Hertz 2013 Annual Report Download - page 115

Table of Contents
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
Our U.K. Plan accounts for most of the $206.5 million in fair value of Non-U.S. plan assets. The fair value measurements of our U.K.
pension plan assets are based upon significant observable inputs (Level 2) and relate to common collective trusts and other pooled
investment vehicles consisting of the following asset categories (in millions of dollars):




Short Term Investments $ —
$12.9
Actively Managed Multi-Asset Funds:
Diversified Growth Funds 74.1
—
Passive Equity Funds:
U.K. Equities 24.3
66.1
Overseas Equities 29.3
67.1
Passive Bond Funds:
Corporate Bonds 20.3
5.3
Global Treasury Bonds —
9.3
Index-Linked Gilts-Stocks 47.0
1.8
U.K. Conventional Gilts —
6.5
Total fair value of pension plan assets $195.0
$169.0
Contributions
Our policy for funded plans is to contribute annually, at a minimum, amounts required by applicable laws, regulations and union
agreements. From time to time we make contributions beyond those legally required. In 2013, we made discretionary cash contributions to
our U.S. qualified pension plan of $18.7 million. In 2012, we made discretionary cash contributions to our U.S. qualified pension plan of
$38.4 million. We expect to contribute between $25.0 million and $35.0 million to our U.S. plan during 2014. The level of 2014 and future
contributions will vary, and is dependent on a number of factors including investment returns, interest rate fluctuations, plan demographics,
funding regulations and the results of the final actuarial valuation.
Estimated Future Benefit Payments
The following table presents estimated future benefit payments (in millions of dollars):
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

2014 $33.0
$1.2
2015 37.3
1.3
2016 43.4
1.2
2017 49.7
1.1
2018 53.1
1.2
Years after 2018 334.1
5.9
$550.6
$11.9
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We contribute to several multiemployer defined benefit pension plans under collective bargaining agreements that cover certain of our union-
represented employees. The risks of participating in such plans are different from the risks of single-employer plans, in the following
respects:
a) Assets contributed to a multiemployer plan by one employer may be used to provide benefits to employees of other
participating employers.
b) If a participating employer ceases to contribute to the plan, the unfunded obligations of the plan may be borne by the
remaining participating employers.
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Source: HERTZ CORP, 10-K, March 31, 2014 Powered by Morningstar® Document Research℠
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