XML 1065 R43.htm IDEA: XBRL DOCUMENT v2.4.0.8
Pension Plans and Other Postretirement Benefit Plans (Tables)
 12 Months Ended
Dec. 31, 2013
Pension plans and other postretirement benefit plans  
Schedule of Changes in Benefit Obligation and Fair Value of Plan Assets Amounts Recognized in Balance Sheet and Assumptions Used [Table Text Block]
 The following table summarizes the changes in benefit obligations and fair values of retirement plan assets during 2013 and 2012:
 
Defined Benefit Pension Plans
 
Other Post-
Retirement Plans
Change in Financial Status of Retirement Plans
(In millions)
U.S.
 
Non-U.S.
 
Total
 
2013
 
2012
 
2013
 
2012
 
2013
 
2012
 
2013
 
2012
Change in Projected Benefit Obligation (PBO):
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Benefit obligation at beginning of year
$
1,425.6

 
$
1,282.3

 
$
529.3

 
$
452.8

 
$
1,954.9

 
$
1,735.1

 
$
63.9

 
$
64.6

Service cost
25.2

 
21.5

 
11.1

 
8.9

 
36.3

 
30.4

 
0.2

 
0.2

Interest cost
51.9

 
55.9

 
20.6

 
21.4

 
72.5

 
77.3

 
2.2

 
2.5

Plan participants' contributions
—

 
—

 
0.6

 
0.6

 
0.6

 
0.6

 
—

 
—

Amendments
—

 
—

 
—

 
—

 
—

 
—

 
(1.7
)
 
—

Actuarial (gain) loss
(96.7
)
 
132.3

 
(2.4
)
 
58.2

 
(99.1
)
 
190.5

 
(4.3
)
 
(2.1
)
Medicare subsidy receipts
—

 
—

 
—

 
—

 
—

 
—

 
1.4

 
3.3

Benefits paid
(79.2
)
 
(66.4
)
 
(22.1
)
 
(23.1
)
 
(101.3
)
 
(89.5
)
 
(4.5
)
 
(4.6
)
Currency exchange translation adjustments
—

 
—

 
9.3

 
10.5

 
9.3

 
10.5

 
—

 
—

Benefit obligation at end of year
$
1,326.8

 
$
1,425.6

 
$
546.4

 
$
529.3

 
$
1,873.2

 
$
1,954.9

 
$
57.2

 
$
63.9

Change in Plan Assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fair value of plan assets at beginning of year
$
1,131.7

 
$
955.3

 
$
313.6

 
$
295.1

 
$
1,445.3

 
$
1,250.4

 
$
—

 
$
—

Actual return on plan assets
37.1

 
127.9

 
0.8

 
20.8

 
37.9

 
148.7

 
—

 
—

Employer contributions
55.6

 
114.9

 
12.7

 
11.9

 
68.3

 
126.8

 
3.1

 
1.3

Plan participants' contributions
—

 
—

 
0.6

 
0.6

 
0.6

 
0.6

 
—

 
—

Medicare subsidy receipts
—

 
—

 
—

 
—

 
—

 
—

 
1.4

 
3.3

Benefits paid
(79.2
)
 
(66.4
)
 
(22.1
)
 
(23.1
)
 
(101.3
)
 
(89.5
)
 
(4.5
)
 
(4.6
)
Currency exchange translation adjustments
—

 
—

 
0.9

 
8.3

 
0.9

 
8.3

 
—

 
—

Fair value of plan assets at end of year
$
1,145.2

 
$
1,131.7

 
$
306.5

 
$
313.6

 
$
1,451.7

 
$
1,445.3

 
$
—

 
$
—

Funded status at end of year (PBO basis)
$
(181.6
)
 
$
(293.9
)
 
$
(239.9
)
 
$
(215.7
)
 
$
(421.5
)
 
$
(509.6
)
 
$
(57.2
)
 
