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N
Darden Restaurants, Inc. Annual Report 2007 51
Notes to Consolidated Financial Statements
The following provides a reconciliation of the changes in the plan benefit obligation, fair value of plan assets and the funded status of the
plans as of February 28, 2007 and 2006 (in accordance with the provisions of SFAS No. 158, we will be required to value our plan assets and
funded status as of the end of our fiscal year starting in fiscal 2009 and the adoption of the requirement is considered to have minimal impact
on our financial condition):
Defined Benefit Plans Postretirement Benefit Plan
(in millions) 2007 2006 2007 2006
Change in Benefit Obligation:
Benefit obligation at beginning of period $168.3 $158.2 $ 17.7 $ 16.4
Service cost 6.0 5.2 0.7 0.7
Interest cost 9.0 8.1 1.0 0.9
Plan amendments – – (0.3) –
Participant contributions – – 0.2 0.2
Benefits paid (7.2) (7.0) (0.8) (0.7)
Actuarial loss (gain) 1.6 3.8 1.6 0.2
Benefit obligation at end of period $177.7 $168.3 $ 20.1 $ 17.7
Change in Plan Assets:
Fair value at beginning of period $175.3 $158.1 $ – $ –
Actual return on plan assets 21.2 24.0 – –
Employer contributions 0.4 0.2 0.6 0.5
Participant contributions – – 0.2 0.2
Benefits paid (7.2) (7.0) (0.8) (0.7)
Fair value at end of period $189.7 $175.3 $ – $ –
Reconciliation of the Plan’s Funded Status:
Funded status at end of period $ 12.0 $ 7.0 $(20.1) $(17.7)
Unrecognized prior service cost – 0.3 – –
Unrecognized actuarial loss – 46.7 – 4.3
Contributions for March to May 0.1 0.1 0.2 0.1
Prepaid (accrued) benefit costs $ 12.1 $ 54.1 $(19.9) $(13.3)
Amounts recognized in our consolidated balance sheets for our defined benefit and postretirement benefit plans at May 28, 2006
reflected the net of cumulative employer contributions and net periodic benefit costs recognized in earnings. Amounts recognized at May 27,
2007 reflected the net funded status of each of our defined benefit and postretirement benefit plans presented as either an asset (over-
funded) or a liability (under-funded).
Components of the Consolidated Balance Sheets:
Noncurrent assets $17.1 $58.4 $ – $ –
Noncurrent liabilities (5.0) (5.1) (19.9) (13.3)
Accumulated other comprehensive income
(loss) – minimum pension liability – 0.8 – –
Net amounts recognized $12.1 $54.1 $(19.9) $(13.3)
Note16