Avon 2011 Annual Report Download - page 87

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Reconciliation of Benefit Obligations, Plan Assets and Funded Status
The following table summarizes changes in the benefit obligation, plan assets and the funded status of our significant pension and
postretirement plans. We use a December 31 measurement date for all of our employee benefit plans.
Pension Plans Postretirement
BenefitsU.S. Plans Non-U.S. Plans
2011 2010 2011 2010 2011 2010
Change in Benefit Obligation:
Beginning balance $(702.6) $(702.2) $(720.3) $(711.3) $(133.0) $(134.6)
Service cost (12.8) (11.9) (15.4) (14.6) (2.0) (2.0)
Interest cost (32.6) (35.6) (39.7) (39.3) (6.4) (7.1)
Actuarial (loss) gain (89.9) (44.4) (21.5) (16.2) (1.9) 2.1
Plan participant contributions – – (2.5) (2.5) (4.0) (4.3)
Benefits paid 83.9 92.6 42.1 40.1 14.1 13.5
Plan amendments – .2 4.6 – – –
Curtailments .3 (1.3) – – (.2) –
Special termination benefits – – – (.1) – –
Foreign currency changes and other – – 6.0 23.6 1.1 (.6)
Ending balance $(753.7) $(702.6) $(746.7) $(720.3) $(132.3) $(133.0)
Change in Plan Assets:
Beginning balance $ 451.7 $ 470.6 $ 540.6 $ 499.5 $ 43.7 $ 39.6
Actual return on plan assets 37.0 60.3 (.1) 56.9 (1.1) 4.1
Company contributions 88.6 13.4 38.4 32.9 10.1 9.2
Plan participant contributions – – 2.5 2.5 4.0 4.3
Benefits paid (83.9) (92.6) (42.1) (40.1) (14.1) (13.5)
Foreign currency changes and other – – (2.9) (11.1) – –
Ending balance $ 493.4 $ 451.7 $ 536.4 $ 540.6 $ 42.6 $ 43.7
Funded Status:
Funded status at end of year $(260.3) $(250.9) $(210.3) $(179.7) $ (89.7) $ (89.3)
Amount Recognized in Balance Sheet:
Other assets $ – $ – $ 2.7 $ 3.0 $ – $ –
Accrued compensation (7.9) (9.8) (12.7) (12.6) (4.6) (4.3)
Employee benefit plans liability (252.4) (241.1) (200.3) (170.1) (85.1) (85.0)
Net amount recognized $(260.3) $(250.9) $(210.3) $(179.7) $ (89.7) $ (89.3)
Pretax Amounts Recognized in Accumulated
Other Comprehensive Loss:
Net actuarial loss $ 489.6 $ 445.8 $ 294.6 $ 250.0 $ 52.3 $ 50.8
Prior service credit (1.0) (1.3) (14.9) (12.3) (53.0) (70.2)
Transition obligation – – .2 .3 – –
Total pretax amount recognized $ 488.6 $ 444.5 $ 279.9 $ 238.0 $ (.7) $ (19.4)
Supplemental Information:
Accumulated benefit obligation $ 737.3 $ 685.2 $ 675.9 $ 653.4 N/A N/A
Plans with Projected Benefit Obligation in Excess
of Plan Assets:
Projected benefit obligation $ 753.7 $ 702.6 $ 730.2 $ 702.8 N/A N/A
Fair value plan assets 493.4 451.7 517.1 520.2 N/A N/A
Plans with Accumulated Benefit Obligation in
Excess of Plan Assets:
Projected benefit obligation $ 753.7 $ 702.6 $ 720.1 $ 693.3 N/A N/A
Accumulated benefit obligation 737.3 685.2 675.9 653.4 N/A N/A
Fair value plan assets 493.4 451.7 508.6 511.6 N/A N/A
A V O N 2011 F-27