Pitney Bowes 2009 Annual Report Download - page 106

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PITNEY BOWES INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Tabular dollars in thousands, except per share data)
88
Level 3 Gains and Losses
The following table shows a summary of the changes in the fair value of the U.S. pension plans level 3 assets for the year ended
December 31, 2009:
U.S. Pension Plans - Level 3 Fair Value Measurements - Year Ended December 31, 2009
Mortgage-
backed
securities
Private
equity Real estate Derivatives Total
Balance at December 31, 2008 $ 863 $ 41,541 $ 85,500 $ 589 $ 128,493
Realized gains / (losses) (3) - 416 (553) (140)
Unrealized gains / (losses) (3) (6,038) (35,007) 692 (40,356)
Purchases, sales, issuances and
settlements (net) (96) 13,728 (578) (728) 12,326
Transfers in and/or out of level 3 -----
Balance at December 31, 2009 $ 761 $ 49,231 $ 50,331 $ - $ 100,323
Reconciliation of Plan Assets to Fair Value Measurements Hierarchy
The following tables show a reconciliation of the total fair value of pension plan assets to the fair value of financial instruments
presented in the fair value measurements hierarchy for the U.S. and foreign pension plans at December 31, 2009:
Reconciliation of Plan Assets to Fair Value Measurements Hierarchy at December 31, 2009
United States Foreign
Total Plan Assets $ 1,350,045 $ 414,313
Cash (848) (24,843)
Securities lending fund liability 139,416 -
Receivables / Prepaid benefits (79,936) -
Payables / Accrued expenses 33,589 -
Other (1,404) (1,406)
Total Per Fair Value Measurements Hierarchy $ 1,440,862 $ 388,064
Nonpension Postretirement Benefits
We provide certain health care and life insurance benefits to eligible retirees and their dependents. The cost of these benefits is
recognized over the period the employee provides credited services to the Company. Substantially all of our U.S. and Canadian
employees become eligible for retiree health care benefits after reaching age 55 or in the case of employees of Pitney Bowes
Management Services after reaching age 60 and with the completion of the required service period. U.S. employees hired after
January 1, 2005, and Canadian employees hired after April 1, 2005, are not eligible for retiree health care benefits.