Kodak 2012 Annual Report Download - page 108

Table of Contents
The following is a reconciliation of the beginning and ending balances of level 3 assets of Kodak’s major Non-U.S. defined benefit pension
plans (in millions):
Kodak expects to contribute approximately $1 million and $34 million in 2013 for U.S. and Non-U.S. defined benefit pension plans,
respectively. These estimates exclude any payments to be determined through the Bankruptcy Proceedings for the U.S. non-qualified pension
plans, as well as payments subject to negotiation for the KPP.
The following pension benefit payments, which reflect expected future service, are expected to be paid from the plans:
NOTE 21: OTHER POSTRETIREMENT BENEFITS
The Company provided U.S. medical, dental, life insurance, and survivor income benefits to eligible retirees, long-term disability recipients and
their spouses, dependents and survivors. Generally, to be eligible for these benefits, former employees leaving the Company , prior to January 1,
1996 were required to be 55 years of age with ten years of service or their age plus years of service must have equaled or exceeded 75. For those
leaving the Company after December 31, 1995, former employees must be 55 years of age with ten years of service or have been eligible as of
December 31, 1995. These benefits are paid from the general assets of the Company as they are incurred.
The Company’s subsidiary in Canada offers similar postretirement benefits.
On November 7, 2012, the Bankruptcy Court entered an order approving a settlement agreement between the Debtors and the Retiree Committee
appointed by the U.S. Trustee. Refer to Note 1, “Bankruptcy Proceedings” for additional information on the settlement agreement reached with
the Retiree Committee.
As a result of the settlement agreement, the plan’s obligations were re-measured as of November 1, 2012. The re-measurement resulted in a
reduction of the accumulated postretirement benefit obligation (“APBO”) by approximately $1.2 billion. Approximately $739 million of the
reduction in the APBO relates to benefits that have been eliminated. This settlement gain was reduced by the recognition of net
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Balance at
January 1, 2012
Net Realized and
Unrealized
Gains/(Losses)
Net Purchases
and Sales
Net Transfer
Into/(Out of)
Level 3
Balance at
December 31, 2012
Equity Securities
$
6
$
1
$
6
$
—
$
13
Government Bonds
6
1
—
—
7
Inflation
-
Linked Bonds
251
21
13
(34
)
251
Real Estate
55
2
(13
)
—
44
Private Equity
312
28
(18
)
—
322
Total
$
630
$
53
$
(12
)
$
(34
)
$
637
Non
-
U.S.
Balance at
January 1, 2011
Net Realized and
Unrealized
Gains/(Losses)
Net Purchases
and Sales
Net Transfer
Into/(Out of)
Level 3
Balance at
December 31, 2011
Equity Securities
$
6
$
—
$
—
$
—
$
6
Government Bonds
208
(3
)
(199
)
—
6
Inflation
-
Linked Bonds
65
6
180
—
251
Real Estate
81
(12
)
(14
)
—
55
Private Equity
307
37
(32
)
—
312
Total
$
667
$
28
$
(65
)
$
—
$
630
(in millions)
U.S.
Non
-
U.S.
2013
$
928
$
204
2014
359
200
2015
351
202
2016
341
195
2017
333
193
2018
-
2022
1,560
977
(1) Assumes that the prohibited payment restriction currently in effect for the U.S. qualified pension plans will be lifted upon funding
certification in 2013 and excludes any payments to be determined through the Bankruptcy Proceedings for the U.S. non-qualified pension
plans.
(1)