Prudential 2011 Annual Report Download - page 226

PRUDENTIAL FINANCIAL, INC.
Notes to Consolidated Financial Statements
18. EMPLOYEE BENEFIT PLANS (continued)
Changes in Fair Value of Level 3 Postretirement Assets
Year Ended December 31, 2011
Fixed
Maturities–
Corporate Debt–
Corporate
Bonds
Fixed
Maturities–
Other
(in millions)
Fair Value, beginning of period ....................................................................... $2 $4
Actual Return on Assets:
Relating to assets still held at the reporting date .................................................. 0 0
Relating to assets sold during the period ........................................................ 0 0
Purchases, sales and settlements .................................................................. 0 (2)
Transfers in and /or out of Level 3 ................................................................. 0 0
Fair Value, end of period ............................................................................ $2 $2
Year Ended December 31, 2010
Fixed
Maturities–
Corporate Debt–
Corporate
Bonds
Fixed
Maturities–
Corporate Debt–
CMO
Fixed
Maturities–
Other
(in millions)
Fair Value, beginning of period ...................................................... $1 $2 $12
Actual Return on Assets:
Relating to assets still held at the reporting date ................................. 0 0 0
Relating to assets sold during the period ....................................... 0 0 0
Purchases, sales and settlements ................................................. 1 0 (8)
Transfers in and /or out of Level 3 ................................................ 0 (2) 0
Fair Value, end of period ........................................................... $2 $0 $ 4
A summary of pension and postretirement plan asset allocation as of the year ended December 31, are as follows:
Pension Percentage of Plan Assets
Postretirement Percentage of Plan
Assets
2011 2010 2011 2010
Asset Category
U.S. Equities ....................................... 8% 9% 46% 43%
International Equities ................................. 2 3 4 4
Fixed Maturities ..................................... 73 72 48 52
Short-term Investments ............................... 2 0 2 1
Real Estate ......................................... 4 2 0 0
Other ............................................. 11 14 0 0
Total .............................................. 100% 100% 100% 100%
The expected benefit payments for the Company’s pension and postretirement plans, as well as the expected Medicare Part D subsidy
receipts related to the Company’s postretirement plan, for the years indicated are as follows:
Pension
Benefits
Other
Postretirement
Benefits
Other
Postretirement
Benefits–Medicare
Part D Subsidy
Receipts
(in millions)
2012 .............................................................................. $ 718 $ 195 $ 19
2013 .............................................................................. 648 196 20
2014 .............................................................................. 658 195 21
2015 .............................................................................. 662 193 21
2016 .............................................................................. 670 192 22
2017-2021 .......................................................................... 3,494 930 112
Total .............................................................................. $6,850 $1,901 $215
224 Prudential Financial, Inc. 2011 Annual Report