to that date . The amount of benefit to be paid depends on a number of future events incorporated into the pension benefit formula, including estimates of the average life of employees/survivors and average years of service rendered . It is measured based on assumptions concerning future interest rates and future employee compensation levels . For postretirement benefit plans, the benefit obligation is the “accumulated postretirement benefit obligation,” the actuarial present value as of a date of all future benefits attributed under the terms of the postretirement benefit plan to employee service rendered to the valuation date . The following table presents this reconciliation and shows the change in the projected benefit obligation for the years ended December 31 : Pension Benefits Postretirement Benefits 2015 2014 2015 2014 Benefit obligation at beginning of year $ 59,543 $ 56,560 $ 30,709 $ 30,285 Service cost - benefits earned during the period 1,212 1,134 222 233 Interest cost on projected benefit obligation 1,902 2,470 967 1,458 Amendments (8) (73) (74) (617) Actuarial (gain) loss (3,079) 6,269 (1,988) 1,822 Special termination benefits 149 17 - - Benefits paid (4,681) (6,543) (1,958) (2,298) DIRECTV acquisition 470 - 20 - Transfer for sale of Connecticut wireline operations (42) (293) - (174) Plan transfers (2) 2 - - Benefit obligation at end of year $ 55,464 $ 59,543 $ 27,898 $ 30,709 The following table presents the change in the value of plan assets for the years ended December 31 and the plans' funded status at December 31 : Pension Benefits Postretirement Benefits 2015 2014 2015 2014 Fair value of plan assets at beginning of year $ 45,163 $ 47,238 $ 7,846 $ 8,960 Actual return on plan assets 604 4,213 64 384 Benefits paid 1 (4,681) (6,543) (1,239) (1,498) Contributions 735 562 - - DIRECTV acquisition 418 - - - Transfer for sale of Connecticut wireline operations (42) (308) - - Plan transfers and other (2) 1 - - Fair value of plan assets at end of year 3 42,195 45,163 6,671 7,846 Unfunded status at end of year 2 $ (13,269) $ (14,380) $ (21,227) $ (22,863) 1 At our discretion, certain postretirement benefits may be paid from AT&T cash accounts, which does not reduce Voluntary Employee Benefit Association (VEBA) assets. Future benefit payments may be made from VEBA trusts and thus reduce those asset balances. 2 Funded status is not indicative of our ability to pay ongoing pension benefits or of our obligation to fund retirement trusts. Required pension funding is determined in accordance with the Employee Retirement Income Security Act of 1974, as amended (ERISA) regulations. 3 Net assets available for benefits were $50,909 at December 31, 2015 and $54,184 at December 31, 2014 and include the preferred equity interest in AT&T Mobility II LLC discussed below, which was valued at $8,714 and $9,021, respectively. In July 2014, the U.S. Department of Labor published in the Federal Register their final retroactive approval of our September 9, 2013 voluntary contribution of a preferred equity interest in AT&T Mobility II LLC, the primary holding company for our wireless business, to the trust used to pay pension benefits under our qualified pension plans. The preferred equity interest had a value of $9,104 on the contribution date and was valued at $ 8,714 at December 31, 201 5 . The trust is entitled to receive cumulative cash distributions of $560 per annum, which will be distributed quarterly in equal amounts and will be accounted for as contributions. We distributed $560 to the trust during 201 5 . So long as we make the distributions, we will have no limitations on our ability to declare a dividend, or repurchase shares. This preferred equity interest is a plan asset under ERISA and is recognized as such in the plan's separate financial statements. However, because the preferred equity interest is not unconditionally transferable to an unrelated party (see Note 14) , it is not reflected in plan assets in our consolidated financial statements and instead has been eliminated in consolidation . At the time of the contribution of the preferred equity interest, we made an additional cash contribution of $175 and have agreed to annual cash contributions of $175 no later than the due date for our federal income tax return for each of 2014, 2015 and 2016. We made such a contribution of $175 in 2015. These contributions combined with our existing pension assets are in excess of 90% of the p ension obligation at December 31, 201 5 . As noted above, t his preferred equity interest represents a plan asset of our pension trust, which is recognized in the separate financial statements of our pension plan as a qualified plan asset for funding purposes. The following table presents a reconciliation of our pension plan assets recognized in the consolidated financial statements of the Company with the net assets available for benefits included in the separate financial statements of the pension plan at December 31: 2015 2014 Plan assets recognized in the consolidated financial statements $ 42,195 $ 45,163 Preferred equity interest in Mobility 8,714 9,021 Net assets available for benefits $ 50,909 $ 54,184 Amounts recognized on our consolidated balance sheets at December 31 are listed below: Pension Benefits Postretirement Benefits 2015 2014 2015 2014 Current portion of employee benefit obligation 1 $ - $ - $ (1,766) $ (1,842) Employee benefit obligation 2 (13,269) (14,380) (19,461) (21,021) Net amount recognized $ (13,269) $ (14,380) $ (21,227) $ (22,863) 1 Included in "Accounts payable and accrued liabilities." 