Employee Benefit Plans (Tables)
|
12 Months Ended |
Dec. 31, 2012
|
Employee Benefit Plans [Abstract] |
|
Schedule of Defined Benefit Plans Disclosures |
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Pension and Postretirement Plans |
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Qualified
Pension Plans (1)
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|
Non-U.S.
Pension Plans (1)
|
|
Nonqualified
and Other
Pension Plans (1)
|
|
Postretirement
Health and Life
Plans (1)
|
(Dollars in millions) |
2012 |
|
2011 |
|
2012 |
|
2011 |
|
2012 |
|
2011 |
|
2012 |
|
2011 |
Change in fair value of plan assets |
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|
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Fair value, January 1 |
$ |
15,070 |
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|
$ |
15,648 |
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|
$ |
2,022 |
|
|
$ |
1,691 |
|
|
$ |
3,061 |
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|
$ |
2,689 |
|
|
$ |
91 |
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|
$ |
108 |
|
Actual return on plan assets |
2,020 |
|
|
182 |
|
|
115 |
|
|
295 |
|
|
126 |
|
|
493 |
|
|
10 |
|
|
2 |
|
Company contributions |
— |
|
|
— |
|
|
152 |
|
|
104 |
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|
112 |
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|
99 |
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|
117 |
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|
84 |
|
Plan participant contributions |
— |
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|
— |
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|
3 |
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|
3 |
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|
— |
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|
— |
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|
139 |
|
|
133 |
|
Benefits paid |
(816 |
) |
|
(760 |
) |
|
(77 |
) |
|
(63 |
) |
|
(236 |
) |
|
(220 |
) |
|
(290 |
) |
|
(255 |
) |
Plan transfer |
— |
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|
— |
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— |
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|
10 |
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|
— |
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— |
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— |
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— |
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Federal subsidy on benefits paid |
n/a |
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|
n/a |
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|
n/a |
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|
n/a |
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|
n/a |
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|
n/a |
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|
19 |
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|
19 |
|
Foreign currency exchange rate changes |
n/a |
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|
n/a |
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|
91 |
|
|
(18 |
) |
|
n/a |
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|
n/a |
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— |
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|
— |
|
Fair value, December 31 |
$ |
16,274 |
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|
$ |
15,070 |
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|
$ |
2,306 |
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$ |
2,022 |
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$ |
3,063 |
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$ |
3,061 |
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$ |
86 |
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$ |
91 |
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Change in projected benefit obligation |
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Projected benefit obligation, January 1 |
$ |
14,891 |
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$ |
13,938 |
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$ |
1,984 |
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$ |
1,916 |
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$ |
3,137 |
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$ |
3,078 |
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$ |
1,619 |
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$ |
1,704 |
|
Service cost |
236 |
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|
423 |
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|
40 |
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|
43 |
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|
1 |
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|
3 |
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|
13 |
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|
15 |
|
Interest cost |
681 |
|
|
746 |
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|
97 |
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|
99 |
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|
138 |
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|
152 |
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|
71 |
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|
80 |
|
Plan participant contributions |
— |
|
|
— |
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3 |
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|
3 |
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— |
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— |
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|
139 |
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|
133 |
|
Plan amendments |
— |
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(11 |
) |
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2 |
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2 |
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— |
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— |
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— |
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(21 |
) |
Curtailment |
(889 |
) |
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— |
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— |
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— |
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— |
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— |
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— |
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— |
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Actuarial loss (gain) |
1,552 |
