DuPont 2013 Annual Report Download - page 87

E. I. du Pont de Nemours and Company
Notes to the Consolidated Financial Statements (continued)
(Dollars in millions, except per share)
F-40
The company's pension plans hold Level 3 assets which are primarily ownership interests in investment partnerships and trusts
that own private market securities and real estate. Fair value is generally based on the company's units of ownership and net asset
value of the investment entity or the company's share of the investment entity's total equity. The table below presents a rollforward
of activity for these assets for the years ended December 31, 2013 and 2012:
Level 3 Assets
Total U.S. Equity Securities
Non-U.S.
Equity
Securities
Debt-
Corporate
Issued
Debt-
Asset-
Backed Hedge Funds
Private
Market
Securities Real Estate
Beginning balance at December 31,
2011 $ 4,500 $ 28 $ — $ 30 $ 4 $ 392 $ 2,959 $ 1,087
Realized gain (loss) 14 (3) — — — (6) 23 —
Change in unrealized gain (loss) 253 (8) — (10) — 17 179 75
Purchases, sales and settlements, net (134) (1) — 7 (2) (16) (114) (8)
Transfers (out) in of Level 3 (123) 2 — — — — (125) —
Ending balance at December 31, 2012 $ 4,510 $ 18 $ — $ 27 $ 2 $ 387 $ 2,922 $ 1,154
Realized gain (loss) 42 — — — — 3 39 —
Change in unrealized gain (loss) 192 5 1 (8) — 22 95 77
Purchases, sales and settlements, net (278) 6 1 (1) — 22 (181) (125)
Transfers in (out) of Level 3 4 (2) 1 1 2 — 2 —
Ending balance at December 31, 2013 $ 4,470 $ 27 $ 3 $ 19 $ 4 $ 434 $ 2,877 $ 1,106
Cash Flow
Contributions
The company made a contribution of $500 to its principal U.S. pension plan in 2012 and no contributions were made in 2011 or
2013. No contributions are expected to be made to the principal U.S. pension plan in 2014. The company contributed $313 and
$207 to its pension plans other than the principal U.S. pension plan and its other long-term employee benefit plans, respectively,
in 2013. The company expects to contribute approximately $344 and $224 to its pension plans other than the principal U.S. pension
plan and its other long-term employee benefit plans, respectively, in 2014.
Estimated Future Benefit Payments
The following benefit payments, which reflect future service, as appropriate, are expected to be paid:
Pension
Benefits Other Benefits
2014 $ 1,620 $ 224
2015 1,611 219
2016 1,618 214
2017 1,639 209
2018 1,648 205
Years 2019-2023 8,482 937
Defined Contribution Plan
The company sponsors several defined contribution plans, which cover substantially all U.S. employees. The most significant is
the U.S. parent company's Retirement Savings Plan (the Plan), which reflects the 2009 merger of the Retirement Savings Plan
and the Savings and Investment Plan. This Plan includes a non-leveraged Employee Stock Ownership Plan (ESOP). Employees
are not required to participate in the ESOP and those who do are free to diversify out of the ESOP. The purpose of the Plan is to
provide retirement savings benefits for employees and to provide employees an opportunity to become stockholders of the company.
The Plan is a tax qualified contributory profit sharing plan, with cash or deferred arrangement and any eligible employee of the
company may participate. The company contributes 100 percent of the first 6 percent of the employee's contribution election and
also contributes 3 percent of each eligible employee's eligible compensation regardless of the employee's contribution.