Albertsons 2011 Annual Report Download - page 59

Options and restricted stock of 24 shares were outstanding during fiscal 2011 and 22 shares were outstanding
during fiscal 2010 and 2009, but were excluded from the computation of diluted net earnings per share
because they were antidilutive.
NOTE 12—BENEFIT PLANS
Substantially all employees of the Company and its subsidiaries are covered by various contributory and non-
contributory pension, profit sharing or 401(k) plans. Union employees participate in multi-employer retirement
plans under collective bargaining agreements, unless the collective bargaining agreement provides for
participation in plans sponsored by the Company. In addition to sponsoring both defined benefit and defined
contribution pension plans, the Company provides healthcare and life insurance benefits for eligible retired
employees under postretirement benefit plans. The Company also provides certain health and welfare benefits,
including short-term and long-term disability benefits to inactive disabled employees prior to retirement. The
terms of the postretirement benefit plans vary based on employment history, age and date of retirement. For
most retirees, the Company provides a fixed dollar contribution and retirees pay contributions to fund the
remaining cost.
Effective December 31, 2007, the Company authorized amendments to the SUPERVALU Retirement Plan and
certain supplemental executive retirement benefit plans whereby service crediting ended in these plans and no
employees will become eligible to participate in these plans after December 31, 2007. Pay increases will
continue to be reflected in the amount of benefit earned in these plans until December 31, 2012.
Effective January 1, 2009, the Company authorized an amendment to the SUPERVALU Retiree Benefit Plan
to provide for certain insured Medicare benefits. The result of this amendment was a reduction in the other
postretirement benefit obligation of $37 with a corresponding decrease to other comprehensive loss, net of tax.
The benefit obligation, fair value of plan assets and funded status of the defined benefit pension plans and
other postretirement benefit plans consisted of the following:
2011 2010 2011 2010
Pension Benefits
Other Postretirement
Benefits
Change in Benefit Obligation
Benefit obligation at beginning of year $ 2,320 $ 1,922 $ 131 $ 117
Service cost 8 6 2 2
Interest cost 137 138 8 8
Transfers (1) (1) — —
Actuarial loss (gain) 146 335 13 10
Benefits paid (95) (80) (6) (6)
Benefit obligation at end of year 2,515 2,320 148 131
Changes in Plan Assets
Fair value of plan assets at beginning of year 1,557 1,008 — —
Actual return on plan assets 272 503 — —
Employer contributions 163 126 6 6
Plan participants’ contributions — — 8 7
Benefits paid (96) (80) (14) (13)
Fair value of plan assets at end of year 1,896 1,557 — —
Funded status at end of year $ (619) $ (763) $ (148) $ (131)
For the defined benefit pension plans, the benefit obligation is the projected benefit obligation. For other
postretirement benefit plans, the benefit obligation is the accumulated postretirement benefit obligation. The
Company’s accumulated benefit obligation for the defined benefit pension plans was $2,500 and $2,300 as of
February 26, 2011 and February 27, 2010, respectively.
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