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|
555 |
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|
328 |
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(19 |
) |
|
294 |
|
|
124 |
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|
(4 |
) |
|
(56 |
) |
Benefits paid |
(816 |
) |
|
(760 |
) |
|
(77 |
) |
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(63 |
) |
|
(236 |
) |
|
(220 |
) |
|
(290 |
) |
|
(255 |
) |
Plan transfer |
— |
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— |
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— |
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15 |
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— |
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— |
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— |
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— |
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Federal subsidy on benefits paid |
n/a |
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n/a |
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n/a |
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n/a |
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n/a |
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n/a |
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19 |
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|
19 |
|
Foreign currency exchange rate changes |
n/a |
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n/a |
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|
83 |
|
|
(12 |
) |
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— |
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— |
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|
7 |
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|
— |
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Projected benefit obligation, December 31 |
$ |
15,655 |
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$ |
14,891 |
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$ |
2,460 |
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$ |
1,984 |
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$ |
3,334 |
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$ |
3,137 |
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$ |
1,574 |
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$ |
1,619 |
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Amount recognized, December 31 |
$ |
619 |
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$ |
179 |
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$ |
(154 |
) |
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$ |
38 |
|
|
$ |
(271 |
) |
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$ |
(76 |
) |
|
$ |
(1,488 |
) |
|
$ |
(1,528 |
) |
Funded status, December 31 |
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Accumulated benefit obligation |
$ |
15,655 |
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$ |
13,968 |
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$ |
2,345 |
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$ |
1,883 |
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$ |
3,334 |
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$ |
3,135 |
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n/a |
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|
n/a |
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Overfunded (unfunded) status of ABO |
619 |
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|
1,102 |
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|
(39 |
) |
|
139 |
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|
(271 |
) |
|
(74 |
) |
|
n/a |
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|
n/a |
|
Provision for future salaries |
— |
|
|
923 |
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|
115 |
|
|
101 |
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— |
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|
2 |
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|
n/a |
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|
n/a |
|
Projected benefit obligation |
15,655 |
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|
14,891 |
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|
2,460 |
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|
1,984 |
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|
3,334 |
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|
3,137 |
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|
$ |
1,574 |
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|
$ |
1,619 |
|
Weighted-average assumptions, December 31 |
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Discount rate |
4.00 |
% |
|
4.95 |
% |
|
4.23 |
% |
|
4.87 |
% |
|
3.65 |
% |
|
4.65 |
% |
|
3.65 |
% |
|
4.65 |
% |
Rate of compensation increase |
n/a |
|
|
4.00 |
|
|
4.37 |
|
|
4.42 |
|
|
4.00 |
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|
4.00 |
|
|
n/a |
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|
n/a |
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(1) |
The measurement date for the Qualified Pension Plans, Non-U.S. Pension Plans, Nonqualified and Other Pension Plans, and Postretirement Health and Life Plans was December 31 of each year reported.
|
n/a = not applicable
|
Schedule of Amounts Recognized in Balance Sheet |
Amounts recognized in the Corporation’s Consolidated Balance Sheet at December 31, 2012 and 2011 are presented in the table below.
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Amounts Recognized on Consolidated Balance Sheet |
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Qualified
Pension Plans
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Non-U.S.
Pension Plans
|
|
Nonqualified
and Other
Pension Plans
|
|
Postretirement
Health and Life
Plans
|
(Dollars in millions) |
2012 |
|
2011 |
|
2012 |
|
2011 |
|
2012 |
|
2011 |
|
2012 |
|
2011 |
Other assets |
$ |
676 |
|
|
$ |
246 |
|
|
$ |
220 |
|
|
$ |
342 |
|
|
$ |
908 |
|
|
$ |
1,096 |
|
|
$ |
— |
|
|
$ |
— |
|
Accrued expenses and other liabilities |
(57 |
) |
|
(67 |
) |
|
(374 |
) |
|
(304 |
) |
|
(1,179 |
) |
|
(1,172 |
) |
|
(1,488 |
) |
|
(1,528 |
) |
Net amount recognized at December 31 |
$ |
619 |
|
|
$ |
179 |
|
|
$ |
(154 |
) |
|
$ |
38 |
|
|
$ |
(271 |
) |
|
$ |
(76 |
) |
|
$ |
(1,488 |
) |
|
$ |
(1,528 |
) |
|
Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets |
Pension Plans with ABO and PBO in excess of plan assets as of December 31, 2012 and 2011 are presented in the table below. For the non-qualified plans not subject to ERISA or non-U.S. pension plans, funding strategies vary due to legal requirements and local practices.
