MasterCard 2009 Annual Report Download - page 112

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MASTERCARD INCORPORATED
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
(In thousands, except percent and per share data)
The following table summarizes expected benefit payments through 2019 for the Pension Plans, including
those payments expected to be paid from the Company’s general assets. Since the majority of the benefit
payments are made in the form of lump-sum distributions, actual benefit payments may differ from expected
benefit payments.
2010 .................................................................... $ 18,181
2011 .................................................................... 27,090
2012 .................................................................... 21,548
2013 .................................................................... 25,513
2014 .................................................................... 24,002
2015-2019 ................................................................ 128,494
Substantially all of the Company’s U.S. employees are eligible to participate in a defined contribution
savings plan (the “Savings Plan”) sponsored by the Company. The Savings Plan allows employees to contribute a
portion of their base compensation on a pre-tax and after-tax basis in accordance with specified guidelines. The
Company matches a percentage of employees’ contributions up to certain limits. In 2007 and prior years, the
Company could also contribute to the Savings Plan a discretionary profit sharing component linked to Company
performance during the prior year. Beginning in 2008, the discretionary profit sharing amount related to prior
year Company performance was paid directly to employees as a short-term cash incentive bonus rather than as a
contribution to the Savings Plan. In addition, the Company has several defined contribution plans outside of the
United States. The Company’s contribution expense related to all of its defined contribution plans was $40,627,
$35,341 and $26,996 for 2009, 2008 and 2007, respectively.
Note 13. Postemployment and Postretirement Benefits
The Company maintains a postretirement plan (the “Postretirement Plan”) providing health coverage and
life insurance benefits for substantially all of its U.S. employees hired before July 1, 2007. The Company
amended the life insurance benefits under the Postretirement Plan effective January 1, 2007. The impact, net of
taxes, of this amendment was an increase of $1,715 to accumulated other comprehensive income in 2007.
In 2009, the Company recorded a $3,944 benefit expense as a result of enhanced postretirement medical
benefits under the Postretirement Plan provided to employees that chose to participate in a voluntary transition
program.
102