ADT 2009 Annual Report Download - page 234

TYCO INTERNATIONAL LTD.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
16. Retirement Plans (Continued)
The net periodic benefit cost for all U.S. and non-U.S. defined benefit pension plans for 2009,
2008 and 2007 is as follows ($ in millions):
U.S. Plans Non-U.S. Plans
2009 2008 2007 2009 2008 2007
Service cost .................................... $ 9 $ 8 $ 9 $28 $45 $46
Interest cost .................................... 49 47 47 69 82 73
Expected return on plan assets ....................... (49) (58) (56) (61) (82) (74)
Amortization of initial net asset ......................————(1)(1)
Amortization of prior service cost (credit) ..............111(2)(3)(3)
Amortization of net actuarial loss .................... 9 5 12 15 19 30
Plan settlements, curtailments and special termination
benefits ......................................———(1)(2)2
Net periodic benefit cost ......................... $19 $ 3 $13 $48 $58 $73
Weighted-average assumptions used to determine net periodic
pension cost during the year:
Discount rate ................................... 7.6% 6.3% 6.0% 6.5% 5.6% 4.9%
Expected return on plan assets ....................... 8.0% 8.0% 8.0% 7.0% 7.1% 7.0%
Rate of compensation increase ....................... 4.0% 4.0% 4.0% 4.5% 4.4% 4.1%
The estimated net loss and prior service cost for U.S. pension benefit plans that will be amortized
from accumulated other comprehensive (loss) income into net periodic benefit cost over the next fiscal
year are expected to be $26 million and $1 million, respectively.
The estimated net loss and prior service credit for non-U.S. pension benefit plans that will be
amortized from accumulated other comprehensive (loss) income into net periodic benefit cost over the
next fiscal year are expected to be $29 million and $3 million, respectively.
142 2009 Financials