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Plans with ABO and PBO in Excess of Plan Assets |
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Qualified
Pension Plans
|
|
Non-U.S.
Pension Plans
|
|
Nonqualified
and Other
Pension Plans
|
(Dollars in millions) |
2012 |
|
2011 |
|
2012 |
|
2011 |
|
2012 |
|
2011 |
Plans with ABO in excess of plan assets |
|
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|
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|
PBO |
$ |
7,171 |
|
|
$ |
— |
|
|
$ |
883 |
|
|
$ |
732 |
|
|
$ |
1,182 |
|
|
$ |
1,174 |
|
ABO |
7,171 |
|
|
— |
|
|
843 |
|
|
698 |
|
|
1,181 |
|
|
1,173 |
|
Fair value of plan assets |
7,114 |
|
|
— |
|
|
510 |
|
|
428 |
|
|
2 |
|
|
2 |
|
Plans with PBO in excess of plan assets |
|
|
|
|
|
|
|
|
|
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|
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PBO |
$ |
7,171 |
|
|
$ |
6,624 |
|
|
$ |
896 |
|
|
$ |
732 |
|
|
$ |
1,182 |
|
|
$ |
1,174 |
|
Fair value of plan assets |
7,114 |
|
|
6,557 |
|
|
522 |
|
|
428 |
|
|
2 |
|
|
2 |
|
|
Schedule of Net Benefit Costs |
Net periodic benefit cost of the Corporation’s plans for 2012, 2011 and 2010 included the following components.
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Components of Net Periodic Benefit Cost |
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|
Qualified Pension Plans |
|
Non-U.S. Pension Plans |
(Dollars in millions) |
2012 |
|
2011 |
|
2010 |
|
2012 |
|
2011 |
|
2010 |
Components of net periodic benefit cost |
|
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|
|
|
|
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|
|
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|
|
|
|
|
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|
Service cost |
$ |
236 |
|
|
$ |
423 |
|
|
$ |
397 |
|
|
$ |
40 |
|
|
$ |
43 |
|
|
$ |
32 |
|
Interest cost |
681 |
|
|
746 |
|
|
748 |
|
|
97 |
|
|
99 |
|
|
95 |
|
Expected return on plan assets |
(1,246 |
) |
|
(1,296 |
) |
|
(1,263 |
) |
|
(137 |
) |
|
(115 |
) |
|
(97 |
) |
Amortization of prior service cost |
9 |
|
|
20 |
|
|
28 |
|
|
— |
|
|
— |
|
|
— |
|
Amortization of net actuarial loss (gain) |
469 |
|
|
387 |
|
|
362 |
|
|
(9 |
) |
|
— |
|
|
(1 |
) |
Recognized loss due to settlements and curtailments |
58 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
Net periodic benefit cost (income) |
$ |
207 |
|
|
$ |
280 |
|
|
$ |
272 |
|
|
$ |
(9 |
) |
|
$ |
27 |
|
|
$ |
29 |
|
Weighted-average assumptions used to determine net cost for years ended December 31 |
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|
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|
Discount rate |
4.95 |
% |
|
5.45 |
% |
|
5.75 |
% |
|
4.87 |
% |
|
5.32 |
% |
|
5.41 |
% |
Expected return on plan assets |
8.00 |
|
|
8.00 |
|
|
8.00 |
|
|
6.65 |
|
|
6.58 |
|
|
6.60 |
|
Rate of compensation increase |
4.00 |
|
|
4.00 |
|
|
4.00 |
|
|
4.42 |
|
|
4.85 |
|
|
