Capital One 2011 Annual Report Download - page 236

CAPITAL ONE FINANCIAL CORPORATION
NOTES TO CONSOLIDATED STATEMENTS—(Continued)
Dividend Reinvestment and Stock Purchase Plan
In 2002, we implemented our Dividend Reinvestment and Stock Purchase Plan (“2002 DRP”), which allows
participating stockholders to purchase additional shares of our common stock through automatic reinvestment of
dividends or optional cash investments. We had 7.4 million shares available for issuance under the 2002 DRP at
both December 31, 2011 and 2010.
NOTE 17—EMPLOYEE BENEFIT PLANS
Defined Contribution Plan
We sponsor a contributory Associate Savings Plan (the “Plan”) in which substantially all full-time and certain
part-time associates are eligible to participate. We make contributions to each eligible associate’s account, match
a portion of associate contributions and make discretionary contributions based upon our meeting a certain
earnings per share target or other performance metrics. In June 2010, we announced that we were implementing a
new company contribution structure and several administrative enhancements to the Plan that were effective
July 1, 2010. The new contribution structure provides a company contribution through a combination of basic
and matching company contributions. We transitioned to the new contribution structure on July 1, 2010, as such,
our discretionary contribution payout for 2010 was prorated for the period January 1, 2010 to June 30, 2010.
We also sponsor a voluntary non-qualified deferred compensation plan in which select groups of employees are
eligible to participate. We make contributions to this plan based on participants’ deferral of salary, bonuses and
other eligible pay. We contributed a total of $151 million, $118 million and $79 million to these plans during the
years ended December 31, 2011, 2010 and 2009, respectively.
Defined Benefit Pension and Other Postretirement Benefit Plans
We sponsor defined benefit pension plans and other postretirement benefit plans. Pension plans include a legacy
frozen cash balance plan and plans assumed in the North Fork acquisition, including two qualified defined
benefit pension plans and several non-qualified defined benefit pension plans. Our legacy pension plan and the
two qualified pension plans from the North Fork acquisition were merged into a single plan effective
December 31, 2007. Other postretirement benefit plans, including a legacy plan and plans assumed in the
Hibernia and North Fork acquisitions, all of which provide medical and life insurance benefits, were merged into
a single plan effective January 1, 2008.
Our pension plans and the other postretirement benefit plans are valued using a December 31 measurement date.
Our policy is to amortize prior service amounts on a straight-line basis over the average remaining years of
service to full eligibility for benefits of active plan participants.
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