Albertsons 2007 Annual Report Download - page 39

P
ension Plan / Health and Wel
f
are Plan Contingencies
Th
e Compan
y
contr
ib
utes to var
i
ous mu
l
t
i
-emp
l
o
y
er pens
i
on p
l
ans un
d
er co
ll
ect
i
ve
b
ar
g
a
i
n
i
n
g
a
g
reements
,
primaril
y
defined benefit pension plans. These plans
g
enerall
y
provide retirement benefits to participants based
o
nt
h
e
i
r serv
i
ce to contr
ib
ut
i
ng emp
l
oyers. Base
d
on ava
il
a
bl
e
i
n
f
ormat
i
on, t
h
e Company
b
e
li
eves t
h
at some o
f
t
h
emu
l
t
i
-emp
l
o
y
er p
l
ans to w
hi
c
hi
t contr
ib
utes are un
d
er-
f
un
d
e
d
. Compan
y
contr
ib
ut
i
ons to t
h
ese p
l
ans ar
e
l
ikel
y
to continue to increase in the near term. However, the amount of an
y
increase or decrease in contributions
w
ill d
epen
d
on a var
i
ety o
ff
actors,
i
nc
l
u
di
ng t
h
e resu
l
ts o
f
t
h
e Company’s co
ll
ect
i
ve
b
arga
i
n
i
ng e
ff
orts,
i
nvestment return on t
h
e assets
h
e
ld i
nt
h
ep
l
ans, act
i
ons ta
k
en
b
yt
h
e trustees w
h
o manage t
h
ep
l
ans, an
d
re
q
uirements under the Pension Protection Act and /or Section 412 (e) of the Internal Revenue Code
.
Furt
h
ermore,
if
t
h
e Company were to ex
i
t certa
i
n mar
k
ets or ot
h
erw
i
se cease ma
ki
ng contr
ib
ut
i
ons to t
h
ese p
l
ans
a
tt
hi
st
i
me,
i
t cou
ld
tr
i
gger a w
i
t
hd
rawa
lli
a
bili
ty t
h
at wou
ld
requ
i
re t
h
e Company to
f
un
di
ts proport
i
onate s
h
are
o
fa
p
lan’s unfunded vested benefits
.
T
he Compan
y
also makes contributions to multi-emplo
y
er health and welfare plans in amounts set forth in th
e
re
l
ate
d
co
ll
ect
i
ve
b
arga
i
n
i
ng agreements. Some o
f
t
h
eco
ll
ect
i
ve
b
arga
i
n
i
ng agreements conta
i
n reserve
requ
i
rements t
h
at ma
y
tr
igg
er unant
i
c
i
pate
d
contr
ib
ut
i
ons resu
l
t
i
n
gi
n
i
ncrease
dh
ea
l
t
h
care expenses. I
f
t
h
ese
h
ealth care provisions cannot be rene
g
otiated in a manner that reduces the prospective health care cost as th
e
C
ompany
i
nten
d
s, t
h
e Company’s Se
lli
ng an
d
a
d
m
i
n
i
strat
i
ve expenses cou
ld i
ncrease
i
nt
h
e
f
uture.
Th
e
f
o
ll
ow
i
ng ta
bl
e represents t
h
e Company’s s
i
gn
ifi
cant contractua
l
o
bli
gat
i
ons at Fe
b
ruary 24, 2007
.
Payments Due Per Perio
d
T
ota
l
Fi
sca
l
2
008
Fi
sca
l
2
009
-2
0
1
0
F
i
scal
2
0
11-2
0
12 Thereafter
Contractua
l
O
bli
gat
i
ons
:
D
ebt (1) $ 8,398 $ 302 $1,107 $2,059 $ 4,930
Interest on lon
g
-term debt 6,172
5
99 1,117 871 3,
5
8
5
O
perating leases (2) 3,824 359 717 567 2,181
Capital and direct financing leases (3) 2,304 153 306 291 1,55
4
B
enefit obligations (4) 7,824 116 222 233 7,2
5
3
Construction commitments 200 17
5
2
5
—
—
D
eferred income taxes 5
9
3
9
2 152 184 16
5
P
urchase obligations (5) 2,372 1,197 1,148 27
—
S
elf-insurance obligations 1,104 346 360 1
5
6 242
Total $32,791 $3,339 $5,154 $4,388 $19,910
(1) The Compan
y
has medium-term notes and debentures that contain put options that would require the
Company to repay borrowed amounts prior to maturity. Medium-term notes of
$
30 and
$
49 mature in Jul
y
2027 an
d
Apr
il
2028, respect
i
ve
l
y, an
dh
ave put opt
i
ons exerc
i
sa
bl
e
i
nJu
l
y 2007 an
d
Apr
il
2008
,
respectivel
y
. Debentures in the amount of $209 mature in Ma
y
2037 and have put options exercisable in
May 2009. Convertible debentures in the amount of
$
53 mature in 2031 and the holders have the ability to
c
onvert t
h
e
d
e
b
entures
i
nto s
h
ares o
f
t
h
e Company’s common stoc
k
an
d
t
h
e Company
h
as announce
di
t
s
i
ntent to use cash to settle the debentures. For the purpose of the table above, pa
y
ments of these obli
g
ation
s
are assumed to occur at scheduled maturity
.
(2) Represents the minimum rents payable under operating leases, offset by expected sublease income of $242,
$
58, $79, $48 and $57, respectivel
y.
(3) Rent payments are net of expected sublease income of
$
101,
$
16,
$
26,
$
21 and
$
38, respectively
.
33