Wendy's 2008 Annual Report Download - page 158

2008 2007
Change in accumulated benefit obligations:
Accumulated benefit obligations at beginning of year................... $3,949 $4,382
Service cost (consisting entirely of plan administrative expenses) ......... 95 90
Interest cost . . ...................................................... 222 220
Actuarial gain ...................................................... (91) (325)
Benefit payments.................................................... (338) (300)
Plan administrative and investment expense payments .................. (106) (118)
Accumulated benefit obligations at end of year ........................ 3,731 3,949
Change in fair value of the plans’ assets:
Fair value of the plans’ net assets at beginning of year.................. 3,574 3,722
Actual return on the plans’ assets ..................................... (726) 134
Company contributions .............................................. 46 136
Benefit payments.................................................... (338) (300)
Plan administrative and investment expense payments .................. (106) (118)
Fair value of the plans’ net assets at end of year ....................... 2,450 3,574
Unfunded status at end of year............................................ (1,281) (375)
Unrecognized net actuarial and investment loss . . . .......................... 1,662 831
Net amount recognized ......................................... $ 381 $ 456
The net amount recognized in the consolidated balance sheets consisted of the following:
2008 2007
Year-End
Accrued pension liability reported in “Other liabilities” ...................... $(1,281) $(375)
Unrecognized pension loss reported in the “Accumulated other comprehensive
income (loss)” component of “Stockholders’ equity” ........................ 1,662 831
Net amount recognized. . . ........................................ $ 381 $456
Unrecognized pension loss in the above table consists entirely of unrecognized net loss since these defined
benefit plans have no unrecognized prior service cost or net transition asset or obligation. As of December 28,
2008 and December 30, 2007 each of the two plans have accumulated benefit obligations in excess of the fair
value of the assets of the respective plan.
The components of the net periodic pension cost are as follows:
2008 2007 2006
Service cost (consisting entirely of plan administrative expenses)......... $ 95 $ 90 $ 94
Interest cost . . . ..................................................... 222 220 217
Expected return on the plans’ assets .................................. (219) (232) (262)
Amortization of unrecognized net loss ................................ 23 26 48
Net periodic pension cost .................................. $121 $104 $ 97
The amount included in accumulated other comprehensive income expected to be recognized in net
periodic pension cost for 2009 is $75, consisting entirely of unrecognized net loss. The unrecognized pension
loss in 2008, recovery of unrecognized pension loss in 2007 and 2006, less related deferred income taxes, have
been reported as “Unrecognized pension loss” and “Recovery of unrecognized pension loss,” respectively, as
components of comprehensive income (loss) reported in the accompanying consolidated statements of
stockholders’ equity consisting of the following:
150
Wendy’s/Arby’s Group, Inc. and Subsidiaries
(Formerly Triarc Companies, Inc.)
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—CONTINUED
(In Thousands Except Per Share Amounts)