$
(63.9
)
Amounts recognized in the Consolidated Balance Sheets consist of:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Noncurrent assets
$
—

 
$
—

 
$
16.7

 
$
32.1

 
$
16.7

 
$
32.1

 
$
—

 
$
—

Current liabilities
(5.8
)
 
(5.8
)
 
(9.2
)
 
(8.2
)
 
(15.0
)
 
(14.0
)
 
(4.5
)
 
(4.3
)
Noncurrent liabilities
(175.8
)
 
(288.1
)
 
(247.4
)
 
(239.6
)
 
(423.2
)
 
(527.7
)
 
(52.7
)
 
(59.6
)
Net amount recognized
$
(181.6
)
 
$
(293.9
)
 
$
(239.9
)
 
$
(215.7
)
 
$
(421.5
)
 
$
(509.6
)
 
$
(57.2
)
 
$
(63.9
)
Amounts recognized in Accumulated Other Comprehensive Income consist of:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accumulated actuarial gain
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
(5.0
)
 
$
(0.3
)
Prior service cost (credit)
1.5

 
2.2

 
(0.3
)
 
(0.3
)
 
1.2

 
1.9

 
(1.7
)
 
—

Net amount recognized
$
1.5

 
$
2.2

 
$
(0.3
)
 
$
(0.3
)
 
$
1.2

 
$
1.9

 
$
(6.7
)
 
$
(0.3
)

 
Defined Benefit Pension Plans
 
Other Post-
Retirement Plans
Change in Financial Status of Retirement Plans
(In millions)
U.S.
 
Non-U.S.
 
Total
 
2013
 
2012
 
2013
 
2012
 
2013
 
2012
 
2013
 
2012
Weighted Average Assumptions Used to Determine Benefit Obligations as of December 31:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Discount rate
4.76
%
 
3.75
%
 
4.25
%
 
4.06
%
 
NM
 
NM
 
4.26
%
 
3.50
%
Rate of compensation increase
4.70
%
 
4.30
%
 
3.41
%
 
3.37
%
 
NM
 
NM
 
NM

 
NM

Weighted Average Assumptions Used to Determine Net Periodic Benefit Cost for Years Ended December 31:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Discount rate
3.75
%
 
4.50
%
 
4.06
%
 
4.83
%
 
NM
 
NM
 
3.50
%
 
4.00
%
Expected return on plan assets
6.00
%
 
6.25
%
 
4.66
%
 
4.98
%
 
NM
 
NM
 
NM

 
NM

Rate of compensation increase
4.30
%
 
4.30
%
 
3.37
%
 
3.40
%
 
NM
 
NM
 
NM

 
NM


_______________________________________________________________________________
NM—Not meaningful
Schedule of Net Benefit Cost and Amounts Recognized in Other Comprehensive Income (Loss) [Table Text Block]
Components of Net Periodic Benefit (Income) Cost and Other Amounts Recognized in Other Comprehensive (Income) Loss
(In millions)
2013
 
2012
 
2011
U.S.
 
Non-U.S.
 
Other
 
U.S.
 
Non-U.S.
 
Other
 
U.S.
 
Non-U.S.
 
Other
Net Periodic Benefit (Income) Cost
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Service cost
$
25.2

 
$
11.1

 
$
0.2

 
$
21.5

 
$
8.9

 
$
0.2

 
$
18.2

 
$
8.7

 
$
0.3

Interest cost
51.9

 
20.6

 
2.2

 
55.9

 
21.4

 
2.5

 
60.3

 
22.7

 
3.2

Expected return on plan assets
(68.0
)
 
(14.0
)
 
—

 
(63.3
)
 
(14.8
)
 
—

 
(66.1
)
 
(16.2
)
 
—

Amortization of prior service cost (credit)
0.7

 
—

 
—

 
0.9

 
(0.1
)
 
—

 
1.1

 
—

 
—

Annual mark-to-market adjustment
(65.8
)
 