4.67 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonqualified and Other Pension Plans (1)
|
|
Postretirement Health and Life Plans |
(Dollars in millions) |
2012 |
|
2011 |
|
2010 |
|
2012 |
|
2011 |
|
2010 |
Components of net periodic benefit cost |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Service cost |
$ |
1 |
|
|
$ |
3 |
|
|
$ |
3 |
|
|
$ |
13 |
|
|
$ |
15 |
|
|
$ |
14 |
|
Interest cost |
138 |
|
|
152 |
|
|
163 |
|
|
71 |
|
|
80 |
|
|
92 |
|
Expected return on plan assets |
(152 |
) |
|
(141 |
) |
|
(138 |
) |
|
(8 |
) |
|
(9 |
) |
|
(9 |
) |
Amortization of transition obligation |
— |
|
|
— |
|
|
— |
|
|
32 |
|
|
31 |
|
|
31 |
|
Amortization of prior service cost (credits) |
(3 |
) |
|
(8 |
) |
|
(8 |
) |
|
4 |
|
|
4 |
|
|
6 |
|
Amortization of net actuarial loss (gain) |
8 |
|
|
16 |
|
|
10 |
|
|
(38 |
) |
|
(17 |
) |
|
(49 |
) |
Recognized loss due to settlements and curtailments |
— |
|
|
3 |
|
|
17 |
|
|
— |
|
|
— |
|
|
— |
|
Net periodic benefit cost (income) |
$ |
(8 |
) |
|
$ |
25 |
|
|
$ |
47 |
|
|
$ |
74 |
|
|
$ |
104 |
|
|
$ |
85 |
|
Weighted-average assumptions used to determine net cost for years ended December 31 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Discount rate |
4.65 |
% |
|
5.20 |
% |
|
5.75 |
% |
|
4.65 |
% |
|
5.10 |
% |
|
5.75 |
% |
Expected return on plan assets |
5.25 |
|
|
5.25 |
|
|
5.25 |
|
|
8.00 |
|
|
8.00 |
|
|
8.00 |
|
Rate of compensation increase |
4.00 |
|
|
4.00 |
|
|
4.00 |
|
|
n/a |
|
|
n/a |
|
|
n/a |
|
|
|
(1) |
Includes nonqualified pension plans and the terminated Merrill Lynch U.S. pension plan. |
n/a = not applicable
|
Schedule of Accumulated Other Comprehensive Income (Loss) |
The table below presents the changes in accumulated OCI after-tax for 2010, 2011 and 2012.
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|
(Dollars in millions) |
Available-for- Sale Debt
Securities
|
|
Available-for- Sale Marketable
Equity Securities
|
|
Derivatives |
|
Employee
Benefit Plans (1)
|
|
Foreign
Currency (2)
|
|
Total |
Balance, December 31, 2009 |
$ |
(628 |
) |
|
$ |
2,129 |
|
|
$ |
(2,535 |
) |
|
$ |
(4,092 |
) |
|
$ |
(493 |
) |
|
$ |
(5,619 |
) |
Net change |
1,342 |
|
|
4,530 |
|
|
(701 |
) |
|
145 |
|
|
237 |
|
|
5,553 |
|
Balance, December 31, 2010 |
$ |
714 |
|
|
$ |
6,659 |
|
|
$ |
(3,236 |
) |
|
$ |
(3,947 |
) |
|
$ |
(256 |
) |
|
$ |
(66 |
) |
Net change |
2,386 |
|
|
(6,656 |
) |
|
(549 |
) |
|
(444 |
) |
|
(108 |
) |
|
(5,371 |
) |
Balance, December 31, 2011 |
$ |
3,100 |
|
|
$ |
3 |
|
|
$ |
(3,785 |
) |
|
$ |
(4,391 |
) |
|
$ |
(364 |
) |
|
$ |
(5,437 |
) |
Net change |
1,343 |
|
|
459 |
|
|
916 |
|
|
(65 |
) |
|
(13 |
) |
|
2,640 |
|
Balance, December 31, 2012 |
$ |
4,443 |
|
|
$ |
462 |
|
|
$ |
(2,869 |
) |
|
$ |
(4,456 |
) |
|
$ |
(377 |
) |
|
$ |
(2,797 |
) |
|
|
(1) |
Net change in fair value represents after-tax adjustments based on the final year-end actuarial valuations. For more information on employee benefit plans, see Note 18 – Employee Benefit Plans.
