Ford 2003 Annual Report Download - page 97

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2003 ANNUAL REPORT 95
NOTES TO FINANCIAL STATEMENTS
The measurement date for our worldwide postretirement benefit plans is December 31. Our expense for pension, postretirement
health care and life insurance benefits was as follows (in millions):
Pension Benefits Health Care and Life Insurance
U.S. Plans Non-U.S. Plans
2003 2002 2001 2003 2002 2001 2003 2002 2001
Service cost $ 600 $ 556 $ 531 $ 492 $ 377 $ 396 $ 521 $ 427 $ 374
Interest cost 2,442 2,453 2,410 1,170 977 974 2,004 1,801 1,697
Expected return on assets (3,202) (3,646) (3,697) (1,382) (1,265) (1,184) (37) (85) (161)
Amortization of:
Prior service costs 472 529 532 135 137 138 (179) (145) (114)
(Gains)/losses and other 33 (130) (367) 148 25 (101) 532 310 161
Separation programs -107 303 128 39 8 -16 114
Visteon pre-spin liability --- ---1,646 --
Allocated costs to Visteon (88) (62) (58) --- (314) (228) (149)
Net expense/(income) $ 257 $ (193) $ (346) $ 691 $ 290 $ 231 $ 4,173 $ 2,096 $ 1,922
The year-end status of these plans was as follows (in millions):
Health Care and
Pension Benefits Life Insurance
U.S. Plans Non-U.S. Plans
2003 2002 2003 2002 2003 2002
Change in Benefit Obligation
Benefit obligation at January 1 $ 37,153 $ 35,223 $ 20,698 $ 15,991 $ 30,263 $ 25,433
Service cost 600 556 492 377 521 427
Interest cost 2,442 2,453 1,170 977 2,004 1,801
Amendments 1,282 (3) 5133 (372) (264)
Separation programs -132 80 102 -16
Plan participant contributions 39 39 134 95 28 14
Benefits paid (2,697) (2,806) (1,018) (921) (1,419) (1,232)
Foreign exchange translation --3,269 1,980 12 4
Actuarial (gain)/loss 1,644 1,559 (40) 1,964 1,325 4,064
Benefit obligation at December 31 $ 40,463 $ 37,153 $ 24,790 $ 20,698 $ 32,362 $ 30,263
Change in Plan Assets
Fair value of plan assets at January 1 $ 29,877 $ 35,819 $ 12,363 $ 12,935 $ 2,834 $ 2,692
Actual return on plan assets 7,687 (3,335) 2,070 (1,692) 10 64
Company contributions 2,168 181 1,029 611 3,500 893
Plan participant contributions 39 39 134 95 --
Benefits paid (2,697) (2,806) (1,018) (921) (877) (815)
Foreign exchange translation --1,924 1,322 --
Visteon Promissory Notes/Other (58) (21) 46 13 (1,902) -
Fair value of plan assets at December 31 $ 37,016 $ 29,877 $ 16,548 $ 12,363 $ 3,565 $ 2,834
Funded status $ (3,447) $ (7,276) $ (8,242) $ (8,335) $(28,797) $(27,429)
Unamortized prior service costs 3,640 2,831 790 784 (1,352) (1,161)
Unamortized net (gains)/losses and other 3,917 6,742 7,122 6,874 11,075 10,423
Net amount recognized $ 4,110 $ 2,297 $ (330) $ (677) $(19,074) $(18,167)
FIN73_104 3/21/04 1:07 AM Page 95