IBM 2010 Annual Report Download - page 116

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Notes to Consolidated Financial Statements
International Business Machines Corporation and Subsidiary Companies114
The following table presents a summary of the total projected benefit obligation (PBO) for defined benefit pension plans, accumulated
postretirement benefit obligation (APBO) for nonpension postretirement benefit plans (benefit obligations), fair value of plan assets and
the associated funded status recorded in the Consolidated Statement of Financial Position.
($ in millions)
Benefit Obligations Fair Value of Plan Assets Funded Status*
At December 31: 2010 2009 2010 2009 2010 2009
U.S. plans:
Overfunded plans:
Qualified PPP $49,663 $46,910 $50,259 $ 47,269 $ 596 $ 359
Underfunded plans:
Excess PPP 1,360 1,195 — — (1,360) (1,195)
Retention Plan 271 249 — — (271) (249)
Nonpension postretirement benefit plan 5,123 5,100 35 33 (5,088) (5,067)
Total underfunded U.S. plans $ 6,753 $ 6,545 $ 35 $ 33 $ (6,718) $ (6,512)
Non-U.S. plans:
Overfunded plans:
Qualified defined benefit pension plans $22,625 $14,032 $25,096 $16,673 $ 2,471 $ 2,641
Nonpension postretirement benefit plans 8 7 9 8 1 1
Total overfunded non-U.S. plans $22,633 $14,039 $25,105 $16,681 $ 2,472 $ 2,642
Underfunded plans:
Qualified defined benefit pension plans $14,507 $21,521 $10,626 $17,633 $ (3,881) $ (3,888)
Nonqualified defined benefit pension plans 5,452 5,755 — — (5,452) (5,755)
Nonpension postretirement benefit plans 864 760 111 96 (753) (664)
Total underfunded non-U.S. plans $20,823 $28,036 $10,737 $17,729 $(10,086) $(10,307)
Total overfunded plans $72,296 $60,949 $75,364 $63,950 $ 3,068 $ 3,001
Total underfunded plans $27,576 $34,581 $10,772 $17,762 $(16,804) $(16,819)
* Funded status is recognized in the Consolidated Statement of Financial Position as follows: Asset amounts as prepaid pension assets; (Liability) amounts as compensation and
benefits (current liability) and retirement and nonpension postretirement benefit obligations (noncurrent liability).
At December 31, 2010, the company’s qualified defined benefit pension plans worldwide were 99 percent funded compared to the benefit
obligations, with the U.S. qualified PPP 101 percent funded. Overall, including nonqualifed plans, the company’s defined benefit pension plans
were 92 percent funded, an improvement of 1 point from the year-end 2009 position.