11.0

 
—

 
67.7

 
52.2

 
—

 
99.1

 
13.1

 
—

Amortization of net deferred actuarial loss
—

 
—

 
0.4

 
—

 
—

 
0.6

 
—

 
—

 
0.6

Net curtailment and settlement loss
—

 
(0.1
)
 
—

 
—

 
—

 
—

 
—

 
—

 
—

Net periodic benefit (income) cost
$
(56.0
)
 
$
28.6

 
$
2.8

 
$
82.7

 
$
67.6

 
$
3.3

 
$
112.6

 
$
28.3

 
$
4.1

Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive (Income) Loss
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net deferred actuarial gain
$
—

 
$
—

 
$
(4.3
)
 
$
—

 
$
—

 
$
(2.1
)
 
$
—

 
$
—

 
$
(7.3
)
Net prior service credit
—

 
—

 
(1.7
)
 
—

 
—

 
—

 
—

 
(0.4
)
 
—

Amortization of prior service cost (credit)
(0.7
)
 
—

 
—

 
(0.9
)
 
0.1

 
—

 
(1.1
)
 
—

 
—

Amortization of net deferred actuarial loss
—

 
—

 
(0.4
)
 
—

 
—

 
(0.6
)
 
—

 
—

 
(0.6
)
Total recognized in other comprehensive (income) loss
(0.7
)
 
—

 
(6.4
)
 
(0.9
)
 
0.1

 
(2.7
)
 
(1.1
)
 
(0.4
)
 
(7.9
)
Total recognized in net periodic benefit (income) cost and other comprehensive (income) loss
$
(56.7
)
 
$
28.6

 
$
(3.6
)
 
$
81.8

 
$
67.7

 
$
0.6

 
$
111.5

 
$
27.9

 
$
(3.8
)
Schedule of Net Funded Status Benefits Paid and Discount Rate [Table Text Block]
Funded Status of U.S. Pension Plans
(In millions)
Fully-Funded U.S. Qualified
Pension Plans(1)
 
Underfunded U.S.
Qualified Pension Plans(1)
 
Unfunded Pay-As-You-Go
U.S. Nonqualified Plans(2)
2013

2012

2011

2013

2012

2011

2013

2012

2011
Projected benefit obligation
$
—

 
$
—

 
$
—

 
$
1,197.4

 
$
1,288.6

 
$
1,157.5

 
$
129.4

 
$
137.0

 
$
124.8

Fair value of plan assets
—

 
—

 
—

 
1,145.2

 
1,131.7

 
955.3

 
—

 
—

 
—

Funded status (PBO basis)
$
—

 
$
—

 
$
—

 
$
(52.2
)
 
$
(156.9
)
 
$
(202.2
)
 
$
(129.4
)
 
$
(137.0
)
 
$
(124.8
)
Benefits paid
$
—

 
$
—

 
$
—

 
$
(73.6
)
 
$
(60.7
)
 
$
(59.9
)
 
$
(5.6
)
 
$
(5.7
)
 
$
(5.6
)
Funded Status of Non-U.S. Pension Plans
(In millions)
Fully-Funded Non-U.S.
Pension Plans(1)
 
Underfunded Non-U.S.
Pension Plans(1)
 
Unfunded Pay-As-You-Go
Non-U.S. Pension Plans(2)
2013
 
2012
 
2011
 
2013
 
2012
 
2011
 
2013
 
2012
 
2011
Projected benefit obligation
$
247.3

 
$
237.1

 
$
213.3

 
$
56.5

 
$
62.6

 
$
53.1

 
$
242.6

 
$
229.6

 
$
186.4

Fair value of plan assets
264.0

 
269.2

 
255.8

 
42.5

 
44.4

 
39.3

 
—

 
—

 
—

Funded status (PBO basis)
$
16.7

 
$
32.1

 
$
42.5

 
$
(14.0
)
 
