MasterCard 2013 Annual Report Download - page 85

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MASTERCARD INCORPORATED
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
81
therefore included in Level 1 of the Valuation Hierarchy. Commingled funds (including large/medium cap U.S. equity
securities and fixed income securities) are valued at unit values provided by investment managers, which are based on
the fair value of the underlying investments utilizing public information, independent external valuation from third-
party services or third-party advisors, and are therefore included in Level 2 of the Valuation Hierarchy.
The following tables set forth by level, within the Valuation Hierarchy, the Pension Plans' assets at fair value as of
December 31, 2013 and 2012:
December 31, 2013
Quoted Prices in
Active Markets
(Level 1)
Significant
Other
Observable
Inputs (Level 2)
Significant
Unobservable
Inputs (Level 3) Fair Value
(in millions)
Mutual funds:
Money market . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 115 $ — $ — $ 115
Domestic small cap equity . . . . . . . . . . . . . . . . . . 10 — — 10
International equity . . . . . . . . . . . . . . . . . . . . . . . . 9 — — 9
Common and collective funds:
Domestic large cap equity. . . . . . . . . . . . . . . . . . . — 31 — 31
Domestic fixed income . . . . . . . . . . . . . . . . . . . . . — 101 — 101
Insurance contracts. . . . . . . . . . . . . . . . . . . . . . . . . . . — 9 — 9
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 134 $ 141 $ — $ 275
December 31, 2012
Quoted Prices in
Active Markets
(Level 1)
Significant
Other
Observable
Inputs (Level 2)
Significant
Unobservable
Inputs (Level 3) Fair Value
(in millions)
Mutual funds:
Money market . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 2 $ — $ — $ 2
Domestic small cap equity . . . . . . . . . . . . . . . . . . 12 — — 12
International equity . . . . . . . . . . . . . . . . . . . . . . . . 12 — — 12
Common and collective funds:
Domestic large cap equity. . . . . . . . . . . . . . . . . . . — 32 — 32
Domestic fixed income . . . . . . . . . . . . . . . . . . . . . — 209 — 209
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 26 $ 241 $ — $ 267
Pursuant to the requirements of the Pension Protection Act of 2006, the Company did not have a mandatory contribution
to the Qualified Plan in 2013, 2012 or 2011. However, the Company did make voluntary contributions of $10 million
and $20 million to the Qualified Plan in 2012 and 2011, respectively. The Company is not required to contribute to
the Qualified Plan in 2014 and does not intend to make a contribution in 2014. The international defined benefit pension
plans are subject to statutory regulations for funding and the Company estimates it will contribute approximately $10
million to these plans in 2014. The Company does not make any contributions to the Non-qualified Plan or to its
Postretirement Plans, other than funding benefit payments.