Pepsi 2010 Annual Report Download - page 89

Download and view the complete annual report

Please find page 89 of the 2010 Pepsi annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 113

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113

Notes to Consolidated Financial Statements
88 PepsiCo, Inc. 2010 Annual Report
Pension Retiree Medical
2010 2009 2010 2009 2010 2009
U.S. International
Amounts recognized
Other assets $ 47 $ – $ 66 $ 50 $ – $ –
Other current liabilities (54) (36) (10) (1) (145) (105)
Other liabilities (974) (1,150) (302) (197) (1,435) (1,241)
Net amount recognized $ (981) $(1,186) $ (246) $ (148) $(1,580) $(1,346)
Amounts included in accumulated
other comprehensive loss (pre-tax)
Net loss $2,726 $ 2,563 $ 767 $ 625 $ 270 $ 190
Prior service cost/(credit) 117 101 17 20 (150) (102)
Total $2,843 $ 2,664 $ 784 $ 645 $ 120 $ 88
Components of the increase/(decrease) in net loss
Change in discount rate $ 556 $ 47 $ 213 $ 97 $ 101 $ 11
Employee-related assumption changes 4 – (4) 70 8 (38)
Liability-related experience different from assumptions 43 23 5 51 (22) (36)
Actual asset return different from expected return (300) (235) (41) (54) (6) (2)
Amortization of losses (119) (111) (24) (9) (9) (11)
Other, including foreign currency adjustments (21) 13 (7) 49 8 –
Total $ 163 $ (263) $ 142 $ 204 $ 80 $ (76)
Liability at end of year for service to date $9,163 $ 5,784 $1,743 $1,414
The components of benefit expense are as follows:
Pension Retiree Medical
2010 2009 2008 2010 2009 2008 2010 2009 2008
U.S. International
Components of benet expense
Service cost $ 299 $ 238 $ 244 $ 81 $ 54 $ 61 $ 54 $ 44 $ 45
Interest cost 506 373 371 106 82 88 93 82 82
Expected return on plan assets (643) (462) (416) (123) (105) (112) (1) – –
Amortization of prior service cost/(credit) 12 12 19 2 2 3 (22) (17) (13)
Amortization of net loss 119 110 55 24 9 19 9 11 7
293 271 273 90 42 59 133 120 121
Settlement/curtailment (gain)/loss (2) (13) 3 1 3 3 (62) – –
Special termination benets 45 – 31 3 – 2 3 – 3
Total $ 336 $ 258 $ 307 $ 94 $ 45 $ 64 $ 74 $120 $124
The estimated amounts to be amortized from accumulated other comprehensive loss into benefit expense in 2011 for our pension
and retiree medical plans are as follows:
Pension Retiree Medical
U.S. International
Net loss $144 $39 $ 12
Prior service cost/(credit) 15 2 (28)
Total $159 $41 $(16)