Pizza Hut 2001 Annual Report Download - page 56

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54 TRICON GLOBAL RESTAURANTS, INC. AND SUBSIDIARIES
The change in benefit obligation and plan assets and reconciliation of funded status is as follows:
Postretirement
Pension Benefits Medical Benefits
2001 2000 2001 2000
Change in benefit obligation
Benefit obligation at beginning of year $ 351 $ 315 $48 $45
Service cost 20 19 22
Interest cost 28 24 43
Plan amendments 1———
Special termination benefits 2———
Curtailment (gain) (3) (5) —(2)
Benefits and expenses paid (17) (19) (3) (3)
Actuarial loss 38 17 73
Benefit obligation at end of year $ 420 $ 351 $58 $48
Change in plan assets
Fair value of plan assets at beginning of year $ 313 $ 290
Actual return on plan assets (51) 39
Employer contributions 48 4
Benefits paid (17) (19)
Administrative expenses (2) (1)
Fair value of plan assets at end of year $ 291 $ 313
Reconciliation of funded status
Funded status $ (129) $ (38) $ (58) $ (48)
Unrecognized actuarial loss (gain) 87 (30) 12 5
Unrecognized prior service cost 45—(1)
Net amount recognized at year-end $ (38) $ (63) $ (46) $ (44)
Amounts recognized in the statement of financial position consist of:
Accrued benefit liability $ (84) $ (63) $ (46) $ (44)
Intangible asset 8———
Accumulated other comprehensive loss 38 ———
$ (38) $ (63) $ (46) $ (44)
Other comprehensive loss attributable to change
in additional minimum liability recognition $38 $—
Additional year-end information for pension plans with
benefit obligations in excess of plan assets
Benefit obligation $ 420 $42
Fair value of plan assets 291 —
Additional year-end information for pension plans with
accumulated benefit obligations in excess of plan assets
Benefit obligation $ 420 $42
Accumulated benefit obligation 369 21
Fair value of plan assets 291 —
The assumptions used to compute the information above are set forth below:
Pension Benefits Postretirement Medical Benefits
2001 2000 1999 2001 2000 1999
Discount rate 7.6% 8.0% 7.8% 7.6% 8.3% 7.6%
Long-term rate of return on plan assets 10.0% 10.0% 10.0% ———
Rate of compensation increase 4.6% 5.0% 5.5% 4.6% 5.0% 5.5%