|
|
|
(2) |
Net change in fair value represents the impact of changes in spot foreign exchange rates on the Corporation’s net investment in non-U.S. operations, and related hedges. |
The table below presents the before- and after-tax changes in accumulated OCI for 2012, 2011 and 2010.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2012 |
|
2011 |
|
2010 |
(Dollars in millions) |
Before-tax |
|
Tax effect |
|
After-tax |
|
Before-tax |
|
Tax effect |
|
After-tax |
|
Before-tax |
|
Tax effect |
|
After-tax |
Available-for-sale debt securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cumulative adjustments for accounting changes: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidation of certain variable interest entities |
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
(184 |
) |
|
$ |
68 |
|
|
$ |
(116 |
) |
Credit-related notes |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
364 |
|
|
(135 |
) |
|
229 |
|
Net change in fair value recorded in accumulated OCI |
3,676 |
|
|
(1,319 |
) |
|
2,357 |
|
|
6,925 |
|
|
(2,594 |
) |
|
4,331 |
|
|
3,541 |
|
|
(1,331 |
) |
|
2,210 |
|
Net realized (gains) losses reclassified into earnings |
(1,609 |
) |
|
595 |
|
|
(1,014 |
) |
|
(3,087 |
) |
|
1,142 |
|
|
(1,945 |
) |
|
(1,557 |
) |
|
576 |
|
|
(981 |
) |
Net change |
2,067 |
|
|
(724 |
) |
|
1,343 |
|
|
3,838 |
|
|
(1,452 |
) |
|
2,386 |
|
|
2,164 |
|
|
(822 |
) |
|
1,342 |
|
Available-for-sale marketable equity securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in fair value recorded in accumulated OCI |
748 |
|
|
(277 |
) |
|
471 |
|
|
(4,114 |
) |
|
1,575 |
|
|
(2,539 |
) |
|
9,029 |
|
|
(3,372 |
) |
|
5,657 |
|
Net realized (gains) losses reclassified into earnings |
(19 |
) |
|
7 |
|
|
(12 |
) |
|
(6,501 |
) |
|
2,384 |
|
|
(4,117 |
) |
|
(1,789 |
) |
|
662 |
|
|
(1,127 |
) |
Net change |
729 |
|
|
(270 |
) |
|
459 |
|
|
(10,615 |
) |
|
3,959 |
|
|
(6,656 |
) |
|
7,240 |
|
|
(2,710 |
) |
|
4,530 |
|
Derivatives: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in fair value recorded in accumulated OCI |
430 |
|
|
(166 |
) |
|
264 |
|
|
(2,490 |
) |
|
923 |
|
|
(1,567 |
) |
|
(1,755 |
) |
|
647 |
|
|
(1,108 |
) |
Net realized (gains) losses reclassified into earnings |
1,035 |
|
|
(383 |
) |
|
652 |
|
|
1,617 |
|
|
(599 |
) |
|
1,018 |
|
|
644 |
|
|
(237 |
) |
|
407 |
|
Net change |
1,465 |
|
|
(549 |
) |
|
916 |
|
|
(873 |
) |
|
324 |
|
|
(549 |
) |
|
(1,111 |
) |
|
410 |
|
|
(701 |
) |
Employee benefit plans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in fair value recorded in accumulated OCI |
(1,891 |
) |
|
660 |
|
|
(1,231 |
