Twenty-First Century Fox 2011 Annual Report Download - page 35

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Management’s Discussion and Analysis of Financial Condition and Results of Operations (continued)
Changes in net periodic pension expense may occur in the future due to changes in the Company’s expected rate of return on plan assets and
discount rate resulting from economic events. The following table highlights the sensitivity of the Company’s pension obligations and expense to
changes in these assumptions, assuming all other assumptions remain constant:
Changes in Assumption Impact on Annual Pension Expense Impact on PBO
0.25 percentage point decrease in
discount rate Increase $16 million Increase $128 million
0.25 percentage point increase in
discount rate Decrease $16 million Decrease $128 million
0.25 percentage point decrease in
expected rate of return on assets Increase $7 million —
0.25 percentage point increase in
expected rate of return on assets Decrease $7 million —
Fiscal 2012 net periodic pension expense for the Company’s pension plans is expected to be approximately $146 million as compared to $168
million for fiscal 2011. The decrease is primarily due to an improved asset return which reduces the amount of deferred losses recognized in net
periodic pension expense as noted above.
Recent Accounting Pronouncements
See Note 2 to the Consolidated Financial Statements of News Corporation for discussion of recent accounting pronouncements.
2011 Annual Report 33