$
(18.2
)
 
$
(13.8
)
 
$
(242.6
)
 
$
(229.6
)
 
$
(186.4
)
Benefits paid
$
(10.0
)
 
$
(11.8
)
 
$
(10.2
)
 
$
(4.2
)
 
$
(3.6
)
 
$
(2.2
)
 
$
(7.9
)
 
$
(7.7
)
 
$
(8.8
)
_______________________________________________________________________________
(1)
Plans intended to be advance-funded.
(2)
Plans intended to be pay-as-you-go.
Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets [Table Text Block]
Pension Plans with Underfunded or
Unfunded Accumulated Benefit Obligation
(In millions)
U.S.
 
Non-U.S.
 
Total
2013
 
2012
 
2013
 
2012
 
2013
 
2012
Projected benefit obligation
$
347.8

 
$
1,425.6

 
$
259.2

 
$
280.3

 
$
607.0

 
$
1,705.9

Accumulated benefit obligation
344.1

 
1,371.2

 
230.7

 
242.0

 
574.8

 
1,613.2

Fair value of plan assets
201.1

 
1,131.7

 
8.9

 
35.5

 
210.0

 
1,167.2


Estimated Expected Future Benefit Payments Reflecting Future Service and Medicare Subsidy Receipts for the Fiscal Years Ending
(In millions)
Pension Plans
 
Other
Postretirement Plans
 
Total
Payments
Net of
Subsidy
U.S.(1)
 
Non-U.S.(2)
 
Benefit
Payments
 
Medicare
Subsidy
Receipts
 
Benefit
Payments(3)
 
Benefit
Payments
 
 
 
2011 (actual)
$
65.5

 
$
21.2

 
$
3.6

 
$
(1.9
)
 
$
88.4

2012 (actual)
66.4

 
23.1

 
4.6

 
(3.3
)
 
90.8

2013 (actual)
79.2

 
22.1

 
4.5

 
(1.4
)
 
104.4

2014(3)
108.6

 
23.0

 
6.2

 
(1.7
)
 
136.1

2015
82.2

 
22.7

 
6.0

 
(0.5
)
 
110.4

2016
83.5

 
24.4

 
5.8

 
(0.1
)
 
113.6

2017
84.9

 
25.1

 
5.6

 
(0.1
)
 
115.5

2018
86.3

 
26.0

 
5.3

 
(0.1
)
 
117.5

2019 - 2023
446.5

 
146.7

 
22.1

 
(0.3
)
 
615.0
Schedule of Benefit Payments Net of Medicare Subsidy Receipts [Table Text Block]
Estimated Expected Future Benefit Payments Reflecting Future Service and Medicare Subsidy Receipts for the Fiscal Years Ending
(In millions)
Pension Plans
 
Other
Postretirement Plans
 
Total
Payments
Net of
Subsidy
U.S.(1)
 
Non-U.S.(2)
 
Benefit
Payments
 
Medicare
Subsidy
Receipts
 
Benefit
Payments(3)
 
Benefit
Payments
 
 
 
2011 (actual)
$
65.5

 
$
21.2

 
$
3.6

 
$
(1.9
)
 
$
88.4

2012 (actual)
66.4

 
23.1

 
4.6

 
(3.3
)
 
90.8

2013 (actual)
79.2

 
22.1

 
4.5

 
(1.4
)
 
104.4

2014(3)
108.6

 
23.0

 
6.2

 
(1.7
)
 
136.1

2015
82.2

 
22.7

 
6.0

 
(0.5
)
 
110.4

2016
83.5

 
24.4

 
5.8

 
(0.1
)
 
113.6

2017
84.9

 
25.1

 
5.6

 
(0.1
)
 
115.5

2018
86.3

 
26.0

 
5.3

 
(0.1
)
 
117.5

2019 - 2023
446.5

 
146.7

 
22.1

 
(0.3
)
 
