Fujitsu 2010 Annual Report Download - page 113

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Assumptions used in accounting for the plans
At March 31 2009 2010
Discount rate 2.5% 2.5%
Expected rate of return on plan assets 2.8% 2.9%
Method of allocating actuarial loss Straight-line method over the employees’ average
remaining service period
Straight-line method over the employees’
average remaining service period
Method of allocating prior service cost Straight-line method over 10 years Straight-line method over 10 years
Method of allocating net obligation
at transition
Straight-line method over 10 years Straight-line method over 10 years
For the year ended March 31, 2001, the Company fully recognized as income its portion of the unrecognized net obligation at transition.
For additional plan assets to cover the unrecognized net obligation at transition, the Company placed its holding of marketable securities in
a trust which was solely established for the retirement benefit plan.
<Outside Japan>
FS adopted International Financial Reporting Standards (“IFRS”) for the year ended March 31, 2006, and accounts for retirement benefits in
accordance with IAS 19 “Employee Benefits.” For this change in accounting principles and practices, FS adopted IFRS 1 “First-time Adoption of
International Financial Reporting Standards,” and recognized the projected benefit obligation in excess of plan assets as of April 1, 2004. For
the year ended March 31, 2009, other subsidiaries outside Japan applied IAS 19 in accordance with adoption of IFRS. They recognized actu-
arial gain or loss over future periods after the adoption of IFRS 1 and applied the “corridor approach” to amortization of actuarial gain and loss.
Projected benefit obligation and plan assets
Yen
(millions)
U.S. Dollars
(thousands)
At March 31 2009 2010 2010
Projected benefit obligation ¥(354,064) ¥(592,144) $(6,367,140)
Plan assets 296,413 390,251 4,196,248
Projected benefit obligation in excess of plan assets (57,651) (201,893) (2,170,892)
Unrecognized actuarial gain (loss) 11,547 110,060 1,183,440
Prepaid pension cost (67) (57) (613)
Accrued retirement benefits ¥ (46,171) ¥ (91,890) $ (988,065)
Components of net periodic benefit cost
Yen
(millions)
U.S. Dollars
(thousands)
Years ended March 31 2009 2010 2010
Service cost ¥ 8,856 ¥ 8,396 $ 90,280
Interest cost 32,305 28,786 309,527
Expected return on plan assets (33,321) (24,803) (266,699)
Amortization of the unrecognized obligation for retirement benefit:
Amortization of actuarial gain and loss (304) (151) (1,624)
Net periodic benefit cost 7,536 12,228 131,484
Gain on termination of retirement benefit plan — (2) (22)
Total ¥ 7,536 ¥ 12,226 $ 131,462
In addition to net periodic benefit cost stated above, contribution for defined contribution plan of ¥6,572 million and ¥7,557 million
($81,258 thousand) were recognized as expense for the years ended March 31, 2009 and 2010, respectively.
111
FUJITSU LIMITED Annual Report 2010
Notes to Consolidated
Financial Statements