3) Actuarial gain
/loss on pension plan Lexmark elected during the fourth quarter of 2013 to change its method of accounting for mark-to-market (MTM) asset and actuarial gains
and losses for its pension and other postretirement plans to improve transparency of operational performance.
Strong equity investment returns, offset by an increase in the defined benefits obligations due to changes in market conditions, were the main reasons behind the overall net actuarial gain
Had GE based pension cost on actual rather than expected return on plan assets, and not included the actuarial gain
, the company would have recorded an expense of $5.
If the actual return on pension plan assets is greater than the expected return, there is an actuarial gain
Records the $800 increase in the liability for the actuary's adjustment while the corresponding debit is added to the deferred actuarial gain
or loss component of other comprehensive income.
If the actual experience of the plan differs from that which was assumed to occur by the choice of actuarial assumptions, an actuarial gain
or loss occurs.
Fourth quarter 2013 included a MTM actuarial gain
Amounts for the three months ended December 31, 2013, include actuarial gain
on pension plan of $82.
/ (loss) recognised in 1,136 - (1,920)
Note 2: The manner in which the Actuarial Gain
(Loss) affects future Normal Cost and Actuarial Accrued Liability allocations depends upon the particular Actuarial Cost Method Used.
Amounts for the nine months ended September 30, 2014, include actuarial gain
on pension plan of $2.
John Tyson, chairman and CEO, said, "The restatement relates to the tax treatment of a one-time non recurring actuarial gain