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Notes to Consolidated Financial Statements ManpowerGroup 2013 Annual Report 75
United States Plans Non-United States Plans
Fair Value Measurements Using Fair Value Measurements Using
December 31,
2012
Quoted Prices
in Active
Markets for
Identical
Assets
(Level 1)
Significant
Other
Observable
Inputs
(Level 2)
Significant
Unobservable
Inputs
(Level 3)
December 31,
2012
Quoted Prices
in Active
Markets for
Identical
Assets
(Level 1)
Significant
Other
Observable
Inputs
(Level 2)
Significant
Unobservable
Inputs
(Level 3)
Asset Category
Cash and cash equivalents
(1)
$ 1.8 $ 1.8 $ — $ — $ 2.6 $ 2.6 $ — $ —
Equity securities:
United States companies 16.1 16.1 — — — — — —
International companies — — — — 72.8 72.8 — —
Fixed income securities:
Government bonds
(2)
18.1 — 18.1 — — — — —
Guaranteed insurance
contracts — — — — 112.9 — 112.9 —
Other types of investments:
Unitized funds
(3)
— — — — 101.3 101.3 — —
Real estate funds — — — — 6.8 — 6.8 —
$36.0 $17.9 $18.1 $ — $296.4 $176.7 $119.7 $ —
(1) This category includes a prime obligations money market portfolio.
(2) This category includes United States Treasury/Federal agency securities and foreign government securities.
(3) This category includes investments in approximately 80% fixed income securities and 20% equity.
The following table summarizes the changes in fair value of the insurance contract, which is measured using Level 3 inputs.
These contracts were purchased upon amendment of our Dutch pension plan effective as of January 1, 2013. We determine
that transfers between fair-value-measurement levels occur on the date of the event that caused the transfer.
Year Ended December 31 2013
Balance, beginning of year $ —
Transfers into Level 3 85.9
Unrealized loss (7.7)
Purchases, sales and settlements, net (0.6)
Currency exchange rate changes 3.3
Balance, end of year $ 80.9
RETIREE HEALTH CARE PLAN
We provide medical and dental benefits to certain eligible retired employees in the United States. Due to the nature of the
plan, there are no plan assets. The reconciliation of the changes in the plan’s benefit obligation and the statement of the
funded status of the plan were as follows:
Year Ended December 31 2013 2012
Change in Benefit Obligation
Benefit obligation, beginning of year $ 31.5 $ 28.5
Service cost —0.1
Interest cost 1.1 1.3
Actuarial (gain) loss (0.9) 3.2
Benefits paid (2.3) (1.9)
Plan participant contributions 0.2 0.2
Retiree drug subsidy reimbursement 0.1 0.1
Plan amendment (11.2) —
Benefit obligation, end of year $ 18.5 $ 31.5
Funded Status at End of Year
Funded status, end of year $ (18.5)$ (31.5)
Amounts Recognized
Current liabilities $ (2.0)$ (1.8)
Noncurrent liabilities (16.5) (29.7)
Net amount recognized $ (18.5)$ (31.5)