Kraft 2009 Annual Report Download - page 220

Benefit Plans:
Benefit Plans:
(USD $)
12 Months Ended
12/31/2009
Benefit Plans: Note 11. Benefit Plans:
Pension Plans
Obligations and Funded Status:
The projected benefit obligations, plan assets and funded status of our pension plans at December 31, 2009 and 2008 were:
U.S. Plans Non-U.S. Plans
2009 2008 2009 2008
(in millions)
Benefit obligation at
January 1 $ 6,133 $ 5,952 $ 3,211 $ 4,275
Service cost 152 149 67 107
Interest cost 369 371 215 257
Benefits paid (310) (314) (225) (269)
Settlements paid (187) (331) (14) (16)
Curtailment gain (168) - - -
Actuarial (gains) /
losses 203 306 619 (542)
Currency - - 510 (710)
Other 3 - 18 109
Benefit obligation at
December 31 6,195 6,133 4,401 3,211
Fair value of plan assets
at January 1 4,386 7,006 2,618 4,041
Actual return on plan
assets 1,180 (2,028) 400 (761)
Contributions 427 53 209 180
Benefits paid (310) (314) (225) (269)
Settlements paid (187) (331) (14) (16)
Currency - - 414 (615)
Other - - (5) 58
Fair value of plan assets
at December 31 5,496 4,386 3,397 2,618
Net pension liability
recognized at
December 31 $ (699) $ (1,747) $ (1,004) $ (593)
Our projected benefit obligation decreased $168 million in 2009 due to the freeze of
certain of our U.S. pension plans.
The accumulated benefit obligation, which represents benefits earned to the measurement
date, was $5,673 million at December 31, 2009 and $5,464 million at December 31, 2008
for the U.S. pension plans. The accumulated benefit obligation for the non-U.S. pension
plans was $4,115 million at December 31, 2009 and $3,024 million at December 31, 2008.
The combined U.S. and non-U.S. pension plans resulted in a net pension liability of
$1,703 million at December 31, 2009 and $2,340 million at December 31, 2008. We
recognized these amounts in our consolidated balance sheets at December 31, 2009 and
2008 as follows:
2009 2008
(in millions)
Prepaid pension assets $ 115 $ 56
Other accrued liabilities (53) (29)
Accrued pension costs (1,765) (2,367)
$ (1,703) $ (2,340)
Certain of our U.S. and non-U.S. plans are under funded and have accumulated benefit obligations in excess of plan assets.
For these plans, the projected benefit obligations, accumulated benefit obligations and the fair value of plan assets at
December 31, 2009 and 2008 were:
U.S. Plans Non-U.S. Plans
2009 2008 2009 2008
(in millions)
Projected benefit
obligation $ 4,666 $ 6,133 $ 3,703 $ 1,740
Source: KRAFT FOODS INC, 10-K, February 25, 2010 Powered by Morningstar® Document Research℠