![]() McCORMICK & COMPANY 2007 ANNUAL REPORT |
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS | ||||
In 2007, the primary U.S. pension plan moved from an
underfunded to an overfunded status. Amounts recorded in the balance sheet consist of the following: ![]() Included in the United States in the preceding table is a benefit obligation of $43.2 million and $42.9 million for 2007 and 2006, respectively, related to a nonqualified defined benefit plan pursuant to which we will pay supplemental pension benefits to certain key employees upon retirement based upon employees’ years of service and compensation. The accrued liability related to this plan was $43.1 million and $40.4 million as of November 30, 2007 and 2006, respectively. The assets related to this plan are held in a Rabbi Trust and accordingly have not been included in the preceding table. These assets were $38.1 million and $31.6 million as of November 30, 2007 and 2006, respectively. The accumulated benefit obligation is the present value of pension benefits (whether vested or unvested) attributed to employee service rendered before the measurement date and based on employee service and compensation prior to that date. The accumulated benefit obligation differs from the projected benefit obligation in that it includes no assumption about future compensation levels. The accumulated benefit obligation for the U.S. pension plans was $347.2 million and $361.8 million as of September 30, 2007 and 2006, respectively. The accumulated benefit obligation for the international pension plans was $198.0 million and $188.1 million as of November 30, 2007 and 2006, respectively. Our actual and target weighted-average asset allocations of U.S. pension plan assets as of September 30, 2007 and 2006, by asset category, were as follows: ![]() |
The average actual and target asset allocations of the
international pension plans’ assets as of November 30,
2007 and 2006, by asset category, were as follows:
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McCormick & Company 2007 Annual Report 52 |
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