Raytheon 2007 Annual Report Download - page 116

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NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
The benefit obligation for our domestic and foreign Pension Benefits plans was $15,551 million and $737 million,
respectively at December 31, 2007 and $15,467 million and $754 million, respectively, at December 31, 2006.
Change in Plan Assets Pension Benefits Other Benefits
(In millions) 2007 2006 2007 2006
Fair value of plan assets at beginning of year $13,426 $11,866 $ 513 $ 470
Actual return on plan assets 1,035 1,870 36 54
Company contributions 1,316 557 43 63
Plan participants’ contributions 24 26 49 51
Foreign exchange 13 57 ——
Benefits paid (1,124) (953) (112) (125)
Net transfer in/(out) (5) 31—
Fair value of plan assets at end of year $14,685 $13,426 $ 530 $ 513
The fair value of plan assets for our domestic and foreign Pension Benefits plans was $14,113 million and $572 million,
respectively, at December 31, 2007 and $12,901 million and $525 million, respectively, at December 31, 2006.
Funded Status—amounts recognized on the balance sheet Pension Benefits Other Benefits
(In millions) December 31: 2007 2006 2007 2006
For years after the adoption of the provisions of SFAS No. 158:
Noncurrent assets $ 564 $ 499 $52 $28
Current liabilities (38) (33) (15) (22)
Noncurrent liabilities (2,129) (3,261) (412) (505)
Net amount recognized $(1,603) $(2,795) $(375) $(499)
Reconciliation of amounts recognized on the balance sheet Pension Benefits Other Benefits
(In millions) December 31: 2007 2006 2007 2006
Accumulated other comprehensive income (loss):
Initial net obligation $ — $ — $ (18) $ (27)
Prior service credit (cost) (109) (109) 170 223
Net loss (3,195) (3,768) (70) (179)
Accumulated other comprehensive income (loss) (3,304) (3,877) 82 17
Accumulated contributions in excess (below) net periodic benefit or cost 1,701 1,082 (457) (516)
Net amount recognized on the balance sheet $(1,603) $(2,795) $(375) $(499)
Sources of change in other comprehensive income (loss)
(In millions) December 31, 2007:
Pension
Benefits
Other
Benefits
Initial net obligation (asset) arising during the period $ — $ (1)
Amortization of initial net asset (obligation) — (8)
Net change initial net asset — (9)
Prior service cost (credit) arising during period 15 —
Amortization of prior service (cost) credit included in net income (15) 53
Net change in prior service (cost) credit not recognized in net income during that period —53
Actuarial (gain) loss arising during period (158) (104)
Amortization of net actuarial gain (loss) included in net income (419) (5)
Net change in actuarial gain (loss) not included in net income during period (577) (109)
Effect of exchange rates 4—
Total other comprehensive income (loss) during period $(573) $ (65)
87