2 Included in "Postemployment benefit obligation." The accumulated benefit obligation for our pension plans represents the actuarial present value of benefits based on employee service and compensation as of a certain date and does not include an assumption about future compensation levels. The accumulated benefit obligation for our pension plans was $ 54,007 at December 31, 2015 , and $ 57,949 at December 31, 2014 . Net Periodic Benefit Cost and Other Amounts Recognized in Other Comprehensive Income Period ic Benefit Costs Our combined net pension and postretirement (credit) cost recognized in our consolidated statements of income was $ (2,821) , $ 7,232 and $ (7,390) for the years ended December 31, 2015 , 2014 and 2013 . A portion of pension and postretirement benefit costs is capitalized as part of the benefit load on internal construction and capital expenditures, providing a small reductio n in the net expense recorded. The following table presents the components of net periodic benefit cost: Pension Benefits Postretirement Benefits 2015 2014 2013 2015 2014 2013 Service cost – benefits earned
during the period $ 1,212 $ 1,134 $ 1,321 $ 222 $ 233 $ 352 Interest cost on projected benefit
obligation 1,902 2,470 2,429 967 1,458 1,532 Expected return on assets (3,317) (3,380) (3,312) (421) (653) (706) Amortization of prior service credit (103) (94) (94) (1,278) (1,448) (1,161) Actuarial (gain) loss (373) 5,419 (5,013) (1,632) 2,093 (2,738) Net pension and postretirement (credit) cost $ (679) $ 5,549 $ (4,669) $ (2,142) $ 1,683 $ (2,721) Other Changes in Benefit Obligations Recognized in Other Comprehensive Income The following table presents the after-tax changes in benefit obligations recognized in OCI and the after-tax prior service credits that were amortized from OCI into net periodic benefit costs: Pension Benefits Postretirement Benefits 2015 2014 2013 2015 2014 2013 Balance at beginning of year $ 575 $ 583 $ 641 $ 6,257 $ 6,812 $ 4,766 Prior service (cost) credit 1 45 - 45 383 2,765 Amortization of prior service credit (64) (58) (58) (792) (898) (719) Reclassification to income of prior service credit - 5 - - (40) - Total recognized in other
comprehensive (income) loss (63) (8) (58) (747) (555) 2,046 Balance at end of year $ 512 $ 575 $ 583 $ 5,510 $ 6,257 $ 6,812 The estimated prior service credits that will be amortized from accumulated OCI into net periodic benefit cost over the next fiscal year are $ 103 ($ 64 net of tax) for pension and $ 1,277 ($ 792 net of tax) for postretirement benefits. Assumptions In determining the projected benefit obligation and the net pension and post retirement benefit cost, we used the following significant weighted-average assumptions: Pension Benefits Postretirement Benefits 2015 2014 2013 2015 2014 2013 Weighted-average discount rate for determining projected benefit obligation at December 31 4.60 % 4.30 % 5.00 % 4.50 % 4.20 % 5.00 % Discount rate in effect for determining service cost 4.60 % 5.00 % 4.30 % 4.60 % 5.00 % 4.30 % Discount rate in effect for determining interest cost 1 3.30 % 4.60 % 4.30 % 3.30 % 5.00 % 4.30 % Long-term rate of return on plan assets 7.75 % 7.75 % 7.75 % 5.75 % 7.75 % 7.75 % Composite rate of compensation increase for determining projected benefit obligation 3.10 % 3.00 % 3.00 % 3.10 % 3.00 % 3.00 % Composite rate of compensation increase for determining net pension cost (benefit) 3.00 % 3.00 % 3.00 % 3.00 % 3.00 % 3.00 % 1 Weighted-average discount rate of 5.00% in effect for pension costs from January 1, 2014 through September 30, 2014. Discount rates in effect of 4.90% for service cost and 3.50% for interest cost from October 1, 2014 through December 31, 2014. A discount rate of 5.00% was used for postretirement costs for the year ended December 31, 2014. We recognize gains and losses on pension and postretirement plan assets and obligations immediately in our operating results. These gains and losses are measured annually as of December 31 and accordingly will be recorded during the fourth quarter , unless earlier remeasurements are required . Discount Rate Our assumed weighted-average discount rate for pension and postretirement benefits of 4. 60 % and 4. 50 % respectively, at December 31, 2015 , reflects the hypothetical rate at which the projected benefit obligation could be effectively settled or paid out to participants. We determined our discount rate based on a range of factors, including a yield curve composed of the rates of return on several hundred high-quality, fixed income corporate bonds available at the measurement date and corresponding to the related expected duration s of future cash outflows . These bonds were all rated at least Aa3 or AA- by one of the nationally recognized statistical rating organizations, denominated in U.S. dollars, and neither callable, convertible nor index linked. F or the year ended December 31, 2015 , when compared to the year ended December 31, 2014 , we in creased our pension discount rate by 0. 