Issue link: http://catalog.e-digitaleditions.com/i/114936
NOTE 11 - RETIREMENT PLANS We provide certain employees with defined contribution plans. A portion of our retirement plan expense under the defined contribution plans is funded with Stryker common stock. The use of Stryker common stock represents a non-cash operating activity that is not reflected in the Consolidated Statements of Cash Flows. 2012 Defined contribution retirement plan expense Defined contribution plan expense funded with Stryker common stock Stryker common stock held by defined contribution plan Dollar amount Shares (in millions of shares) Value as a percentage of total plan assets 2011 $ 112 15 $ 2010 106 12 104 1.9 9% $ 102 11 91 1.8 9% 96 1.8 10% Certain of our subsidiaries have both funded and unfunded defined benefit pension plans covering some or all of their employees. Substantially all of the defined benefit pension plans have projected benefit obligations in excess of plan assets. Obligations and Funded Status December 31 2012 Funded status Fair value of plan assets Benefit obligations Funded status Amounts recognized in the Consolidated Balance Sheets Noncurrent assets���other Current liabilities���accrued compensation Noncurrent liabilities���other liabilities Pre-tax amounts recognized in accumulated other comprehensive income Unrecognized net actuarial loss Unrecognized prior service cost Unrecognized transition amount $ 2011 254 $ 447 (193) $ 210 316 (106) $ ��� $ (1) (192) ��� (1) (105) $ (150) $ 12 ��� (138) $ (68) 12 ��� (56) $ $ The estimated net actuarial loss for the defined benefit pension plans to be reclassified from accumulated other comprehensive income into net periodic benefit cost in the year ended December 31, 2013 is ($7). We estimate that an immaterial amount of amortization of prior service cost and transition amount for the defined benefit pension plans will be reclassified from accumulated other comprehensive income into net periodic benefit cost in the year ended December 31, 2013. Pension plans with an accumulated benefit obligation in excess of plan assets had projected benefit obligations, accumulated benefit obligations and fair value of plan assets of $447, $417 and $254, respectively, at December 31, 2012 and $298, $292 and $195, respectively, at December 31, 2011. Change in Benefit Obligation and Plan Assets December 31 2012 Change in projected benefit obligations: Projected benefit obligations at beginning of year Service cost Interest cost Foreign exchange impact Employee contributions Actuarial (gains) losses Plan amendments Benefits paid Projected benefit obligations at end of year Accumulated benefit obligations at end of year $ 2011 316 $ 21 13 2 6 110 (1) (20) 447 $ 417 $ $ 308 20 13 3 4 (7) (13) (12) 316 305 December 31 2012 Change in plan assets: Fair value of plan assets at beginning of year Actual return Employer contributions Employee contributions Foreign exchange impact Benefits paid Fair value of plan assets at end of year 38 $ 2011 210 33 21 6 2 (18) 254 $ 200 (4) 18 5 2 (11) 210 Dollar amounts in millions except per share amounts or as otherwise specified