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Employee Benefit Plans (Tables)
12 Months Ended
Dec. 31, 2012
Summary of Net Periodic Benefit Cost

The components of net periodic benefit cost and the assumptions related to the cost consisted of the following:

 

     Year Ended December 31,  
             2012                      2011                      2010          

Service cost

   $ 5         $ 3         $ 2     

Interest cost

     27           17           12     

Expected return on plan assets

     (25)          (17)          (11)    

Amortization of unrecognized amounts

     14           8           6     
  

 

 

    

 

 

    

 

 

 

Net periodic benefit cost

   $ 21         $ 11         $ 9     
  

 

 

    

 

 

    

 

 

 
Summary of Funded Status of Pension Plans

The Company uses a measurement date of December 31 for its pension plans. The funded status of the pension plans as of December 31, 2012 and 2011 was as follows:

 

Change in Benefit Obligation

           2012                      2011          

Benefit obligation at end of prior year

   $ 600         $ 236     

Service cost

     5           3     

Interest cost

     27           17     

Plan amendments

     1           -     

Actuarial loss

     58           52     

Net benefits paid

     (21)          (14)    

Assumed benefit obligation of acquired entities

     -           306     
  

 

 

    

 

 

 

Benefit obligation at end of current year

   $ 670         $ 600     
  

 

 

    

 

 

 

Change in Plan Assets

     

Fair value of assets at end of prior year

   $ 412         $ 173     

Actual return on plan assets

     56           22     

Employer contributions

     18           24     

Net benefits paid

     (21)          (14)    

Acquired fair value of plan assets of acquired entities

     -           207     
  

 

 

    

 

 

 

Fair value of assets at end of current year

   $ 465         $ 412     
  

 

 

    

 

 

 

Total unfunded status at end of year (recognized in other non-current liabilities in the Consolidated Balance Sheets)

   $ (205)        $ (188)    
  

 

 

    

 

 

 
Summary of Assumptions Used to Determine Pension Obligations and Pension Costs

The following assumptions were used to determine pension obligations and pension costs for the principal plans in which the Company’s employees participated:

 

     For the Year Ended December 31,  
             2012                      2011                      2010          

U.S. Pension Benefit Plans

        

Discount rate:

        

Net periodic benefit cost

     4.00%           5.25%           5.75%     

Benefit obligation

     4.00%           4.00%           5.25%     

Long-term rate of return on plan assets

     7.50%           8.00%           8.25%     

Non-U.S. Pension Benefit Plans

        

Discount rate:

        

Net periodic benefit cost

     4.75%           5.00%           6.75%     

Benefit obligation

     4.50%           4.75%           6.50%     

Long-term rate of return on plan assets

     5.35%           5.25%           6.75%     
Summary of Defined Benefit Pension Plans' Assets Fair Value

The following table presents the defined benefit pension plans’ assets measured at fair value, as of December 31:

 

Asset Class        

           2012                      2011          

Cash equivalents

   $       $   

Short term investments

               

U.S. stock

     91          84    

Non-U.S. stock

     149          124    

Real estate investment trusts

               

Non-U.S. government securities

     70          64    

U.S. government securities

     20          18    

Corporate bonds

     105          90    

Other assets

     14          13    
  

 

 

    

 

 

 

Total assets

   $ 465        $ 412