) |
|
(1,171 |
) |
|
457 |
|
|
(714 |
) |
|
(162 |
) |
|
58 |
|
|
(104 |
) |
Net realized (gains) losses reclassified into earnings |
490 |
|
|
(192 |
) |
|
298 |
|
|
437 |
|
|
(167 |
) |
|
270 |
|
|
396 |
|
|
(147 |
) |
|
249 |
|
Settlements and curtailments |
1,378 |
|
|
(510 |
) |
|
868 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
Net change |
(23 |
) |
|
(42 |
) |
|
(65 |
) |
|
(734 |
) |
|
290 |
|
|
(444 |
) |
|
234 |
|
|
(89 |
) |
|
145 |
|
Foreign currency: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in fair value recorded in accumulated OCI |
(226 |
) |
|
233 |
|
|
7 |
|
|
145 |
|
|
(179 |
) |
|
(34 |
) |
|
(204 |
) |
|
160 |
|
|
(44 |
) |
Net realized (gains) losses reclassified into earnings |
(30 |
) |
|
10 |
|
|
(20 |
) |
|
(65 |
) |
|
(9 |
) |
|
(74 |
) |
|
446 |
|
|
(165 |
) |
|
281 |
|
Net change |
(256 |
) |
|
243 |
|
|
(13 |
) |
|
80 |
|
|
(188 |
) |
|
(108 |
) |
|
242 |
|
|
(5 |
) |
|
237 |
|
Total other comprehensive income (loss) |
$ |
3,982 |
|
|
$ |
(1,342 |
) |
|
$ |
2,640 |
|
|
$ |
(8,304 |
) |
|
$ |
2,933 |
|
|
$ |
(5,371 |
) |
|
$ |
8,769 |
|
|
$ |
(3,216 |
) |
|
$ |
5,553 |
|
Pre-tax amounts included in accumulated OCI for employee benefit plans at December 31, 2012 and 2011 are presented in the table below.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pre-tax Amounts included in Accumulated OCI |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Qualified
Pension Plans
|
|
Non-U.S.
Pension Plans
|
|
Nonqualified
and Other
Pension Plans
|
|
Postretirement
Health and
Life Plans
|
|
Total |
(Dollars in millions) |
2012 |
|
2011 |
|
2012 |
|
2011 |
|
2012 |
|
2011 |
|
2012 |
|
2011 |
|
2012 |
|
2011 |
Net actuarial loss (gain) |
$ |
6,164 |
|
|
$ |
6,743 |
|
|
$ |
144 |
|
|
$ |
(212 |
) |
|
$ |
718 |
|
|
$ |
409 |
|
|
$ |
(28 |
) |
|
$ |
(59 |
) |
|
$ |
6,998 |
|
|
$ |
6,881 |
|
Transition obligation |
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
32 |
|
|
— |
|
|
32 |
|
Prior service cost (credits) |
— |
|
|
67 |
|
|
5 |
|
|
3 |
|
|
— |
|
|
(7 |
) |
|
29 |
|
|
33 |
|
|
34 |
|
|
96 |
|
Amounts recognized in accumulated OCI |
$ |
6,164 |
|
|
$ |
6,810 |
|
|
$ |
149 |
|
|
$ |
(209 |
) |
|
$ |
718 |
|
|
$ |
402 |
|
|
$ |
1 |
|
|
$ |
6 |
|
|
$ |
7,032 |
|
|
$ |
7,009 |
|
|
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) |
Pre-tax amounts recognized in OCI for employee benefit plans in 2012 included the following components.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pre-tax Amounts Recognized in OCI |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in millions) |
Qualified
Pension Plans
|
|
Non-U.S.