3 0 %, resulting in a de crease in our pension plan benefit obligation of $ 1,977 and in creased our postretirement discount rate 0. 3 0%, resulting in a de crease in our postretirement benefit obligation of $ 854 . For the year ended December 31, 2014 , we de creased our pension discount rate by 0.70%, resulting in an increase in our pension plan benefit obligation of $4,854 and decreased our postretirement discount rate s by 0.80%, resulting in an in crease in our postretirement benefit obligation of $ 2,786. We utilize a full yield curve approach in the estimation of the service and interest components of net periodic benefit costs for pension and other postretirement benefits. Under this approach, we apply discounting using individual spot rates from a yield curve composed of the rates of return on several hundred high-quality, fixed income corporate bonds available at the measurement date. These spot rates align to each of the projected benefit obligations and service cost cash flows. The service cost component relates to the active participants in the plan, so the relevant cash flows on which to apply the yield curve are considerably longer in duration on average than the total projected benefit obligation cash flows, which also include benefit payments to retirees. Interest cost is computed by multiplying each spot rate by the corresponding discounted projected benefit obligation cash flows. The full yield curve approach reduces any actuarial gains and losses based upon interest rate expectations (e.g., built-in gains in interest cost in an upward sloping yield curve scenario), or gains and losses merely resulting from the timing and magnitude of cash outflows associated with our benefit obligations. Neither the annual measurement of our total benefit obligations nor annual net benefit cost is affected by the full yield curve approach. For our pension benefits, the single effective interest rate used for periodic service and interest costs during 2015 are 4.60% and 3.30%, respectively. For our postretirement benefits, the single effective interest rate used for periodic service and interest costs during 2015 are 4.60% and 3.30%. Expected Long-Term Rate of Return Our expected long-term rate of return on pension plan assets is 7.75 % for 201 6 and 201 5 . Our expected long-term rate of return on postretirement plan assets is 5.75% for 201 6 and 2015. Our long-term rates of return reflect the average rate of earnings expected on the funds invested, or to be invested, to provide for the benefits included in the projected benefit obligations. In setting the long-term assumed rate of return, management considers capital markets future expectations and the asset mix of the plans' investments. Actual long-term return can, in relatively stable markets, also serve as a factor in determining future expectations. We consider many factors that include, but are not limited to, historical returns on plan assets, current market information on long-term returns (e.g., long-term bond rates) and current and target asset allocations between asset categories. The target asset allocation is determined based on consultations with external investment advisers. If all other factors were to remain unchanged, we expect that a 0.50 % decrease in the expected long-term rate of return would cause 2016 combined pension and postretirement cost to increase $ 232 . However, any differences in the rate and actual returns will be included with the actuarial gain or loss recorded in the fourth quarter when our plans are remeasured . Composite Rate of Compensation Increase Our expected composite rate of compensation increase cost of 3.10 % in 201 5 and 3.00 % in 201 4 reflects the long-term average rate of salary increases. Mortality Tables At December 31, 201 5 we updated our assumed mortality rates to reflect our best estimate of future mortality, which decreased our pension obligation by $859 and decreased our postretirement obligations by $274. At December 31, 201 4 we updated our assumed mortality rates, which increased our pension obligation by $ 1,442 and increased our postretirement obligations by $53 . Healthcare Cost Trend Our healthcare cost trend assumptions are developed based on historical cost data, the near-term outlook and an assessment of likely long-term trends. Due to historical experience, updated expectations of healthcare industry inflation and recent prescription drug cost experience, our 2016 assumed annual healthcare prescription drug cost trend for non-Medicare eligible participants will increase to 6.25%, trending to our ultimate trend rate of 4.50% in 2023 and for Medicare-eligible participants will remain at an assumed annual and ultimate trend rate of 4.50%. This change in assumption increased our obligation by $23. In 2015 our assumed annual healthcare prescription drug cost trend rate for non-Medicare eligible participants was 6.00%, trending to our ultimate trend rate of 4.50% in 2021. Medicare-eligible retirees who receive access to retiree health insurance coverage through a private insurance marketplace are not subject to assumed healthcare trend . In addition to the healthcare cost trend in 20 1 5 , we assume d an annual 2.50 % growth in administrative expenses and an annual 3.00 % growth in dental claims. A one percentage-point change in the assumed combined medical