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The Fujitsu Welfare Pension Fund, in which the Company and certain consolidated subsidiaries in Japan participated, received approval
of an elimination of the future benefit obligations of the substitutional portion on March 23, 2004, and then received approval of transfer of
past benefit obligation of the substitutional portion on September 1, 2005, from the Minister of Health, Labour and Welfare. Accordingly,
Fujitsu Welfare Pension Fund changed to the Defined Benefit Corporate Plan based on the Japanese Defined Benefit Corporate Pension Law
from the Japanese Welfare Pension Plan based on the Japanese Welfare Pension Insurance Law, and concurrently a part of the pension
system was revised.
The majority of the consolidated subsidiaries outside Japan have defined benefit plans and/or defined contribution plans covering sub-
stantially all their employees. The major defined benefit pension plan provided outside Japan is the plan that Fujitsu Services Holdings PLC
(including its consolidated subsidiaries, “FS”) and Fujitsu Technology Solutions B.V. (including its consolidated subsidiaries) provide. The plan
provided by FS entitles to employees payments based on their length of service and salary. The defined benefit section of the plan was closed
to new entrants on August 31, 2000. New employees are, however, eligible for membership of the defined contribution section of the plan.
The balances of the “Projected benefit obligation and plan assets” and the “Components of net periodic benefit cost” in the plans in both
Japan and outside Japan are summarized as follows:
<In Japan>
Projected benefit obligation and plan assets
Yen
(millions)
U.S. Dollars
(thousands)
At March 31 2009 2010 2010
Projected benefit obligation ¥(1,198,318) ¥(1,268,623) $(13,641,107)
Plan assets 791,122 934,673 10,050,247
Projected benefit obligation in excess of plan assets (407,196) (333,950) (3,590,860)
Unrecognized net obligation at transition 16,467 — —
Unrecognized actuarial loss 492,968 378,619 4,071,172
Unrecognized prior service cost (reduced obligation) (120,785) (102,041) (1,097,215)
Prepaid pension cost (72,505) (57,142) (614,430)
Accrued retirement benefits ¥ (91,051) ¥ (114,514) $ (1,231,333)
As a result of pension system revisions, Fujitsu Corporate Pension Fund in which the Company and certain consolidated subsidiaries in
Japan participate, reported unrecognized prior service cost (reduced obligation) at September 1, 2005.
Components of net periodic benefit cost
Yen
(millions)
U.S. Dollars
(thousands)
Years ended March 31 2008 2009 2010 2010
Service cost ¥ 36,646 ¥ 38,207 ¥ 39,191 $ 421,409
Interest cost 27,535 28,976 30,155 324,247
Expected return on plan assets (30,929) (27,286) (23,243) (249,925)
Amortization of unrecognized obligation for retirement benefits:
Amortization of net obligation at transition 16,217 16,709 16,290 175,161
Amortization of actuarial loss 9,863 26,463 42,953 461,860
Amortization of prior service cost (18,613) (19,099) (18,591) (199,903)
Net periodic benefit cost 40,719 63,970 86,755 932,849
Gain on termination of retirement benefit plan — — (86) (924)
Total ¥ 40,719 ¥ 63,970 ¥ 86,669 $ 931,925
In addition to net periodic benefit cost stated above, extra retirement benefits of ¥3,798 million, ¥8,029 million and ¥15,939 million
($171,387 thousand) were paid for the years ended March 31, 2008, 2009 and 2010, respectively.
110 FUJITSU LIMITED Annual Report 2010
Notes to Consolidated Financial Statements