Kimberly-Clark 2007 Annual Report Download - page 80

Download and view the complete annual report

Please find page 80 of the 2007 Kimberly-Clark annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 123

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123

KIMBERLY-CLARK CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
Information for the Principal Plans and All Other Pension Plans
Principal Plans
All Other
Pension Plans Total
Year Ended December 31
2007 2006 2007 2006 2007 2006
(Millions of dollars)
Projected benefit obligation (“PBO”) .......... $5,025.0 $5,252.5 $433.8 $435.8 $5,458.8 $5,688.3
ABO ................................... 4,738.2 4,914.8 379.8 384.3 5,118.0 5,299.1
Fair value of plan assets .................... 4,358.4 4,285.2 347.0 320.1 4,705.4 4,605.3
Information for Pension Plans With an ABO in Excess of Plan Assets
December 31
2007 2006
(Millions of dollars)
PBO ..................................................................... $5,055.2 $5,453.9
ABO .................................................................... 4,764.5 5,101.9
Fair value of plan assets ..................................................... 4,303.8 4,389.9
Components of Net Periodic Benefit Cost
Pension Benefits Other Benefits
Year Ended December 31
2007 2006 2005 2007 2006 2005
(Millions of dollars)
Service cost ..................................... $ 81.4 $ 86.9 $ 81.4 $14.7 $16.3 $17.4
Interest cost ..................................... 315.1 298.3 294.6 50.1 48.1 47.1
Expected return on plan assets(a) ..................... (372.4) (337.2) (322.6) ———
Amortization of prior service cost (benefit) and transition
amount ....................................... 7.0 7.7 6.3 1.8 2.1 (.2)
Recognized net actuarial loss ....................... 76.6 100.5 92.7 5.2 3.8 3.9
Other .......................................... 12.1 10.7 4.4 —2.7 —
Net periodic benefit cost ........................... $ 119.8 $ 166.9 $ 156.8 $71.8 $73.0 $68.2
(a) The expected return on plan assets is determined by multiplying the fair value of plan assets at the prior year-end (adjusted for estimated
current year cash benefit payments and contributions) by the expected long-term rate of return.
Weighted-Average Assumptions used to determine Net Cost for years ended December 31
Pension Benefits Other Benefits
2007 2006 2005 2007 2006 2005
Discount rate ...................................... 5.64% 5.47% 5.68% 5.84% 5.68% 5.85%
Expected long-term return on plan assets ................ 8.27% 8.28% 8.29% ———
Rate of compensation increase ........................ 3.90% 3.68% 3.67% ———
Weighted-Average Assumptions used to determine Benefit Obligations at December 31
Pension Benefits Other Benefits
2007 2006 2007 2006
Discount rate .................................................... 6.14 % 5.64% 6.24 % 5.84%
Rate of compensation increase ...................................... 3.99 % 3.90% ——
60