TJ Maxx 2015 Annual Report Download - page 88

In addition to the plans described above, TJX also maintains retirement/deferred savings plans for eligible
associates at its foreign subsidiaries. We contributed $9.7 million for these plans in fiscal 2016, $9.3 million for these
plans in fiscal 2015 and $8.1 million in fiscal 2014.
Multiemployer Pension Plans: TJX contributes to certain multiemployer defined benefit pension plans under the
terms of collective-bargaining agreements that cover union-represented employees. TJX contributed $13.4 million in
fiscal 2016, $11.5 million in fiscal 2015 and $11.5 million in fiscal 2014 to the National Retirement Fund (EIN #13-
6130178) and was listed in the plan’s Form 5500 as providing more than 5% of the total contributions for the plan
year ending December 31, 2014. Based on information TJX received from the plan, the Pension Protection Act Zone
Status of the National Retirement Fund is Critical and a rehabilitation plan has been implemented.
The risks of participating in multiemployer pension plans are different from the risks of single-employer pension
plans in certain respects, including the following: (a) assets contributed to the multiemployer plan by one employer
may be used to provide benefits to employees of other participating employers; (b) if a participating employer stops
contributing to the plan, the unfunded obligations of the plan may be borne by the remaining participating employers;
(c) if we cease to have an obligation to contribute to a multiemployer plan in which we had been a contributing
employer, we may be required to pay to the plan an amount based on our allocable share of the underfunded status
of the plan, referred to as a withdrawal liability.
Postretirement Medical:TJX has maintained a postretirement medical plan that provides limited postretirement
medical benefits to retirees who are eligible for the defined benefit plan and who retired at age 55 or older with ten or
more years of service. During fiscal 2006, TJX eliminated this benefit for all active associates and modified the benefit
that was offered to retirees enrolled in the plan at that time.
TJX paid $161,000 of benefits in fiscal 2016 and has a postretirement liability of $1 million as of January 31, 2016,
representing the present value of future benefits TJX expected to pay. The amendment to the plan in fiscal 2006
resulted in a negative plan amendment of $46.8 million, which was being amortized over the average remaining life of
the active participants. As of January 31, 2016 the unamortized balance of $6.2 million was included in accumulated
other comprehensive income (loss). During fiscal 2016 there was a pre-tax benefit of $3.5 million reflected in the
consolidated statements of income as it relates to this postretirement medical plan.
During fiscal 2017, TJX decided to terminate the plan and make a discretionary lump sum payment to
participants. The settlement of the liability and the recognition of the remaining negative plan amendment is expected
to result in a pre-tax benefit of $5.6 million in the first quarter of fiscal 2017.
Note J. Long-Term Debt and Credit Lines
The table below presents long-term debt, exclusive of current installments, as of January 30, 2016 and
January 31, 2015. All amounts are net of unamortized debt discounts.
In thousands
January 30,
2016
January 31,
2015
General corporate debt:
6.95% senior unsecured notes, maturing April 15, 2019 (effective interest rate of
6.98% after reduction of unamortized debt discount of $223 and $294 in fiscal
2016 and 2015, respectively) $ 374,777 $ 374,706
2.50% senior unsecured notes, maturing May 15, 2023 (effective interest rate of
2.51% after reduction of unamortized debt discount of $323 and $367 in fiscal
2016 and 2015, respectively) 499,677 499,633
2.75% senior unsecured notes, maturing June 15, 2021 (effective interest rate of
2.76% after reduction of unamortized debt discount of $400 and $475 in fiscal
2016 and 2015, respectively) 749,600 749,525
Long-term debt $1,624,054 $1,623,864
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