Canon 2005 Annual Report Download - page 74

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72
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS, CONTINUED
CANON INC. AND SUBSIDIARIES
December 31 Thousands of
Millions of yen U.S. dollars
2005 2004 2005
Change in benefit obligations:
Benefit obligations at beginning of year ¥ 582,212 752,390 $ 4,934,000
Service cost 25,801 26,571 218,652
Interest cost 16,172 19,108 137,051
Plan participants’ contributions 1,161 1,142 9,839
Amendments (6,212) (2,781) (52,644)
Actuarial gain 3,340 (5,728) 28,305
Benefits paid (12,239) (14,143) (103,720)
Settlement on plan termination —(6,482) —
Transfer of substitutional portion of EPFs to the Japanese government —(191,784) —
Acquisition 10,106 84 85,644
Foreign currency exchange rate changes 167 3,957 1,415
Other (15) (122) (127)
Benefit obligations at end of year 620,493 582,212 5,258,415
Change in plan assets:
Fair value of plan assets at beginning of year 418,798 472,228 3,549,136
Actual return on plan assets 93,844 32,744 795,288
Employer contributions 40,059 31,018 339,483
Plan participants’ contributions 1,161 1,142 9,839
Benefit paid (12,239) (14,143) (103,720)
Settlement on plan termination —(2,274) —
Transfer of substitutional portion of EPFs to the Japanese government —(104,992) —
Acquisition 3,486 —29,542
Foreign currency exchange rate changes 409 3,075 3,466
Fair value of plan assets at end of year 545,518 418,798 4,623,034
Funded status (74,975) (163,414) (635,381)
Unrecognized actuarial loss 110,424 191,376 935,796
Unrecognized prior service cost (101,552) (102,427) (860,610)
Unrecognized net transition obligation being recognized over 22 years 3,955 4,300 33,517
Net amount recognized ¥ (62,148) (70,165) $ (526,678)
Amounts recognized in the consolidated balance sheets consist of:
Prepaid pension cost ¥ 3,089 3,142 $ 26,178
Accrued pension and severance cost (80,430) (132,522) (681,610)
Intangible assets —57 —
Accumulated other comprehensive income (loss) 15,193 59,158 128,754
Net amount recognized ¥ (62,148) (70,165) $ (526,678)
Reconciliations of beginning and ending balances of the
benefit obligations and the fair value of the plan assets are as
follows:
The accumulated benefit obligation for all defined benefit
plans was as follows:
December 31 Thousands of
Millions of yen U.S. dollars
2005 2004 2005
Accumulated benefit obligation ¥578,627 540,615 $ 4,903,619