Company: CL
Filing Date: 2025-02-13
Form Type: 10-K
Source: 0000021665-25-000008
Chunk: 41

Company: COLGATE PALMOLIVE CO
Filing Date: 2025-02-13
Form: 10-K
Item: Item 16
Chunk 41
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 gains recorded during 2024 for both the U.S. pension and Other retiree benefit plans were primarily a result of an increase in discount rates applied against future estimated benefit payments that resulted in a decrease in the benefit obligation for both the U.S. pension and Other retiree benefit plans. The actuarial losses recorded during 2023 for both the U.S. pension and Other retiree benefit plans were primarily a result of a decrease in discount rates applied against future estimated benefit payments that resulted in an increase in the benefit obligation for both the U.S. pension and Other retiree benefit plans.The overall investment objective of the plans is to balance risk and return so that obligations to employees are met. The Company evaluates its expected long-term rate of return on plan assets on an annual basis. In determining the expected long-term rate of return, the Company considers the nature of the plans’ investments and the historical rates of return. The assumed expected long-term rate of return on plan assets for U.S. pension plans was 6.50% as of December 31, 2024 and  December 31, 2023. Average annual rates of return on plan assets for the U.S. pension plans for the most recent 1-year, 5-year, 10-year, 15-year and 25-year periods were 5%, 2%, 4%, 6% and 5%, respectively. Similar assessments were performed in determining rates of return on international pension plan assets to arrive at the Company’s 2024 weighted-average expected long-term rate of return on plan assets of 5.69%.The medical cost trend rate of increase assumed in measuring the expected cost of benefits is projected to decrease from 7.00% in 2025 to 5.00% by 2030, remaining at 4.50% for the years thereafter. Pension plans with projected benefit obligations in excess of plan assets and plans with accumulated benefit obligations in excess of plan assets as of December 31 consisted of the following:  20242023Benefit Obligation Exceeds Fair Value of Plan Assets  Projected benefit obligation$2,251 $2,352 Fair value of plan assets1,486 1,532 Accumulated benefit obligation2,075 2,204 Fair value of plan assets1,345 1,428 Other Retiree Benefit plans with accumulated postretirement benefit obligation in excess of plan assets as of December 31 consisted of the following:  202