ALL » Topics » Plan Assets

This excerpt taken from the ALL 10-K filed Feb 23, 2006.

Plan Assets

        The pension plans target percentage of plan assets at 2005 and the actual percentage of plan assets, by asset category at December 31 are as follows:

 
  Target percentage
of plan assets

  Percentage of
plan assets

 
Asset Category

 
  2005
  2005
  2004
 
Equity securities   64 % 66 % 62 %
Fixed income securities   30   32   31  
Real estate   3   1   1  
Other   3   1   6  
   
 
 
 
  Total   100 % 100 % 100 %
   
 
 
 

        The expected long-term rate of return on plan assets reflects the average rate of earnings expected on plan assets. This assumption is reviewed annually giving consideration to appropriate financial data including, but not limited to, the plan asset allocation, the period over which benefits will be paid, historical returns on plan assets and other relevant market data. A consistent method was used to determine the long-term return on plan assets assumption at December 31, 2005 and 2004 of 8.5%. As of

189


the 2005 measurement date, the arithmetic average of the annual actual return on plan assets for the most recent 10 and 5 years was 9.9% and 1.1%, respectively.

        Pension plan assets include $8 million of the Company's common stock at December 31, 2005. The pension plan had no investment in the Company's common stock at December 31, 2004.

        The change in pension plan assets for the years ended December 31 is as follows:

 
  Pension benefits
 
(in millions)

  2005
  2004
 
Fair value of plan assets, beginning of year   $ 3,983   $ 3,437  
Actual return on plan assets     408     340  
Employer contribution     367     468  
Benefits paid     (271 )   (266 )
Translation adjustment and other         4  
   
 
 
Fair value of plan assets, end of year   $ 4,487   $ 3,983  
   
 
 
This excerpt taken from the ALL 10-K filed Feb 24, 2005.

Plan Assets

        The pension plans target percentage of plan assets at 2004 and the actual percentage of plan assets, by asset category at December 31 are as follows:

 
  Target percentage of
plan assets

  Percentage of
plan assets

 
Asset Category

 
  2004
  2004
  2003
 
Equity securities   66 % 62 % 63 %
Fixed income securities   29   31   32  
Real estate   1   1    
Other   4   6   5  
   
 
 
 
  Total   100 % 100 % 100 %
   
 
 
 

        The expected long-term rate of return on plan assets reflects the average rate of earnings expected on plan assets. This assumption is reviewed annually giving consideration to appropriate financial data including, but not limited to, the plan asset allocation, the period over which benefits will be paid, historical returns on plan assets and other relevant market data. As of the 2004 measurement date, the arithmetic average of the annual actual return on plan assets for the most recent 10 and 5 years was 10.8% and 1.7%, respectively. This is consistent with the allocation used to determine the long-term return on plan assets assumption at December 31, 2004 and 2003 of 8.5%.

176



        The change in pension plan assets for the years ended December 31 is as follows:

 
  Pension benefits
 
(in millions)

  2004
  2003
 
Fair value of plan assets, beginning of year   $ 3,437   $ 2,322  
Actual return on plan assets     340     475  
Employer contribution     468     871  
Benefits paid     (266 )   (250 )
Translation adjustment and other     4     19  
   
 
 
Fair value of plan assets, end of year   $ 3,983   $ 3,437  
   
 
 

EXCERPTS ON THIS PAGE:

10-K
Feb 23, 2006
10-K
Feb 24, 2005

RELATED TOPICS for ALL:

Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki