US Bank 2010 Annual Report Download - page 106

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The following table summarizes the plans’ investment assets measured at fair value at December 31:
(Dollars in Millions) Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 Level 1 Level 1
2010 2009 2010 2009
Pension Plans
Postretirement
Welfare Plan
Domestic equity securities
Large cap . . . . . . . . . . . . . . . . . $1,174 $ – $ – $1,056 $ – $ – $ – $ –
Midcap................... 373 – – 397 – – – –
Small cap. . . . . . . . . . . . . . . . . . 142 – – 126 – – – –
International equity securities . . . . . . . 537 – – 442 – – – –
Debt securities . . . . . . . . . . . . . . . . – – 8 – 17 7 – –
Real estate . . . . . . . . . . . . . . . . . . 51 – – 40 – – – –
Money market mutual fund . . . . . . . . – 224 – – 97 – – –
Cash and cash equivalents . . . . . . . . 30 – – 22 – – 131 144
Other . . . . . . . . . . . . . . . . . . . . . . – – 6 – – 6 – –
Total . . . . . . . . . . . . . . . . . . . . . $2,307 $224 $14 $2,083 $114 $13 $131 $144
The following table summarizes the changes in fair value for all plan investment assets measured at fair value using significant
unobservable inputs (Level 3) for the years ended December 31:
(Dollars in Millions)
Debt
Securities Other
Debt
Securities Other
2010 2009
Balance at beginning of period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 7 $6 $ – $ 9
Unrealized gains (losses) relating to assets still held at end of year . . . . . . . . . 3 – 1 (3)
Purchases, sales, principal payments, issuances, and settlements . . . . . . . . . (2) – (3) –
Transfers into level 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . – – 9 –
Balance at end of period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 8 $6 $ 7 $ 6
The following benefit payments are expected to be paid from the retirement plans for the years ended December 31:
(Dollars in Millions)
Pension
Plans
Postretirement
Welfare Plan (a)
Medicare
Part D Subsidy
2011 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $148 $ 16 $2
2012 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 143 17 2
2013 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 149 19 3
2014 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 156 20 3
2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 162 21 3
2016 – 2020 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 917 104 –
(a) Net of retiree contributions and before Medicare Part D subsidy.
Note 18 STOCK-BASED COMPENSATION
As part of its employee and director compensation programs, the
Company may grant certain stock awards under the provisions of
the existing stock compensation plans, including plans assumed in
acquisitions. The plans provide for grants of options to purchase
shares of common stock at a fixed price equal to the fair value of
the underlying stock at the date of grant. Option grants are
generally exercisable up to ten years from the date of grant. In
addition, the plans provide for grants of shares of common stock
or stock units that are subject to restriction on transfer prior to
vesting. Most stock and unit awards vest over three to five years
and are subject to forfeiture if certain vesting requirements are not
met. Stock incentive plans of acquired companies are generally
terminated at the merger closing dates. Option holders under such
plans receive the Company’s common stock, or options to buy the
Company’s stock, based on the conversion terms of the various
merger agreements. At December 31, 2010, there were 69 million
shares (subject to adjustment for forfeitures) available for grant
under various plans.
104 U.S. BANCORP