Company: KEY-PI
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0000091576-25-000038
Chunk: 139

Company: KEYCORP /NEW/
Filing Date: 2025-02-21
Form: 10-K
Item: Item 8
Chunk 139
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The ABO for all of our pension plans was $845 million at December 31, 2024, and $922 million at December 31, 2023. As indicated in the table below, collectively our pension plans had an ABO in excess of plan assets as follows: December 31,20242023Dollars in millionsCash Balance Pension PlanOther Defined Benefit PlansCash Balance Pension PlanOther Defined Benefit PlansPBO$725 $121 $793 $128 ABO725 121 793 128 Fair value of plan assets805 — 827 — To determine the actuarial present value of benefit obligations, we assumed the following weighted-average rates.December 31,20242023Pension Plans:Discount rate5.33 %4.68 %Weighted-average interest crediting rate4.74 %4.09 %Postretirement Benefit Plan:Discount rate4.50 %4.50 %To determine net pension cost, we assumed the following weighted-average rates.Year ended December 31,202420232022Pension Plans:Discount rate4.68 %4.85 %2.43 %Expected return on plan assets4.50 %4.50 %2.75 %Postretirement Benefit Plan:Discount rate4.50 %4.50 %4.50 %Expected return on plan assets4.50 %4.50 %4.50 %We estimate that we will recognize $7 million in net pension cost for 2025 related to our pension plans. We estimate that a 25 basis point increase or decrease in the expected return on plan assets would change our net pension cost for 2025 by approximately $2.1 million. Pension cost also is affected by an assumed discount rate. We estimate that a 25 basis point change in the assumed discount rate would change net pension cost for 2025 by approximately $1 million.We expect to recognize a $2 million credit in net postretirement benefit cost for 2025 related to our postretirement benefit plan. The realized net investment income for the postretirement healthcare plan VEBA trust is subject to federal income taxes, which are reflected in the weighted-average expected return on plan assets shown above. Assumed healthcare cost trend rates do not have a material impact on net postretirement benefit cost or obligations since the postretirement plan has cost-sharing provisions and benefit limitationsPension Plan AssetsThe