Proctor and Gamble 2008 Annual Report Download - page 71

Download and view the complete annual report

Please find page 71 of the 2008 Proctor and Gamble annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 86

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86

NotestoConsolidatedFinancialStatements TheProcter&GambleCompany 69
Amountsinmillionsofdollarsexceptpershareamountsorasotherwisespecied.
 Other
PensionBenets  RetireeBenets
YearsendedJune30  2007  2007


Noncurrentassets   $ 469  $347
Currentliability  (40)  (12)
Noncurrentliability  (2,898)  (503)
 (2,469)  (168)




Netactuarialloss  379  337
Priorservicecost(credit)   172  (185)


 551  152






Netactuarialloss—
 currentyear  n/a  n/a
Priorservicecost(credit)—
 currentyear  n/a  n/a
Amortizationofnet
actuarialloss  n/a  n/a
Amortizationofprior
service(cost)/credit   n/a  n/a
Settlement/Curtailmentcost  n/a  n/a
Currencytranslation
andother  n/a  n/a
    



  
Theunderfundingofpensionbenetsisprimarilyafunctionofthe
differentfundingincentivesthatexistoutsideoftheU.S.Incertain
countries,therearenolegalrequirementsornancialincentives
providedtocompaniestopre-fundpensionobligations.Inthese
instances,benetpaymentsaretypicallypaiddirectlyfromthe
Company’scashastheybecomedue.
Theaccumulatedbenetobligationforalldenedbenetretirement
pensionplanswas$8,750and$8,611atJune30,2008andJune30,
2007,respectively.Pensionplanswithaccumulatedbenetobligations
inexcessofplanassetsandplanswithprojectedbenetobligationsin
excessofplanassetsconsistofthefollowing:
AccumulatedBenet  ProjectedBenet
ObligationExceedsthe  ObligationExceedsthe
FairValueofPlanAssets FairValueofPlanAssets
YearsendedJune30  2007  2007
Projectedbenetobligation  $4,813  $6,763
Accumulatedbenet
obligation  4,294  5,792
Fairvalueofplanassets   1,973  3,825
Net Periodic Benet Cost. Componentsofthenetperiodicbenet
costwereasfollows:
PensionBenets  OtherRetireeBenets
YearsendedJune30  2007 2006  2007 2006
Servicecost  $279 $265   $ 85 $ 97
Interestcost  476 383  206 179
Expectedreturn
onplanassets  (454) (353)  (407) (372)
Priorservice
cost(credit)
amortization  13 7  (22) (22)
Netactuarialloss
amortization  45 76  2 6
Curtailmentand
settlementgain  (176) (4)  (1) —

 183 374  (137) (112)
DividendsonESOP
preferredstock  — —  (85) (78)


 183 374  (222) (190)
Pursuanttoplanrevisionsadoptedduring2007,Gillette’sU.S.dened
benetretirementpensionplanswerefrozeneffectiveJanuary1,2008,
atwhichtimeGilletteemployeesintheU.S.movedintotheP&G
denedcontributionProtSharingTrustandEmployeeStockOwnership
Plan.Thisrevisionresultedina$154curtailmentgainfortheyear
endedJune30,2007.
Amountsexpectedtobeamortizedfromaccumulatedothercompre-
hensiveincomeintonetperiodbenetcostduringtheyearending
June30,2009,areasfollows:
    Other
   Pension Retiree
   Benets Benets
Netactuarialloss $31 $ 4
Priorservicecost(credit)  17 (23)