615.0


_______________________________________________________________________________
(1)
Effective January 1, 2008, lump sum distributions from certain U.S. qualified pension plans were restricted based on the provisions of the Pension Protection Act of 2006 (the "Act"). The Act prohibited the distribution of lump sums to retiring participants while the Company was operating under Chapter 11 of the U.S. Bankruptcy Code and when the plan was less than 100% funded. After emergence from Chapter 11, the plan is permitted to distribute lump sums to retiring participants under the Act when the plan is at least 80% funded.
(2)
Non-U.S. estimated benefit payments for 2014 and future periods have been translated at the applicable December 31, 2013, exchange rates.
(3)
Includes approximately $28 million of benefit payments from nonqualified plans that were previously restricted by the Bankruptcy Court while the Company was in Chapter 11 and are expected to be paid in 2014.
Pension Plans
  
Pension plans and other postretirement benefit plans  
Schedule of Net Funded Status [Table Text Block]
The following table presents the funded status of Grace's fully-funded, underfunded, and unfunded pension plans:
(In millions)
December 31, 2013
 
December 31, 2012
Overfunded defined benefit pension plans
$
16.7

 
$
32.1

Underfunded defined benefit pension plans
(66.2
)
 
(175.1
)
Unfunded defined benefit pension plans
(233.4
)
 
(221.4
)
Total underfunded and unfunded defined benefit pension plans
(299.6
)
 
(396.5
)
Unfunded defined benefit pension plans included in liabilities subject to compromise
(123.6
)
 
(131.2
)
Pension liabilities included in other current liabilities
(15.0
)
 
(14.0
)
Net funded status
$
(421.5
)
 
$
(509.6
)
U.S. qualified pension plans
  
Pension plans and other postretirement benefit plans  
Schedule of Allocation of Plan Assets [Table Text Block]
The target allocation of investment assets at December 31, 2013, and the actual allocation at December 31, 2013 and 2012, for Grace's U.S. qualified pension plans are as follows:
 
Target
Allocation
 
Percentage of Plan Assets
December 31,
U.S. Qualified Pension Plans Asset Category
2013
 
2013
 
2012
U.S. equity securities
10
%
 
10
%
 
16
%
Non-U.S. equity securities
6
%
 
6
%
 
7
%
Short-term debt securities
10
%
 
10
%
 
6
%
Intermediate-term debt securities
28
%
 
28
%
 
31
%
Long-term debt securities
44
%
 
44
%
 
35
%
Other investments
2
%
 
2
%
 
5
%
Total
100
%
 
100
%
 
100
%
Schedule of Fair Value of Plan Asset [Table Text Block]
The following tables present the fair value hierarchy for the U.S. qualified pension plan assets measured at fair value as of December 31, 2013 and 2012.
 
Fair Value Measurements at December 31, 2013 Using
Assets Measured at Fair Value—U.S. Qualified Pension Plans
(In millions)
Total
 
Quoted Prices in
Active Markets
for Identical
Assets or
Liabilities
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
U.S. equity group trust funds
$
111.5

 
$
—

 
$
111.5

 
$
—

Non-U.S. equity group trust funds
67.1

 
—

 
67.1

 
—

Corporate bond group trust funds—intermediate-term
322.6

 
—

 
322.6

 
—

Corporate bond group trust funds—long-term
502.3

 
—

 
502.3

 
—

Other fixed income group trust funds
22.9

 
—

 
22.9

 
—

Common/collective trust funds
102.3

 
—

 
102.3

 
—

Annuity and immediate participation contracts
16.5

 
—

 
16.5

 
—

Total Assets
$
1,145.2

 
$
—

 
$
1,145.2

 
$
—



 
Fair Value Measurements at December 31, 2012 Using
Assets Measured at Fair Value—U.S. Qualified Pension Plans
(In millions)
Total
 