Pension Plans
|
|
Nonqualified and Other
Pension Plans
|
|
Postretirement Health and
Life Plans
|
|
Total |
Other changes in plan assets and benefit obligations recognized in OCI |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current year actuarial loss (gain) |
$ |
(110 |
) |
|
$ |
347 |
|
|
$ |
321 |
|
|
$ |
(7 |
) |
|
$ |
551 |
|
Amortization of actuarial gain (loss) |
(469 |
) |
|
9 |
|
|
(12 |
) |
|
38 |
|
|
(434 |
) |
Current year prior service cost |
— |
|
|
2 |
|
|
— |
|
|
— |
|
|
2 |
|
Amortization of prior service credits (cost) |
(67 |
) |
|
— |
|
|
7 |
|
|
(4 |
) |
|
(64 |
) |
Amortization of transition obligation |
— |
|
|
— |
|
|
— |
|
|
(32 |
) |
|
(32 |
) |
Amounts recognized in OCI |
$ |
(646 |
) |
|
$ |
358 |
|
|
$ |
316 |
|
|
$ |
(5 |
) |
|
$ |
23 |
|
|
Pre Tax Amount Amortized From Accumulated Other Comprehensive Income |
The estimated pre-tax amounts that will be amortized from accumulated OCI into expense in 2013 are presented in the table below.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Estimated Pre-tax Amounts from Accumulated OCI into Period Cost |
|
|
|
|
|
|
|
|
|
|
(Dollars in millions) |
Qualified
Pension Plans
|
|
Non-U.S.
Pension Plans
|
|
Nonqualified and Other
Pension Plans
|
|
Postretirement Health and
Life Plans
|
|
Total |
Net actuarial loss (gain) |
$ |
284 |
|
|
$ |
4 |
|
|
$ |
26 |
|
|
$ |
(20 |
) |
|
$ |
294 |
|
Prior service cost |
— |
|
|
1 |
|
|
— |
|
|
4 |
|
|
5 |
|
Total amortized from accumulated OCI |
$ |
284 |
|
|
$ |
5 |
|
|
$ |
26 |
|
|
$ |
(16 |
) |
|
$ |
299 |
|
|
Schedule of Allocation of Plan Assets |
|
|
|
|
|
|
|
|
|
|
|
2013 Target Allocation Percentage |
|
|
|
|
|
Asset Category |
Qualified
Pension Plans
|
Non-U.S.
Pension Plans
|
Nonqualified
and Other
Pension Plans
|
Postretirement
Health and Life
Plans
|
Equity securities |
50 – 80 |
10 – 60 |
0 – 5 |
50 – 75 |
Debt securities |
25 – 50 |
20 – 65 |
95 – 100 |
25 – 45 |
Real estate |
0 – 5 |
0 – 15 |
0 – 5 |
0 – 5 |
Other |
0 – 10 |
5 – 40 |
0 – 5 |
0 – 5 |
|
Plan Investment Assets Measured At Fair Value By Level |
Plan investment assets measured at fair value by level and in total at December 31, 2012 and 2011 are summarized in the Fair Value Measurements table.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fair Value Measurements |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31, 2012 |
(Dollars in millions) |
Level 1 |
|
Level 2 |
|
Level 3 |
|
Total |
Cash and short-term investments |
|
|
|
|
|
|
|
|
|
|
|
Money market and interest-bearing cash |
$ |
1,404 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
1,404 |
|
Cash and cash equivalent commingled/mutual funds |
— |
|
|
96 |
|
|
— |
|
|
96 |
|
Fixed income |
|
|
|
|
|
|
|
|
|
|
|
U.S. government and government agency securities |
1,317 |
|
|
2,829 |
|
|
13 |
|
|
4,159 |
|
Corporate debt securities |
— |
|
|
1,062 |
|
|
— |
|
|
1,062 |
|
Asset-backed securities |
— |
|
|
1,109 |
|
|
— |
|
|
1,109 |
|
Non-U.S. debt securities |
70 |
|
|
535 |
|
|
10 |
|
|
615 |
|
Fixed income commingled/mutual funds |
99 |
|
|
1,432 |
|
|
— |
|
|
1,531 |
|
Equity |
|
|
|
|
|
|
|
|
|
|
|
Common and preferred equity securities |
7,432 |
|
|
— |
|
|
— |
|
|
7,432 |
|
Equity commingled/mutual funds |
290 |
