Chrysler 2012 Annual Report Download - page 192

191
Consolidated
Financial Statements
at 31 December 2012
Provided that the above plan assets are measured at fair value at 31 December 2012, there was no exposure to sovereign debt securities which might have
suffered impairment losses.
The present value of the defined benefit obligations, the fair value of plan assets and the surplus or deficit of the plans at the end of 2012 and the four
previous years are as follows:
(€ million)
At
31 December 2012
At
31 December 2011
At
31 December 2010 (*)
At
31 December 2009
At
31 December 2008
Present value of obligation:
Pension benefits 26,972 25,201 522 2,568 2,267
Health care and life insurance plans 2,289 2,070 1 794 848
Employee leaving entitlements in Italy 795 763 811 1,001 1,062
Others 164 156 127 258 288
Fair value of plan assets:
Pension benefits 20,048 20,004 327 1,796 1,554
Health care and life insurance plans -- - 46 39
Surplus (deficit) of the plan:
Pension benefits (6,924) (5,197) (195) (772) (713)
Health care and life insurance plans (2,289) (2,070) (1) (748) (809)
Employee leaving entitlements in Italy (795) (763) (811) (1,001) (1,062)
Others (164) (156) (127) (258) (288)
(*) The balances at 31 December 2010 relate to Fiat Group post demerger to Fiat Industrial.
The best estimate of expected contributions to pension benefits and health care and life insurance plans for 2013 is as follows:
(€ million) 2013
Pension benefits 793
Health care and life insurance plans 145
Others 5
Total expected contributions 943
Employer contributions to funded pension plans of Chrysler are expected to be €757 million in 2013, of which €486 million (€399 million to U.S. plans and
€87 million to Canadian plans) represent the discretionary contributions and €271 million (€5 million to U.S. plans and e €266 million to Canadian plans)
will be made to satisfy minimum funding requirement.
In July 2012, a U.S. pension funding relief measure known as the Moving Ahead for Progress in the 21st Century Act (“MAP-21”) was signed into law. The
aim of MAP-21 is to ease employer funding obligations so that assets are available for capital improvements, workforce expansions and other economic
growth stimuli. Under MAP-21, employers can calculate defined benefit pension plan liabilities for funding purposes using discount rates based on a 25-year
average of interest rates, which has the effect of increasing discount rates and reducing minimum funding requirements. Previously, the discount rates used
to calculate liabilities were solely based upon a two-year average of interest rates, which resulted in higher minimum funding requirements due to recent
interest rates being low. The change in discount rates used to determine our minimum funding requirements did not impact the reported funded status of
our U.S. plans of Chrysler.
Additionally, during the second half of 2012, Canadian pension regulators extended the filing deadline for actuarial valuation reports to 28 February 2013.
Required contributions are due within sixty days following the filing deadline.