Office Depot 2012 Annual Report Download - page 82

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OFFICE DEPOT, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
The cash payment from the seller was received by a subsidiary of the Company with the Euro as its functional currency and the
pension plan funding was made by a subsidiary with Pound Sterling as its functional currency, resulting in certain translation
differences between amounts reflected in the Consolidated Statements of Operations and the Consolidated Statements of Cash Flows
for 2012. The receipt of cash from the seller is presented as a source of cash in investing activities. The contribution of cash to the
pension plan is presented as a use of cash in operating activities.
The following table provides a reconciliation of changes in the projected benefit obligation, the fair value of plan assets and the
funded status of the plan to amounts recognized on the Company’s Consolidated Balance Sheets:
In the Consolidated Balance Sheets, the net funded amount at December 29, 2012 is classified as a non-current asset in the caption
Other assets and the net unfunded balance at December 31, 2011 was included in Deferred taxes and other long-term liabilities.
Included in OCI were deferred losses of $3.9 million and $1.0 million at December 29, 2012 and December 31, 2011, respectively.
The deferred loss is not expected to be amortized into income during 2012.
The components of net periodic cost (benefit) are presented below:
79
(In thousands) December 29, 2012 December 31, 2011
Chan
g
es in
p
ro
j
ected benefit obli
g
ation:
Obli
g
ation at be
g
innin
g
of
p
eriod
$ 182,364
$ 177,195
Service cost
—
—
Interest cost
8,639
9,838
Benefits
p
aid
(4,545)
(4,118)
Actuarial
g
ain (loss)
14,28
7
(1,558)
Currenc
y
translation
7,114
1,007
Obli
g
ation at valuation date
207,859
182,364
Chan
g
es in
p
lan assets:
Fair value at be
g
innin
g
of
p
eriod
132,78
7
132,022
Actual return (loss) on
p
lan assets
22,413
(1,259)
Com
p
an
y
contributions
58,98
7
5,293
Benefits
p
aid
(4,545)
(4,118)
Currenc
y
translation
6,285
849
Plan assets at valuation date
215,92
7
132,787
Net asset (liabilit
y
) reco
g
nized at end of
p
eriod
$ 8,068
$(49,577)
(In thousands) 2012 2011 2010
Service cost
$
—
$
—
$
—
Interest cost
8,639
9,838
10,466
Ex
p
ected return on
p
lan assets
(10,674)
(9,336)
(8,039)
Net
p
eriodic
p
ension cost (benefit)
$ (2,035)
$ 502
$ 2,427