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AVNET, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)
Thefollowingtableoutlineschangesinbenefitobligations,planassetsandthefundedstatusofthePlanasoftheendof
fiscal2016and2015:
July 2, June 27,
2016 2015
(Thousands)
Changesinbenefitobligations:
Benefitobligationsatbeginningofyear $ 513,406 $ 457,167
Servicecost 39,740 39,492
Interestcost 21,310 17,797
Actuarialloss 41,799 21,796
Benefitspaid (27,744) (22,846)
Benefitobligationsatendofyear $ 588,511 $ 513,406
Changesinplanassets:
Fairvalueofplanassetsatbeginningofyear $ 484,408 $ 449,960
Actualreturnonplanassets 19,425 17,294
Benefitspaid (27,744) (22,846)
Contributions 40,000 40,000
Fairvalueofplanassetsatendofyear $ 516,089 $ 484,408
Fundedstatusoftheplanrecognizedasanon-currentliability $ (72,422)$ (28,998)
Amountsrecognizedinaccumulatedothercomprehensiveincome:
Unrecognizednetactuariallosses $ 235,747 $ 185,819
Unamortizedpriorservicecredits (2,903) (4,476)
$ 232,844 $ 181,343
Otherchangesinplanassetsandbenefitobligationsrecognizedinothercomprehensiveincome:
Netactuarialgain $ 62,659 $ 40,723
Amortizationofnetactuariallosses (12,731) (13,007)
Amortizationofpriorservicecredits 1,573 1,573
$ 51,501 $ 29,289
Included in accumulated other comprehensive income at July 2, 2016 is a before tax expense of $235.7 million of net
actuarial losses which have not yet been recognized in net periodic pension cost, of which $15.4 million is expected to be
recognizedasacomponentofnetperiodicpensioncostduringfiscal2017.Alsoincludedisabeforetaxbenefitof$2.9millionof
prior service credits that have not yet been recognized in net periodic pension costs, of which $1.6 million is expected to be
recognizedasacomponentofnetperiodicpensioncostsduringfiscal2017.
Assumptionsusedtocalculateactuarialpresentvaluesofbenefitobligationsareasfollows:
2016 2015
Discountrate 3.4 % 4.3 %
ThediscountrateselectedbytheCompanyforthePlanreflectsthecurrentrateatwhichtheunderlyingliabilitycouldbe
settledatthemeasurementdateasofJuly2,2016.Infiscal2016,theCompanychangedthemethodusedtoestimatethediscount
rate for the Plan as described further below. The change does not affect the measurement of our pension obligation andwas
appliedprospectivelyasachangeinestimate.Theestimateddiscountrateinfiscal2016was
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