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9. Retirement Benefits
The Company and the majority of the consolidated subsidiaries in Japan have unfunded lump-sum retirement
plans which, in general, cover all employees who retire before a retirement age prescribed in their internal codes.
The employees are entitled to the benefits primarily based on their length of service and base salary as of the
retirement date.
In addition, the Company and the majority of the consolidated subsidiaries in Japan participate in contributory
defined benefit plans which cover substantially all employees. The major contributory defined benefit plan (the
“Plan”), which is referred to as the Fujitsu Corporate Pension Fund, entitles employees upon retirement at the normal
retirement age to either a lump-sum payment or pension annuity payments for life commencing at age 60, or a
combination of both based on their length of service, base salary as of the retirement date and the number of years
of participation in the Plan. The contributions of the Company and the subsidiaries covered by the Plan and their
employees are made to the Fujitsu Corporate Pension Fund which is an external organization.
The Fujitsu Welfare Pension Fund, in which the Company and certain consolidated subsidiaries in Japan partici-
pated, received approval of an elimination of the future benefit obligations of the substitutional portion on March
23, 2004, and then received approval of transfer of past benefit obligation of the substitutional portion on Septem-
ber 1, 2005, from the Minister of Health, Labour and Welfare. Accordingly, Fujitsu Welfare Pension Fund changed to
the Defined Benefit Corporate Plan based on the Japanese Defined Benefit Corporate Pension Law from the
Japanese Welfare Pension Plan based on the Japanese Welfare Pension Insurance Law, and concurrently a part of
the pension system was revised.
The majority of the consolidated subsidiaries outside Japan have defined benefit plans and/or defined contribu-
tion plans covering substantially all their employees. The major defined benefit pension plan provided outside
Japan is the plan that Fujitsu Services Holdings PLC (including its consolidated subsidiaries, “FS”) provides. The plan
entitles employees to payments based on their length of service and salary. The defined benefit section of the plan
was closed to new entrants on August 31, 2000. New employees are, however, eligible for membership of the
defined contribution section.
The balances of the “projected benefit obligation and plan assets” and the “components of net periodic benefit
cost” in the plans in both Japan and outside Japan are summarized as follows:
<In Japan>
Projected benefit obligation and plan assets
Yen
(millions)
U.S. Dollars
(thousands)
At March 31 2007 2008 2008
Projected benefit obligation ¥(1,104,391) ¥(1,145,897) $(11,458,970)
Plan assets 1,126,277 954,508 9,545,080
Projected benefit obligation in excess of plan assets 21,886 (191,389) (1,913,890)
Unrecognized net obligation at transition 48,798 32,574 325,740
Unrecognized actuarial loss 100,729 306,276 3,062,760
Unrecognized prior service cost (reduced obligation) (157,891) (139,139) (1,391,390)
Prepaid pension cost (89,697) (83,011) (830,110)
Accrued retirement benefits ¥ (76,175) ¥ (74,689) $ (746,890)
104
ANNUAL REPORT 2008FUJITSU LIMITED
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS