First Data 2011 Annual Report Download - page 107

The following table presents the aggregate amounts charged to expense in connection with these plans:
Year ended December 31,
(in millions) Amount
2011 $ 42.7
2010 41.1
2009 43.3
Defined Benefit Plans
The Company has a defined benefit pension plan which is frozen and covers certain full-time employees in the U.S. The
Company also has separate plans covering certain employees located primarily in the United Kingdom, Greece, Austria and Germany.
As of June 30, 2009, the Company froze, with respect to future accruals, benefit increases relating to length of service,
compensation and other factors under its defined benefit pension plan that covers certain employees in the United Kingdom. The
Company accounted for the elimination of benefits as a curtailment which resulted in a re-measurement of the plan assets and benefit
obligation. In addition, the Company changed certain assumptions used in the measurement of its benefit obligation. The re-
measurement resulted in a net increase to the net pension liability and a loss, net of income taxes, recorded in other comprehensive
income of approximately $53 million due most significantly to a change in the discount rate assumption. This loss was partially offset
by a benefit recorded, net of income taxes, to other comprehensive income of approximately $8 million related to the curtailment of
the plan. The curtailment will also decrease service cost expense in future periods.
In December 2011, the Company received judicial confirmation that a change in U.K. law restricted the Company's ability to
eliminate the effects of future compensation increases on the plan's benefits associated with the curtailment. As a result, benefits
related to future compensation increases have been reinstated but the plan remains frozen to benefit accruals related to length of
service and all other factors. Due to this change, the Company recorded a loss of approximately $7 million, net of income taxes, in
other comprehensive income.
The Company uses December 31 as the measurement date for its plans.
The following table provides a reconciliation of the changes in the plans' projected benefit obligations and fair value of assets
for the years ended December 31, 2011 and 2010, as well as a statement of the funded status as of the respective period ends.
As of December 31,
(in millions) 2011 2010
Change in benefit obligation
Benefit obligation at beginning of period $ 725.9 $ 741.5
Service costs 6.1 3.1
Interest costs 39.8 40.0
U.K. plan benefit reinstatement 10.9 —
Actuarial (gain)/loss 35.7 (12.0)
Termination benefits (a) 0.9 1.1
Benefits paid (27.5) (27.3)
Foreign currency translation 6.7 (20.5)
Benefit obligation at end of period 798.5 725.9
Change in plan assets
Fair value of plan assets at the beginning of period 656.3 598.4
Actual return on plan assets 53.9 70.0
Company contributions 29.9 31.4
Benefits paid (25.7) (26.8)
Foreign currency translation 6.7 (16.7)
Fair value of plan assets at end of period 721.1 656.3
Funded status of the plans $ (77.4)$ (69.6)
(a) Related to restructuring activities in Europe.
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