|
|
2,316 |
|
|
— |
|
|
2,606 |
|
Public real estate investment trusts |
236 |
|
|
— |
|
|
— |
|
|
236 |
|
Real estate |
|
|
|
|
|
|
|
|
|
|
|
Private real estate |
— |
|
|
— |
|
|
110 |
|
|
110 |
|
Real estate commingled/mutual funds |
— |
|
|
10 |
|
|
324 |
|
|
334 |
|
Limited partnerships |
— |
|
|
110 |
|
|
231 |
|
|
341 |
|
Other investments (1)
|
22 |
|
|
543 |
|
|
129 |
|
|
694 |
|
Total plan investment assets, at fair value |
$ |
10,870 |
|
|
$ |
10,042 |
|
|
$ |
817 |
|
|
$ |
21,729 |
|
|
|
|
|
|
|
|
|
|
December 31, 2011 |
Cash and short-term investments |
|
|
|
|
|
|
|
|
|
|
|
Money market and interest-bearing cash |
$ |
1,065 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
1,065 |
|
Cash and cash equivalent commingled/mutual funds |
— |
|
|
30 |
|
|
— |
|
|
30 |
|
Fixed income |
|
|
|
|
|
|
|
|
|
|
|
U.S. government and government agency securities |
1,197 |
|
|
2,899 |
|
|
13 |
|
|
4,109 |
|
Corporate debt securities |
— |
|
|
1,058 |
|
|
— |
|
|
1,058 |
|
Asset-backed securities |
— |
|
|
907 |
|
|
— |
|
|
907 |
|
Non-U.S. debt securities |
53 |
|
|
479 |
|
|
10 |
|
|
542 |
|
Fixed income commingled/mutual funds |
82 |
|
|
1,487 |
|
|
— |
|
|
1,569 |
|
Equity |
|
|
|
|
|
|
|
|
|
|
|
Common and preferred equity securities |
6,862 |
|
|
— |
|
|
— |
|
|
6,862 |
|
Equity commingled/mutual funds |
390 |
|
|
2,094 |
|
|
— |
|
|
2,484 |
|
Public real estate investment trusts |
200 |
|
|
— |
|
|
— |
|
|
200 |
|
Real estate |
|
|
|
|
|
|
|
|
|
|
|
Private real estate |
— |
|
|
— |
|
|
113 |
|
|
113 |
|
Real estate commingled/mutual funds |
— |
|
|
11 |
|
|
249 |
|
|
260 |
|
Limited partnerships |
— |
|
|
105 |
|
|
232 |
|
|
337 |
|
Other investments (1)
|
14 |
|
|
572 |
|
|
122 |
|
|
708 |
|
Total plan investment assets, at fair value |
$ |
9,863 |
|
|
$ |
9,642 |
|
|
$ |
739 |
|
|
$ |
20,244 |
|
|
|
(1) |
Other investments include interest rate swaps of $311 million and $467 million, participant loans of $76 million and $75 million, commodity and balanced funds of $239 million and $116 million and other various investments of $68 million and $50 million at December 31, 2012 and 2011.
|
|
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation |
The Level 3 Fair Value Measurements table presents a reconciliation of all plan investment assets measured at fair value using significant unobservable inputs (Level 3) during 2012, 2011 and 2010.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Level 3 Fair Value Measurements |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2012 |
(Dollars in millions) |
Balance
January 1
|
|
Actual Return on Plan Assets Still Held at the
Reporting Date
|
|
Purchases |
|
Sales and Settlements |
|
Transfers into/
(out of) Level 3
|
|
Balance
December 31
|
Fixed income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
U.S. government and government agency securities |
$ |
13 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
13 |
|
Non-U.S. debt securities |
10 |
|
|
(1 |
) |
|
1 |
|
|
(1 |
) |
|
1 |
|
|
10 |
|
Real estate |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Private real estate |
113 |
|
|
(2 |
) |
|
2 |
|
|
(3 |
) |
|
— |
|
|
110 |
|
Real estate commingled/mutual funds |
249 |
|
|
13 |
|
|
62 |
|
|
— |
|
|
| |