Tecumseh Products 2014 Annual Report Download - page 51

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49
Information for pension plans with a projected benefit obligation in excess of plan assets:
December 31,
(in millions) 2014 2013
Projected benefit obligation $ 176.8 $ 164.8
Accumulated benefit obligation $ 172.6 $ 160.9
Fair value of plan assets $ 146.2 $ 144.0
Components of net periodic expense (benefit) during the year:
Pension Benefits Other Benefits
(in millions) 2014 2013 2012 2014 2013 2012
Service cost $ 0.9 $ 2.2 $ 2.4 $ — $ 0.0 $ 0.0
Interest cost 7.1 6.8 7.2 — 0.0 0.1
Expected return on plan assets (8.4)(8.5)(8.4) — 0.0 0.0
Amortization of net loss (gain) 1.0 2.7 3.0 — (12.9)(9.2)
Amortization of unrecognized prior service costs (0.2)(0.2)(0.2)—
(2.1)(3.9)
Curtailment and settlement gain —————
(45.0)
Net periodic expense (benefit) $ 0.4 $ 3.0 $ 4.0 $ — $ (15.0)$ (58.0)
Additional Information
Assumptions
Assumptions used to determine benefit obligations as of December 31:
Pension Benefits Other Benefits
2014 2013 2014 2013
U.S.-Based Plans:
Discount rate 3.75% 4.50% N/A N/A
Rate of compensation increase N/A N/A N/A N/A
Europe-Based Plans:
Discount rate 1.50% 2.75% 1.25% 2.25%
Rate of compensation increase 3.00% 3.00% N/A N/A
India-Based Plans:
Discount rate 8.25% 9.00% N/A N/A
Rate of compensation increase 6.85% 6.00% N/A N/A
Assumptions used to determine net periodic benefit costs for the years ended December 31:
Pension Benefits Other Benefits
2014 2013 2014 2013
U.S.-Based Plans:
Discount rate 4.50% 3.75% N/A N/A
Expected long-term return on plan assets 6.00% 6.00% N/A N/A
Rate of compensation increase N/A 3.50% N/A N/A
Europe-Based Plans:
Discount rate 2.75% 2.75% 2.25% N/A
Expected long-term return on plan assets N/A N/A N/A N/A
Rate of compensation increase 3.00% 3.00% N/A N/A
India-Based Plans:
Discount rate 9.00% 8.25% N/A N/A
Expected long-term return on plan assets 9.25% 9.25% N/A N/A
Rate of compensation increase 6.00% 6.00% N/A N/A