穆迪投资机构HR福利分析案.ppt

Session39 Workshop AnalyzingDefinedBenefitPensionPlans PostretirementBenefits GregCliftonVP SeniorAnalystMoody sInvestorsService 中国培训师大联盟www china 2 RatingMethodology 3 CashFlowConsiderations PensionplansUnderstandcontributionrequirementsRoughestimatecanbemadewithSFAS87informationDuetoundisclosedcredits somecompaniesmaynotfacelargecontributionrequirementsforseveralyearsCanbeoffsetbycontributingstock OPEBPrimaryfocusonbenefitspaid recordedon pay asyou go basis CanobtainbenefitspaidinformationintherollforwardoftheAPBOCananalyzegrowthin NetperiodicpostretirementcostBenefitpaymentsCanuseaboveratestoprojectfuturebenefitpayments 4 BalanceSheet Adjustments ForpensionsRecordedDebtPerBalanceSheet Add Off balancesheetliabilities e g leaseobligations guarantees Add NetunderfundedPBOfromnotestofinancialstatements AdjustedDebtOPEB mayincludetheunderfundedamountoftheAPBOinadjusteddebtincertaincircumstances 5 IncomeStatement AsAdjustedByMoody s Servicecost noadjustments Interestcost adjustedonlyifMoody sdisagreeswithdiscountrate Amortizationofpriorservicecost Notused Recognizednetactuarialgains Notused Amortizationoftransitionasset Notused Actuallossesonplanassets orActualgainsuptotheamountofinterestcost AdjustedNetPeriodicPension OPEBcost 6 FinancialStatementInformation ACloserLook 7 PensionPlanFundedStatus Financingcostoftheplan Changesinactuarialassumptions i e attrition retirement mortality discountandcomp Increaserates PBO Projectedbenefitobligation PVofbenefitsearnedtodateincl projectedsalaryincreases Economicpositionofthefirm spensionplans Fairvalueofplanassets PBO Actuarialpresentvalueofbenefitsearnedduringthecurrentperiod byvirtueofhavingworkedanotheryear 8 BSandISReporting Economicpositionofthefirm spensionplans Fairvalueofplanassets PBO Netbalancesheetentryforplanstatus Ifplanlevelpensionliability ABO planassets diff mustberecognizedasamin liabilityv s intangibleasset chargetocomprehensiveincome Expectedlongtermreturnonplanassets Keysubjectivedriverofnetperiodicpensioncost Amortization smoothingofprioryeargainsandlossesfromreestimateofPBOandaccumulateddeferredreturnonassets Mostlyamortizationofpriorservicecostduetoplanamendments ReportedpensioncostinP L 9 Assumptionsv Reality Proxyforfixedincomereturns Proxyforequityreturns Discountrateusedtocomputebenefitobligation Rateatwhichpensionobligationscouldbesettled ShouldmoveinlinewithMoody sAa Shouldreflectreasonableassumptionsgivenassetmix 10 CaseStudy DowChemical 11 Solution PartI 1 Whatisthefundedstatus i e underfundedPBO oftheU S plans PBO FVA 2003 2 304 2002 2 536 2 Whatisthefundingratio FVA PBO 2003 82 9 2002 79 0 Whatistheamountofbenefitspaidfor2003 Pension 737OPEB 166Doanalystscareaboutbenefitspaid Whyorwhynot Pension No theyarepaidoutoftheplanOPEB Yes theyaregenerallypaidbythecompany 12 Solution PartI 5 Howmuchmoneydidthecompanycontributetotheplanin 2003 2352002 112Howmuchdoesthecompanyexpecttocontributein2004 Pension 37OPEB bestguess 166 1707 Tobediscussed 13 Solution PartII 20032002Whatisthetotalamountofrecordeddebt 13 109 13 036WhatistheunderfundedPBO 2 3042 536Pensionadjusteddebt 15 413 15 572Totalequity 9 175 7 626Whataretheleverageratios BV 58 8 63 1 Whatarethepensionadjustedleverageratios 62 7 67 1 Debt Equity Book 22 284 20 662Adjusted 24 588 23 198 14 Solution PartIII 20032002EBIT 2 341 32TotalNetPeriodicPensionIncome 28 145 ServiceCost 242 219 EBIT asadjusted 2 071 332 EBITchanged 11 5 1 000 Netincome loss 1 730 338 TotalNetPeriodicPensionIncome 28 145 ServiceCost 242 219 Pensioninterestcost 773 748 Actualgains losses 773 1 230 Netincome loss asadjusted 1 460 2 680 NetIncome loss changed 15 6 693 15 HowMightTheFollowingActionsBeViewedByMoody s DiscretionaryexcesspensioncontributionsIncurringdebttomakediscretionarycontributionsContributingcompanystocktopensionplanContributingtoVEBAsforOPEBplans 16 Q A