ADT 2002 Annual Report Download - page 115

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TYCO INTERNATIONAL LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)
21. Retirement Plans (continued)
U.S. Plans Non-U.S. Plans
2002 2001 2002 2001
(restated)
Change in plan assets
Fair value of plan assets at beginning of year ............ $1,452.3 $1,304.2 $1,111.4 $1,253.1
Actual return on plan assets ........................ (56.0) (316.6) (114.4) (203.5)
Employer contributions ........................... 19.5 43.4 86.8 88.7
Employee contributions ........................... — — 9.9 9.5
Acquisitions .................................... — 652.3 2.4 59.9
Plan settlements ................................. (6.2) (130.1) (20.0) (43.2)
Benefits paid ................................... (144.5) (95.9) (71.3) (41.0)
Administrative expenses paid ....................... (11.4) (5.0) (3.5) (2.5)
Currency translation adjustment ..................... — — 38.5 (9.6)
Fair value of plan assets at end of year ................ $1,253.7 $1,452.3 $1,039.8 $1,111.4
Funded status .................................. $(794.4) $ (380.2) $ (898.5) $ (460.5)
Unrecognized net actuarial loss ...................... 650.5 306.3 737.3 318.3
Unrecognized prior service cost ..................... 30.2 6.4 5.8 6.1
Unrecognized transition asset ....................... (2.0) (3.0) (4.8) (4.3)
Net amount recognized ........................... $(115.7) $ (70.5) $ (160.2) $ (140.4)
The net pension amounts recognized on the Consolidated Balance Sheet at September 30, 2002
and 2001 for all U.S. and non-U.S. defined benefit plans is as follows ($ in millions).
U.S. Plans Non-U.S. Plans
2002 2001 2002 2001
(restated)
Amounts recognized on the Consolidated Balance Sheets
Prepaid benefit cost ................................ $ 5.1 $ 5.2 $148.2 $ 93.4
Accrued benefit liability ............................. (753.1) (354.0) (746.4) (399.5)
Intangible asset ................................... 19.6 6.5 6.2 5.4
Accumulated other comprehensive income ................ 612.7 271.8 431.8 160.3
Net amount recognized ............................. $(115.7) $ (70.5) $(160.2) $(140.4)
Weighted-average assumptions
Discount rate ..................................... 6.75% 7.50% 5.09% 5.71%
Expected return on plan assets ........................ 8.74% 10.00% 7.37% 7.80%
Rate of compensation increase ........................ 4.27% 4.60% 3.49% 3.74%
The projected benefit obligation, accumulated benefit obligation, and fair value of plan assets for
U.S. pension plans with accumulated benefit obligations in excess of plan assets were $2,038.0 million,
$1,980.9 million and $1,242.5 million, respectively, at September 30, 2002 and $1,811.6 million,
$1,781.4 million and $1,430.2 million, respectively, at September 30, 2001.
The projected benefit obligation, accumulated benefit obligation, and fair value of plan assets for
non-U.S. pension plans with accumulated benefit obligations in excess of plan assets were
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