Amtrak 2014 Annual Report Download - page 61

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National Railroad Passenger Corporation and Subsidiaries (Amtrak)
Notes to Consolidated Financial Statements (continued)
1509-1694994 53
12. Postretirement Employee Benefits (continued)
Prior to consideration of the impact of the changes to the Retirement Income Plan which
occurred subsequent to September 30, 2014 as described above, the estimated net loss for the
Retirement Income Plan that would have been amortized from accumulated other comprehensive
loss into net periodic benefit cost over the next year was $10.9 million.
Prior to consideration of the impact of the change in other postretirement plans which occurred
subsequent to September 30, 2014 as described above, the estimated net loss and prior service
cost for the other defined benefit postretirement plans that would have been amortized from
accumulated other comprehensive loss into net periodic benefit cost over the next year were
$34.8 million and a credit of $21.1 million, respectively.
Plan Assets
The Company’ s pension plan asset allocation at September 30, 2014 and 2013, and target
allocation for 2015, are as follows:
Plan Assets
2015 2014 2013
Domestic equity securities 18–38% 30.9% 29.8%
Global asset allocation funds 20–40 28.0 28.4
Fixed income securities 13–23 16.5 16.1
Common/collective trust 6–34 18.1 18.6
Real estate investment trust 0–10 5.3 5.0
Money market funds 0–5 1.2 2.1
The investment strategy for Retirement Income Plan assets is to invest the assets in a manner
whereby long-term return on the assets provide adequate funding for retiree pension payments.
The investment objectives of the pension fund are to: (1) promote the growth in the plan’ s
funded status, to the extent appropriate, minimizing reliance on employer contributions as a
source of benefit security, (2) invest the assets of the plan to achieve the greatest reward
consistent with a reasonable and prudent level of risk, and (3) achieve, as a minimum over time,
the passively managed asset return earned by market index funds, weighted in the proportions
outlined by the asset class exposures identified in the plan’ s strategic allocation.