Sunoco 2008 Annual Report Download - page 86

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The following table sets forth the cumulative amounts not yet recognized in net income at December 31,
2008 and 2007 (in millions of dollars):
Defined Benefit Plans Postretirement
Benefit Plans2008 2007
Funded
Plans
Unfunded
Plans
Funded
Plans
Unfunded
Plans 2008 2007
Cumulative amounts not yet recognized in
net income:
Prior service costs (benefits) ................. $ 12 $(3) $ 14 $(3) $(5) $(8)
Actuarial losses ............................ 701 44 205 48 44 56
Accumulated other comprehensive loss
(before related tax benefit) ............... $713 $41 $219 $45 $39 $48
The asset allocations attributable to the funded defined benefit plans at December 31, 2008 and 2007 and the
target allocation of plan assets for 2009, by asset category, are as follows (in percentages):
2009 Target
December 31
2008 2007
Asset category:
Equity securities ................................................. 60 53 61
Debt securities ................................................... 35 40 35
Other .......................................................... 5 7 4
Total ......................................................... 100 100 100
The investment strategy of the Company’s funded defined benefit plans is to achieve consistent positive
returns, after adjusting for inflation, and to maximize long-term total return within prudent levels of risk through
a combination of income and capital appreciation.
The Company may make up to $80 million of contributions to its funded defined benefit plans in 2009.
The expected benefit payments through 2018 for the defined benefit and postretirement benefit plans are as
follows (in millions of dollars):
Defined Benefit Plans
Postretirement
Benefit Plans*
Funded
Plans
Unfunded
Plans
Year ending December 31:
2009 ................................................... $148 $42 $49
2010 ................................................... $147 $28 $54
2011 ................................................... $147 $15 $58
2012 ................................................... $141 $14 $60
2013 ................................................... $137 $13 $63
2014 through 2018 ....................................... $597 $52 $355
*Before premiums paid by participants.
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