Rayovac 2011 Annual Report Download - page 138

SPECTRUM BRANDS HOLDINGS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(CONTINUED)
(In thousands, except per share amounts)
The following table sets forth the fair value of the Company’s pension plan assets as of September 30, 2011
segregated by level within the fair value hierarchy (See Note 8, Fair Value of Financial Instruments, for
discussion of the fair value hierarchy and fair value principles):
Level 1 Level 2 Level 3 Total
U.S. Defined Benefit Plan Assets:
Common collective trust—equity ........................... $16,516 $13,019 $— $29,535
Common collective trust—fixed income ...................... — 14,046 — 14,046
Total U.S. Defined Benefit Plan Assets ........................... $16,516 $27,065 $— $43,581
International Defined Benefit Plan Assets:
Common collective trust—equity ........................... $ — $29,532 $— $29,532
Common collective trust—fixed income ...................... — 11,467 — 11,467
Insurance contracts—general fund ........................... — 37,987 — 37,987
Other .................................................. — 8,073 — 8,073
Total International Defined Benefit Plan Assets .................... $ — $87,059 $— $87,059
The Company sponsors a defined contribution pension plan for its domestic salaried employees, which
allows participants to make contributions by salary reduction pursuant to Section 401(k) of the Internal Revenue
Code. The Company also sponsors defined contribution pension plans for employees of certain foreign
subsidiaries. Successor Company contributions charged to operations, including discretionary amounts, for Fiscal
2011, Fiscal 2010 and the period from August 31, 2009 through September 30, 2009 were $4,999, $3,464 and
$44, respectively. Predecessor Company contributions charged to operations, including discretionary amounts,
for the period from October 1, 2008 through August 30, 2009 were $2,623.
(11) Segment Information
Effective October 1, 2010, the Company began managing its business in three vertically integrated, product-
focused reporting segments: (i) Global Batteries & Appliances; (ii) Global Pet Supplies; and (iii) the Home and
Garden Business. (See Note 1, Description of Business, for additional information regarding the Company’s
realignment of its reporting segments.)
On June 16, 2010, the Company completed the Merger with Russell Hobbs. The results of Russell Hobbs
operations since June 16, 2010 are in included in the Company’s Consolidated Statements of Operations.
Global strategic initiatives and financial objectives for each reportable segment are determined at the
corporate level. Each reportable segment is responsible for implementing defined strategic initiatives and
achieving certain financial objectives, and has a general manager responsible for the sales and marketing
initiatives and financial results for product lines within that segment.
Net sales and Cost of goods sold to other business segments have been eliminated. The gross contribution of
intersegment sales is included in the segment selling the product to the external customer. Segment net sales are
based upon the segment from which the product is shipped.
The operating segment profits do not include restructuring and related charges, acquisition and integration
related charges, impairment charges, reorganization items expense, net, interest expense, interest income and
income tax expense. In connection with the realignment of reportable segments discussed above, as of October 1,
2010 expenses associated with certain general and administrative functions necessary to reflect the operating
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