CHICAGO (June 17, 2011)—Goodyear plans to contribute $1.35 billion to its pension plans through 2013 to improve the funded status of the plans, CFO Darren Wells told a Deutsche Bank analysts' conference in Chicago this week.
Wells said the company expects to contribute an estimated $275 million, $550 million and $525 million to its worldwide pension plans in 2011, 2012 and 2013, respectively.
According to Goodyear's 2010 annual report, Goodyear had $3.7 billion in assets and $5.6 billion in liabilities for its U.S. defined benefit pension plans, resulting in a funded status of 66 percent. The company's non-U.S. pension plan had assets of $2.1 billion and liabilities of $2.7 billion for a funded status of 77 percent.
The asset allocation for the company's U.S. plans as of Dec. 31 was 66.1 percent equities, 31.6 percent fixed income, 1.7 percent cash and other, and 0.6 percent real estate. Allocation for Goodyear's non-U.S. plans was 52.1 percent fixed income, 31.9 percent equities, 10.9 percent cash and other, and 5.1 percent real estate.