Harman Kardon 2010 Annual Report Download - page 114

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Harman International Industries, Incorporated and Subsidiaries
(Dollars in thousands, except per-share data and unless otherwise indicated)
The estimated amount that will be amortized from AOCI into net periodic benefit cost in fiscal year 2011 is
as follows:
Amounts expected to be recognized in net periodic benefit cost
Recognized net actuarial loss (gain) ......................................... $2,213
Amortization of prior service cost (credit) ..................................... 1,407
Total .................................................................. $3,620
Amounts for pension plans with accumulated benefit obligations in excess of fair value of plan assets as of
June 30, 2010 and 2009 are as follows:
Year Ended June 30,
2010 2009
Projected benefit obligation ............................... $144,331 $128,890
Accumulated benefit obligation ............................ 130,258 118,563
Presented below are the components of net periodic benefit costs for the fiscal years ended June 30, 2010,
2009 and 2008:
Year Ended June 30,
2010 2009 2008
Components of net periodic benefit cost:
Service cost ................................................... $ 2,165 $ 2,185 $ 2,529
Interest cost ................................................... 7,585 7,449 7,153
Amortization of prior service cost .................................. 1,407 1,625 4,152
Amortization of net loss .......................................... 1,122 (101) 1,349
Effect of settlements and curtailments ............................... 1,452 947 —
Net periodic benefit cost ......................................... $13,731 $12,105 $15,183
Plan Assumptions
The following table presents the assumptions used to determine our benefit obligations and net periodic
pension and other postretirement benefit costs:
Year Ended June 30,
2010 2009 2008
Assumptions:
Weighted average rates used to determine benefit
obligations at June 30:
Range of discount rates for pension plans ........... 4.50% – 5.00% 6.00% – 6.25% 5.50% – 6.73%
Range of rates of compensation increase for pension
plans ..................................... 2.5% – 4.0% 2.5% – 4.0% 2.0% – 4.0%
Weighted average rates used to determine net periodic
benefit cost at June 30:
Range of discount rates for pension plans ........... 4.50% – 6.17% 6.00% – 6.25% 5.50% – 6.73%
Range of rates of compensation increase for pension
plans ..................................... 2.5% – 4.0% 2.5% – 4.0% 2.0% – 4.0%
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