SEC Filings


10-K
CUMMINS INC filed this Form 10-K on 02/11/2019
Entire Document
 

Fair Value of U.S. Plan Assets
The fair values of U.S. pension plan assets by asset category were as follows:
 
 
Fair Value Measurements at December 31, 2018
In millions
 
Quoted prices in active
markets for identical assets
(Level 1)
 
Significant other
observable inputs
(Level 2)
 
Significant
unobservable inputs
(Level 3)
 
Total
Equities
 
 
 
 
 
 
 
 
U.S.
 
$
77

 
$

 
$

 
$
77

Non-U.S.
 
42

 

 

 
42

Fixed income
 
 
 
 
 
 
 

Government debt
 

 
38

 

 
38

Corporate debt
 
 
 
 
 
 
 

U.S.
 

 
323

 

 
323

Non-U.S.
 

 
15

 

 
15

Asset/mortgaged backed securities
 

 
5

 

 
5

Net cash equivalents(1)
 
175

 
17

 

 
192

Private equity and real estate(3)
 

 

 
316

 
316

Net plan assets subject to leveling
 
$
294

 
$
398

 
$
316

 
$
1,008

Pending trade/purchases/sales
 
 

 
 

 
 

 
9

Accruals(4)
 
 

 
 

 
 

 
5

Investments measured at net asset value
 
 
 
 
 
 
 
1,915

Net plan assets
 
 

 
 

 
 

 
$
2,937


 
 
Fair Value Measurements at December 31, 2017
In millions
 
Quoted prices in active
markets for identical assets
(Level 1)
 
Significant other
observable inputs
(Level 2)
 
Significant
unobservable inputs
(Level 3)
 
Total
Equities
 
 

 
 

 
 
 
 

U.S.
 
$
102

 
$

 
$

 
$
102

Non-U.S.
 
56

 

 

 
56

Fixed income
 
 
 
 
 
 
 


Government debt
 

 
691

 

 
691

Corporate debt
 
 
 
 
 
 
 


U.S.
 

 
590

 

 
590

Non-U.S.
 

 
73

 

 
73

Asset/mortgage backed securities
 

 
78

 

 
78

Net cash equivalents (1)
 
50

 
25

 

 
75

Derivative instruments (2)
 

 
3

 

 
3

Private equity and real estate (3)
 

 

 
246

 
246

Net plan assets subject to leveling
 
$
208

 
$
1,460

 
$
246

 
$
1,914

Pending trade/purchases/sales
 
 

 
 

 
 

 
(96
)
Accruals (4)
 
 

 
 

 
 

 
12

Investments measured at net asset value
 
 
 
 
 
 
 
1,336

Net plan assets
 
 

 
 

 
 

 
$
3,166

____________________________________________________
(1)
Cash equivalents include commercial paper, short-term government/agency, mortgage and credit instruments.
(2)
Derivative instruments include interest rate swaps and credit default swaps.
(3)
The instruments in private equity and real estate, for which quoted market prices are not available, are valued at their estimated fair value as determined by applicable investment managers or by audited financial statements of the funds.
(4)
Accruals include interest or dividends that were not settled at December 31.

96