Northrop Grumman 2013 Annual Report Download - page 80

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NORTHROP GRUMMAN CORPORATION
-70-
The following tables set forth the funded status and amounts recognized in the consolidated statements of financial
position for the company’s defined benefit pension and retiree health care and life insurance benefit plans. Pension
benefits data includes the qualified plans, foreign plans, as well as 11 domestic unfunded non-qualified plans for
benefits provided to directors, officers and certain employees. The company uses a December 31 measurement date
for all of its plans.
Pension Benefits Medical and
Life Benefits
$ in millions 2013 2012 2013 2012
Change in projected benefit obligation
Projected benefit obligation at beginning of year $27,746 $24,129 $2,448 $2,235
Service cost 516 522 36 34
Interest cost 1,117 1,184 96 109
Participant contributions 12 12 77 81
Plan amendments —(1)——
Actuarial (gain) loss (2,063)3,114 (219)202
Benefits paid (1,365)(1,220)(227)(227)
Other 9613 14
Projected benefit obligation at end of year $25,972 $27,746 $2,224 $2,448
Pension Benefits Medical and
Life Benefits
$ in millions 2013 2012 2013 2012
Change in plan assets
Fair value of plan assets at beginning of year $22,962 $21,340 $1,062 $ 946
Gain on plan assets 1,907 2,463 137 119
Employer contributions 579 366 114 129
Participant contributions 12 12 77 81
Benefits paid (1,365)(1,220)(227)(227)
Other 3112 14
Fair value of plan assets at end of year 24,098 22,962 1,175 1,062
Funded status ($ 1,874)($4,784)($1,049)($1,386)
Amounts recognized in the Consolidated Statements of
Financial Position
Non-current assets $ 117 $ 7 $ 72 $ 49
Current liability (122)(111)(36)(30)
Non-current liability (1,869)(4,680)(1,085)(1,405)
The following table shows those amounts expected to be recognized in net periodic benefit cost in 2014:
$ in millions Pension Benefits Medical and
Life Benefits
Amounts expected to be recognized in 2014 net periodic benefit
cost
Net actuarial loss $327 $ 9
Prior service credit (59)(30)
The accumulated benefit obligation for all defined benefit pension plans was $25.7 billion and $27.2 billion at
December 31, 2013 and 2012, respectively.