and dental cost trend rate would have the following effects: One Percentage- One Percentage- Point Increase Point Decrease Increase (decrease) in total of service and interest cost components $ 58 $ (51) Increase (decrease) in accumulated postretirement benefit obligation 660 (590) Plan Assets Plan assets consist primarily of private and public equity, government and corporate bonds, and real assets (real estate and natural resources). The asset allocations of the pension plans are maintained to meet ERISA requirements. Any plan contributions, as determined by ERISA regulations, are made to a pension trust for the benefit of plan participants. As part of our voluntary contribution of the Mobility preferred equity interest, we will contribute $ 735 of cash distributions during 201 6 . We do not have additional significant required contribution s to our pension plans for 201 6 . We maintain VEBA trusts to partially fund postretirement benefits; however, there are no ERISA or regulatory requirements that these postretirement benefit plans be funded annually. The principal investment objectives are to ensure the availability of funds to pay pension and postretirement benefits as they become due under a broad range of future economic scenarios, to maximize long-term investment return with an acceptable level of risk based on our pension and postretirement obligations, and to be broadly diversified across and within the capital markets to insulate asset values against adverse experience in any one market. Each asset class has broadly diversified characteristics. Substantial biases toward any particular investing style or type of security are sought to be avoided by managing the aggregation of all accounts with portfolio benchmarks. Asset and benefit obligation forecasting studies are conducted periodically, generally every two to three years, or when significant changes have occurred in market conditions, benefits, participant demographics or funded status. Decisions regarding investment policy are made with an understanding of the effect of asset allocation on funded status, future contributions and projected expenses. The current asset allocation policy and risk level for the pension plan and VEBA assets is based on stud ies completed and approved during 2013 and 20 1 5 , respectively, and is reflected in the table below . The plans' weighted-average asset targets and actual allocations as a percentage of plan assets, including the notional exposure of future contracts by asset categories at December 31, are as follows: Pension Assets Postretirement (VEBA) Assets Target 2015 2014 Target 2015 2014 Equity securities: Domestic 20 % - 30 % 22 % 23 % 21 % - 31 % 26 % 29 % International 10 % - 20 % 15 14 9 % - 19 % 14 20 Fixed income securities 35 % - 45 % 40 38 29 % - 39 % 34 29 Real assets 6 % - 16 % 10 11 0 % - 6 % 1 1 Private equity 4 % - 14 % 12 12 0 % - 7 % 2 3 Other 0 % - 5 % 1 2 17 % - 27 % 23 18 Total 100 % 100 % 100 % 100 % At December 31, 2015 , AT&T securities represented less than 0.5 % of assets held by our pension plans and 6% of assets (primarily common stock) held by our VEBA trusts included in these financial statements . Investment Valuation Investments are stated at fair value. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. See “Fair Value Measurements” for further discussion. Investments in securities traded on a national securities exchange are valued at the last reported sales price on the last business day of the year. If no sale was reported on that date, they are valued at the last reported bid price. Investments in securities not traded on a national securities exchange are valued using pricing models, quoted prices of securities with similar characteristics or discounted cash flows. Shares of registered investment companies are valued based on quoted market prices, which represent the net asset value of shares held at year-end. Over-the-counter (OTC) securities are valued at the bid price or the average of the bid and asked price on the last business day of the year from published sources where available and, if not available, from other sources considered reliable. Depending on the types and contractual terms of OTC derivatives, fair value is measured using valuation techniques, such as the Black-Scholes option pricing model, simulation models or a combination of various models. Common/collective trust funds, pooled separate accounts and other commingled (103-12) investment entities are valued at quoted redemption values that represent the net asset values of units held at year-end which management has determined approximates fair value. Alternative investments, including investments in private equity, real estate, natural resources (included in real assets), mezzanine and distressed debt (included in partnerships/joint ventures), limited partnership interest s , certain fixed income securities and hedge funds do not have readily available market values. These estimated fair values may differ significantly from the values that would have been used had a ready market for these investments existed, and such differences could be material. Alternative investments not having an established market are valued at fair value as determined by the investment managers. Private equity, mezzanine and distressed investments