Quoted Prices in
Active Markets
for Identical
Assets or
Liabilities
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
U.S. equity group trust funds
$
178.8

 
$
—

 
$
178.8

 
$
—

Non-U.S. equity group trust funds
79.2

 
—

 
79.2

 
—

Corporate bond group trust funds—intermediate-term
348.4

 
—

 
348.4

 
—

Corporate bond group trust funds—long-term
399.4

 
—

 
399.4

 
—

Other fixed income group trust funds
36.9

 
—

 
36.9

 
—

REIT group trust funds
15.0

 
—

 
15.0

 
—

Common/collective trust funds
58.1

 
—

 
58.1

 
—

Annuity and immediate participation contracts
15.9

 
—

 
15.9

 
—

Total Assets
$
1,131.7

 
$
—

 
$
1,131.7

 
$
—
Non-U.S. pension plans
  
Pension plans and other postretirement benefit plans  
Schedule of Fair Value of Plan Asset [Table Text Block]
The following tables present the fair value hierarchy for the non-U.S. pension plan assets measured at fair value as of December 31, 2013 and 2012.
 
Fair Value Measurements at December 31, 2013 Using
Assets Measured at Fair Value—Non-U.S. Pension Plans
(In millions)
Total
 
Quoted Prices
in Active
Markets for
Identical
Assets or
Liabilities
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
Common/collective trust funds
$
294.8

 
$
—

 
$
294.8

 
$
—

Government and agency securities
2.4

 
—

 
2.4

 
—

Corporate bonds
1.3

 
—

 
1.3

 
—

Insurance contracts and other investments
6.3

 
—

 
6.3

 
—

Cash
1.7

 
1.7

 
—

 
—

Total Assets
$
306.5

 
$
1.7


$
304.8

 
$
—



 
Fair Value Measurements at December 31, 2012 Using
Assets Measured at Fair Value—Non-U.S. Pension Plans
(In millions)
Total
 
Quoted Prices
in Active
Markets for
Identical
Assets or
Liabilities
(Level 1)
 
Significant
Other
Observable
Inputs
(Level 2)
 
Significant
Unobservable
Inputs
(Level 3)
Common/collective trust funds
$
301.3

 
$
—

 
$
301.3

 
$
—

Government and agency securities
2.4

 
—

 
2.4

 
—

Corporate bonds
1.2

 
—

 
1.2

 
—

Insurance contracts and other investments
8.0

 
—

 
8.0

 
—

Cash
0.7

 
0.7

 
—

 
—

Total Assets
$
313.6

 
$
0.7

 
$
312.9

 
$
—
Non-U.S. pension plans | United Kingdom
  
Pension plans and other postretirement benefit plans  
Schedule of Allocation of Plan Assets [Table Text Block]
The target allocation of investment assets at December 31, 2013, and the actual allocation at December 31, 2013 and 2012, for the U.K. pension plan are as follows:
 
Target
Allocation
 
Percentage of Plan Assets
December 31,
United Kingdom Pension Plan Asset Category
2013
 
2013
 
2012
Diversified growth funds
12
%
 
13
%
 
12
%
U.K. gilts
41
%
 
40
%
 
41
%
U.K. corporate bonds
47
%
 
47
%
 
47
%
Total
100
%
 
100
%
 
100
%
Non-U.S. pension plans | Canada
  
Pension plans and other postretirement benefit plans  
Schedule of Allocation of Plan Assets [Table Text Block]
The target allocation of investment assets at December 31, 2013, and the actual allocation at December 31, 2013 and 2012, for the Canadian pension plan are as follows:
 
Target
Allocation
 
Percentage of Plan Assets
December 31,
Canadian Pension Plan Asset Category
2013
 
2013
 
2012
Equity securities
33
%
 
34
%
 
61
%
Bonds
49
%
 
48
%
 
39
%
Other investments
18
%
 
18
%
 
—
%
Total
100
%
 
100
%
 
100
%