Federal Express 2011 Annual Report Download - page 59

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57
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
The following table provides a reconciliation of the changes in the pension and postretirement healthcare plans’ benefit obligations and fair
value of assets over the two–year period ended May 31, 2011 and a statement of the funded status as of May 31, 2011 and 2010 (in millions):
Pension Plans
Postretirement
Healthcare Plans
2011 2010 2011 2010
Accumulated Benefit Obligation ("ABO") $ 16,806 $ 14,041
Changes in Projected Benefit Obligation ("PBO") and
Accumulated Postretirement Benefit Obligation (“APBO”)
PBO/APBO at the beginning of year $ 14,484 $ 11,050 $ 565 $ 433
Service cost 521 417 31 24
Interest cost 900 823 34 30
Actuarial loss 1,875 2,607 44 102
Benefits paid (468) (391) (48) (45)
Other 60 (22) 22 21
PBO/APBO at the end of year $ 17,372 $ 14,484 $ 648 $ 565
Change in Plan Assets
Fair value of plan assets at the beginning of year $ 13,295 $ 10,812 $ – $ –
Actual return on plan assets 2,425 1,994 – –
Company contributions 557 900 26 24
Benefits paid (468) (391) (48) (45)
Other 32 (20) 22 21
Fair value of plan assets at the end of year $ 15,841 $ 13,295 $ – $ –
Funded Status of the Plans $ (1,531) $ (1,189) $ (648) $ (565)
Amount Recognized in the Balance Sheet at May 31:
Current pension, postretirement healthcare and other
benefit obligations $ (33) $ (30) $ (31) $ (28)
Noncurrent pension, postretirement healthcare and other
benefit obligations (1,498) (1,159) (617) (537)
Net amount recognized $ (1,531) $ (1,189) $ (648) $ (565)
Amounts Recognized in AOCI and not yet reflected in
Net Periodic Benefit Cost:
Net actuarial loss (gain) $ 5,386 $ 5,157 $ (85) $ (134)
Prior service (credit) cost and other (993) (1,106) 2 2
Total $ 4,393 $ 4,051 $ (83) $ (132)
Amounts Recognized in AOCI and not yet reflected in
Net Periodic Benefit Cost expected to be amortized in
next year’s Net Periodic Benefit Cost:
Net actuarial loss (gain) $ 307 $ 284 $ (1) $ (5)
Prior service credit and other (112) (113) – –
Total $ 195 $ 171 $ (1) $ (5)