AIG 2011 Annual Report Download - page 361

American International Group, Inc.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
At December 31, 2011, the funded status for the Non-U.S. pension plans was reduced by $614 million from
December 31, 2010 primarily due to the divestitures of AIG Star, AIG Edison and Nan Shan, which are included
in Dispositions in the table above.
The following table presents the accumulated benefit obligations for non-U.S. and U.S. pension benefit plans:
At December 31,
(in millions) 2011 2010
Non-U.S. pension benefit plans $ 895 $ 1,720
U.S. pension benefit plans $ 4,291 $ 3,388
Defined benefit pension plan obligations in which the projected benefit obligation was in excess of the related
plan assets and the accumulated benefit obligation was in excess of the related plan assets were as follows:
PBO Exceeds Fair Value of Plan Assets ABO Exceeds Fair Value of Plan Assets
Non-U.S. Plans U.S. Plans Non-U.S. Plans U.S. Plans
At December 31,
(in millions) 2011 2010 2011 2010 2011 2010 2011 2010
Projected benefit obligation $ 956 $ 1,716 $ 4,438 $ 3,878 $ 916 $ 1,594 $ 4,438 $ 219
Accumulated benefit obligation 895 1,720 4,291 3,388 864 1,496 4,291 167
Fair value of plan assets 422 646 3,432 3,425 388 612 3,432 -
The following table presents the components of net periodic benefit cost recognized in income and other amounts
recognized in Accumulated other comprehensive income (loss) with respect to the defined benefit pension plans
and other postretirement benefit plans:
Pension Postretirement
Non-U.S. Plans U.S. Plans Non-U.S. Plans U.S. Plans
(in millions) 2011 2010 2009 2011 2010 2009 2011 2010 2009 2011 2010 2009
Components of net periodic
benefit cost:
Service cost $66$ 137 $ 121 $ 150 $ 150 $ 155 $4$8$11$8$8$8
Interest cost 37 59 60 207 216 219 24413 15 16
Expected return on assets (25) (31) (31) (250) (259) (226) ------
Amortization of prior
service (credit) cost (4) (9) (13) (7) 1----(2) --
Amortization of net (gain)
loss 15 45 41 65 57 88 --1 -(1) 1
Net curtailment (gain) loss -(1) (2) -1(4)----(2) 1
Net settlement (gain) loss 8311 -58 14 ----(6) (8)
Other -21 ---------
Net periodic benefit cost $97$ 205 $ 188 $ 165 $ 224 $ 246 $6$12$16$19$14$18
Total recognized in
Accumulated other
comprehensive income
(loss) $ 261 $ 167 $ (134) $ (396) $ 85 $ 492 $(6)$16$11$56$(3)$10
Total recognized in net
periodic benefit cost and
other comprehensive
income (loss) $ 164 $ (38) $ (322) $ (561) $ (139) $ 246 $ (12) $4$(5)$37$ (17) $ (8)
AIG 2011 Form 10-K 347