Huntington National Bank 2009 Annual Report Download - page 182

re
q
uirements but not more than that deductible under the Internal Revenue Code. There was no minimu
m
re
q
u
i
re
d
contr
ib
ut
i
on to t
h
eP
l
an
i
n 2009
.
In a
ddi
t
i
on, Hunt
i
n
g
ton
h
as an un
f
un
d
e
dd
e
fi
ne
db
ene
fi
t post-ret
i
rement p
l
an t
h
at prov
id
es certa
i
n
h
ea
l
t
h
care and life insurance benefits to retired emplo
y
ees who have attained the a
g
eof
55
and have at least 10
y
ear
s
of vestin
g
service under this plan. For an
y
emplo
y
ee retirin
g
on or after Januar
y
1, 1993, post-retiremen
t
health-care benefits are based upon the emplo
y
ee’s number of months of service and are limited to the actual
cost o
f
covera
g
e. L
if
e
i
nsurance
b
ene
fi
ts are a percenta
g
eo
f
t
h
e emp
l
o
y
ee’s
b
ase sa
l
ar
y
at t
h
et
i
me o
f
retirement, with a maximum of
$
50,000 of covera
g
e. The emplo
y
er paid portion of the post-retirement healt
h
and life insurance plan will be eliminated for emplo
y
ees retirin
g
on and after March 1, 2010. Eli
g
ible
emplo
y
ees retirin
g
on and after March 1, 2010, who elect retiree medical covera
g
e will pa
y
the full cost o
f
t
hi
s covera
g
e. T
h
e compan
y
w
ill
not prov
id
ean
y
emp
l
o
y
er pa
id lif
e
i
nsurance to emp
l
o
y
ees ret
i
r
i
n
g
on an
d
a
f
ter Marc
h
1, 2010. E
ligibl
e emp
l
o
y
ees w
ill b
ea
bl
e to convert or port t
h
e
i
rex
i
st
i
n
g lif
e
i
nsurance at t
h
e
ir
own expense under the same terms that are available to all terminated emplo
y
ees
.
B
e
gi
nn
i
n
g
Januar
y
1, 2010, t
h
ere w
ill b
ec
h
an
g
es to t
h
ewa
y
t
h
e
f
uture ear
ly
an
d
norma
l
ret
i
remen
t
benefit is calculated under the Retirement Plan for service on and after Januar
y
1, 2010. While these chan
g
es
will not affect the benefit earned under the Retirement Plan throu
g
h December 31, 2009, there will be
a
re
d
uct
i
on
i
n
f
uture
b
ene
fi
ts. In a
ddi
t
i
on, emp
l
o
y
ees
hi
re
d
or re
hi
re
d
on an
d
a
f
ter Januar
y
1, 2010 are no
t
eli
g
ible to participate in the Retirement Plan
.
O
n Januar
y
1, 2008, Hunt
i
n
g
ton trans
i
t
i
one
d
to
fi
sca
ly
ear-en
d
measurement
d
ate o
f
p
l
an assets an
d
benefit obli
g
ations. As a result, Huntin
g
ton reco
g
nized a char
g
etobe
g
innin
g
retained earnin
g
sof
$
4.7 million
,
representin
g
the net periodic benefit costs for the last three months of 2008, and a char
g
e to the openin
g
balance of accumulated other comprehensive loss of
$
3.8 million, representin
g
the chan
g
e in fair value of pla
n
assets an
db
ene
fi
to
blig
at
i
ons
f
or t
h
e
l
ast t
h
ree mont
h
so
f
2008 (net o
f
amort
i
zat
i
on
i
nc
l
u
d
e
di
n net per
i
o
dic
benefit cost
).
Th
e
f
o
ll
ow
i
n
g
ta
bl
es
h
ows t
h
ewe
igh
te
d
-avera
g
e assumpt
i
ons use
d
to
d
eterm
i
ne t
h
e
b
ene
fi
to
blig
at
i
on a
t
December 31, 2009 and 2008, and the net periodic benefit cost for the
y
ears then ended.
2009 2008 2009 2008
P
e
n
s
i
on
B
enefit
s
Pos
t-R
e
tir
e
m
e
n
t
Benefit
s
Wei
g
hted-avera
g
e assumptions used to determine benefit
o
blig
at
i
on
s
D
iscou
n
t
r
ate
......................................
5.88
%
6
.17% 5.54
%
6
.17
%
Rate o
f
com
p
ensat
i
on
i
ncreas
e
..........................
4
.5
0
4
.
00
N/A
N/A
Wei
g
hted-avera
g
e assumptions used to determine net periodic
be
n
e
fi
t cost
D
i
scount rate
:
J
anuar
y
1, 2009 t
h
rou
gh
Octo
b
er 31, 200
9
...............
6.17
%
N
/A
6.17
%
N
/A
Novem
b
er 1, 2009 t
h
rou
gh
Decem
b
er 31, 200
9
...........
5.
83
N
/A
5.
46
N
/A
2
008
...........................................
N/
A
6
.47% N/A
6
.47
%
Ex
p
ected return on
p
lan asset
s
..........................
8.00
8
.
00
N/A
N/A
Rate of com
p
ensation increas
e
..........................
4.00
5
.
00
N/A
N/A
N/A, Not A
pp
licabl
e
Th
e expecte
dl
on
g
-term rate o
f
return on p
l
an assets
i
s an assumpt
i
on re
fl
ect
i
n
g
t
h
e avera
g
e rate o
f
earnin
g
s expected on the funds invested or to be invested to provide for the benefits included in the pro
j
ecte
d
benefit obli
g
ation. The expected lon
g
-term rate of return is established at the be
g
innin
g
of the plan
y
ear base
d
upon
hi
stor
i
ca
l
returns an
d
pro
j
ecte
d
returns on t
h
eun
d
er
lyi
n
g
m
i
xo
fi
nveste
d
assets
.
1
7
4