E-Z-GO 2014 Annual Report Download - page 70

The fair value of the performance share units that vested and/or amounts paid under these awards is as follows:
(In millions)
2014
2013
2012
Fair value of awards vested
$ 20
$ 13
$ 10
Cash paid
12
11
52
Note 11. Retirement Plans
Our defined benefit and defined contribution plans cover substantially all of our employees. A significant number of our U.S.-
based employees participate in the Textron Retirement Plan, which is designed to be a “floor-offset” arrangement with both a
defined benefit component and a defined contribution component. The defined benefit component of the arrangement includes the
Textron Master Retirement Plan (TMRP) and the Bell Helicopter Textron Master Retirement Plan (BHTMRP), and the defined
contribution component is the Retirement Account Plan (RAP). The defined benefit component provides a minimum guaranteed
benefit (or “floor” benefit). Under the RAP, participants are eligible to receive contributions from Textron of 2% of their eligible
compensation but may not make contributions to the plan. Upon retirement, participants receive the greater of the floor benefit or
the value of the RAP. Both the TMRP and the BHTMRP are subject to the provisions of the Employee Retirement Income
Security Act of 1974 (ERISA). Effective on January 1, 2010, the Textron Retirement Plan was closed to new participants, and
employees hired after that date receive an additional 4% annual cash contribution to their Textron Savings Plan account based on
their eligible compensation.
We also have other funded and unfunded defined benefit pension plans that cover certain of our U.S. and foreign employees. In
addition, several defined contribution plans are sponsored by our various businesses, of which the largest plan is the Textron
Savings Plan, which is a qualified 401(k) plan subject to ERISA. Our defined contribution plans cost approximately $99 million,
$93 million and $88 million in 2014, 2013 and 2012, respectively; these amounts include $16 million, $19 million and $21 million,
respectively, in contributions to the RAP. We also provide postretirement benefits other than pensions for certain retired
employees in the U.S., which include healthcare, dental care, Medicare Part B reimbursement and life insurance benefits.
Periodic Benefit Cost
The components of net periodic benefit cost and other amounts recognized in OCI are as follows:
Pension Benefits
Postretirement Benefits
Other than Pensions
(In millions)
2014
2013
2012
2014
2013
2012
Net periodic benefit cost
Service cost
$ 109
$ 133
$ 119
$ 4
$ 6
$ 6
Interest cost
334
290
305
19
19
25
Expected return on plan assets
(462)
(418)
(407)
—
—
—
Amortization of prior service cost (credit)
15
15
16
(23)
(17)
(11)
Amortization of net actuarial loss
112
183
118
2
6
7
Net periodic benefit cost
$ 108
$ 203
$ 151
$ 2
$ 14
$ 27
Other changes in plan assets and benefit obligations
recognized in OCI
Current year actuarial loss (gain)
$ 729
$ (964)
$ 402
$ 5
$ (55)
$ 15
Current year prior service cost (credit)
12
16
—
(30)
(45)
(2)
Amortization of net actuarial loss
(112)
(183)
(118)
(2)
(6)
(7)
Amortization of prior service credit (cost)
(15)
(15)
(16)
23
17
11
Total recognized in OCI, before taxes
$ 614
$ (1,146)
$ 268
$ (4)
$ (89)
$ 17
Total recognized in net periodic benefit cost and OCI
$ 722
$ (943)
$ 419
$ (2)
$ (75)
$ 44
The estimated amount that will be amortized from Accumulated other comprehensive loss into net periodic pension costs in 2015
is as follows:
(In millions)
Pension
Benefits
Postretirement
Benefits
Other than
Pensions
Net actuarial loss
$ 156
$ 2
Prior service cost (credit)
16
(25)
Total
$ 172
$ (23)
64 Textron Inc. Annual Report • 2014