Sears 2012 Annual Report Download - page 80
Download and view the complete annual report
Please find page 80 of the 2012 Sears 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.-
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
-
114
-
115
-
116
-
117
-
118
-
119
-
120
-
121
-
122
-
123
-
124
-
125
-
126
-
127
-
128
-
129
 |
 |
SEARS HOLDINGS CORPORATION
Notes to Consolidated Financial Statements—(Continued)
80
Postretirement Obligations
2012 2011
millions SHC
Domestic Sears
Canada Total SHC
Domestic Sears
Canada Total
Change in accumulated postretirement benefit
obligation:
Beginning balance . . . . . . . . . . . . . . . . . . . . $ 253 $ 321 $ 574 $ 286 $ 303 $ 589
Interest cost . . . . . . . . . . . . . . . . . . . . . . . . . 10 14 24 13 16 29
Plan participants' contributions . . . . . . . . . . 42 — 42 43 — 43
Actuarial (gain) loss . . . . . . . . . . . . . . . . . . 9 16 25 (15) 19 4
Settlement gain . . . . . . . . . . . . . . . . . . . . . . —(22)(22) — — —
Benefits paid . . . . . . . . . . . . . . . . . . . . . . . . (67) (17)(84)(74)(17)(91)
Benefits paid - settlements. . . . . . . . . . . . . . —(18)(18) — — —
Foreign currency exchange rate impact and
other . . . . . . . . . . . . . . . . . . . . . . . . . . . . — 1 1 — — —
Balance at the measurement date . . . . . . . . . . . . $ 247 $ 295 $ 542 $ 253 $ 321 $ 574
Change in plan assets at fair value:
Beginning of year balance. . . . . . . . . . . . . . $ — $ 69 $ 69 $ — $ 90 $ 90
Actual return on plan assets. . . . . . . . . . . . . — — — — 3 3
Company contributions . . . . . . . . . . . . . . . . 25 19 44 31 1 32
Plan participants' contributions . . . . . . . . . . 42 — 42 43 — 43
Benefits paid . . . . . . . . . . . . . . . . . . . . . . . . (67) (17)(84)(74)(17)(91)
Benefits paid - settlements. . . . . . . . . . . . . . —(18)(18) — — —
Foreign currency exchange rate impact and
other . . . . . . . . . . . . . . . . . . . . . . . . . . . . . —(8)(8) — (8)(8)
Balance at the measurement date . . . . . . . . . . . . $ — $ 45 $ 45 $ — $ 69 $ 69
Funded status $ (247) $ (250) $ (497) $ (253) $ (252) $ (505)
The current portion of our liability for postretirement obligations is $27 million, which we expect to pay
during fiscal 2013.
Weighted-average assumptions used to determine plan obligations were as follows:
2012 2011 2010
SHC
Domestic Sears
Canada SHC
Domestic Sears
Canada SHC
Domestic Sears
Canada
Pension benefits: . . . . . . . . . . . . . . . .
Discount Rate . . . . . . . . . . . . . . . 4.25% 4.20% 4.90% 4.70% 5.75% 5.40%
Rate of compensation increases . N/A 3.50% N/A 3.50% N/A 3.50%
Postretirement benefits:
Discount Rate . . . . . . . . . . . . . . . 3.55% 4.20% 4.20% 4.60% 5.00% 5.40%
Rate of compensation increases . N/A 3.50% N/A 3.50% N/A 3.50%