are often valued initially by the investment managers based upon cost. Thereafter, investment managers may use available market data to determine adjustments to carrying value based upon observations of the trading multiples of public companies considered comparable to the private companies being valued. Such market data used to determine adjustments to accounts for cash flows and company-specified issues include current operating performance and future expectations of the investments, changes in market outlook, and the third-party financing environment. Private equity partnership holdings may also include publicly held equity investments in liquid markets that are marked-to-market at quoted public values, subject to adjustments for large positions held. Real estate and natural resource direct investments are valued either at amounts based upon appraisal reports prepared by independent third-party appraisers or at amounts as determined by internal appraisals performed by the investment manager, which are reasonable as determined by the review of an external valuation consultant. Fixed income securities valuation is based upon pricing provided by an external pricing service when such pricing is available. In the event a security is too thinly traded or narrowly held to be priced by such a pricing service, or the price furnished by such external pricing services is deemed inaccurate, the managers will then solicit broker/dealer quotes (spreads or prices). In cases where such quotes are available, fair value will be determined based solely upon such quotes provided. Managers will typically use a pricing matrix for determining fair value in cases where an approved pricing service or a broker/dealer is unable to provide a fair valuation for specific fixed-rate securities such as many private placements. New fixed-rate securities will be initially valued at cost at the time of purchase. Thereafter, each bond will be assigned a spread from a pricing matrix that will be added to current Treasury rates. The pricing matrix derives spreads for each bond based on external market data, including the current credit rating for the bonds, credit spreads to Treasuries for each credit rating, sector add-ons or credits, issue - specific add-ons or credits as well as call or other options. Purchases and sales of securities are recorded as of the trade date. Realized gains and losses on sales of securities are determined on the basis of average cost. Interest income is recognized on the accrual basis. Dividend income is recognized on the ex-dividend date. Non-interest bearing cash and overdrafts are valued at cost, which approximates fair value. Fair Value Measurements See Note 10 for a discussion of fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The following table s set forth by level, within the fair value hierarchy, the pension and postretirement assets and liabilities at fair value as of December 31, 2015 : Pension Assets and Liabilities at Fair Value as of December 31, 2015 Level 1 Level 2 Level 3 Total Non-interest bearing cash $ 160 $ - $ - $ 160 Interest bearing cash - 25 - 25 Foreign currency contracts - 25 - 25 Equity securities: Domestic equities 8,315 4 - 8,319 International equities 4,287 - - 4,287 Fixed income securities: Asset-backed securities - 403 1 404 Mortgage-backed securities - 792 - 792 Collateralized mortgage-backed securities - 278 - 278 Collateralized mortgage obligations/REMICS - 345 - 345 Corporate and other fixed income instruments and funds 65 8,274 373 8,712 Government and municipal bonds 75 4,495 - 4,570 Private equity funds - - 4,926 4,926 Real estate and real assets - - 4,357 4,357 Commingled funds - 5,522 2 5,524 Securities lending collateral 512 3,538 - 4,050 Receivable for variation margin 13 - - 13 Assets at fair value 13,427 23,701 9,659 46,787 Investments sold short and other liabilities at fair value (824) (12) - (836) Total plan net assets at fair value $ 12,603 $ 23,689 $ 9,659 $ 45,951 Other assets (liabilities) 1 (3,756) Total Plan Net Assets $ 42,195 1 Other assets (liabilities) include amounts receivable, accounts payable and net adjustment for securities lending payable. Postretirement Assets and Liabilities at Fair Value as of December 31, 2015 Level 1 Level 2 Level 3 Total Non-interest bearing cash $ 2 $ - $ - $ 2 Interest bearing cash 220 1,292 - 1,512 Foreign currencies 4 - - 4 Equity securities: Domestic equities 1,187 - - 1,187 International equities 869 - - 869 Fixed income securities: Asset-backed securities - 35 2 37 Collateralized mortgage-backed securities - 120 13 133 Collateralized mortgage obligations - 45 - 45 Corporate and other fixed income instruments and funds - 389 - 389 Government and municipal bonds - 617 - 617 Commingled funds - 1,681 1 1,682 Private equity assets - - 155 155 Real assets - - 81 81 Securities lending collateral 6 189 - 195 Futures Contracts 1 - - 1 Total plan net assets at fair value $ 2,289 $ 4,368 $ 252 $ 6,909 Other assets (liabilities) 1 (238) Total Plan Net Assets $ 6,671 1 Other assets (liabilities) include amounts receivable, accounts payable and net adjustment for securities lending payable. The table s below set forth a summary of changes in the fair value of the Level 3 pension and postretirement assets for the year ended December 31, 2015 : Pensio |
