Avnet 2008 Annual Report Download - page 67

Download and view the complete annual report

Please find page 67 of the 2008 Avnet annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 96

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96

Table of Contents
AVNET, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
The incremental effect of applying SFAS 158 on the consolidated balance sheet at June 30, 2007 for the
Company’s pension plan is presented in the following table (in thousands):
As a result of the adoption of SFAS 158, there was no change in the Company’s total liabilities or stockholders’
equity.
The following tables outline changes in benefit obligations, plan assets and the funded status of the Plan as of
the end of fiscal 2008 and 2007:
Included in “accumulated other comprehensive income” at June 28, 2008 is a pre-tax charge of $83,026,000 of
net actuarial losses which have not yet been recognized in net periodic pension cost, of which $2,325,000 is expected
to be recognized as a component of net periodic benefit cost during fiscal 2009.
Weighted average assumptions used to calculate actuarial present values of benefit obligations are as follows:
64
Prior to
SFAS 158
After
Adoption of
Adoption
Adoption of
SFAS 158
Adjustments
SFAS 158
Prepaid cost/(accrued liability)
$
(21,021
)
$
—
$
(
21,021
)
Intangible assets
$
—
$
—
$
Accumulated other comprehensive income (AOCI)
$
53,237
$
—
$
53,237
June 28,
June 30,
2008
2007
(Thousands)
Changes in benefit obligations:
Benefit obligations at beginning of year
$
276,836
$
251,000
Service cost
14,737
14,862
Interest cost
16,769
15,732
Actuarial (gain) loss
(14,216
)
8,493
Benefits paid
(14,985
)
(13,251
)
Benefit obligations at end of year
$
279,141
$
276,836
Change in plan assets:
Fair value of plan assets at beginning of year
$
255,815
$
232,627
Actual return on plan assets
(23,764
)
36,439
Benefits paid
(14,985
)
(13,251
)
Contributions
35,481
Fair value of plan assets at end of year
$
252,547
$
255,815
Information on funded status of plan and the amount recognized:
Funded status of the plan
$
(26,594
)
$
(21,021
)
Unrecognized net actuarial loss
83,026
53,237
Unamortized prior service credit
Prepaid pension cost recognized in the consolidated balance sheets
$
56,432
$
32,216
Pre
-
tax additional minimum pension liability recognized in comprehensive income
$
$
2008
2007
Discount rate
6.75
%
6.25
%