3M Co. expects to contribute $400 million to $600 million to its U.S. and international retirement plans in 2011, according to an SEC filing.
According to its 2010 10-K, the St. Paul, Minn., company contributed $556 million to its U.S. and international pension plans last year. The company’s U.S. defined benefit assets increased 10.3% to $11.58 billion as of Dec. 31, from $10.49 billion a year ago; international defined benefit assets increased 11.8% to $4.36 billion as of Dec. 31, from $3.9 billion a year ago, according to the filing.
The funded status of the U.S. DB plan improved to 94% at year-end 2010 from 92.1% a year earlier, while the discount rate fell to 5.23% from 5.77% in the same period. Funded status of the international plan improved to 88.7% from 83.2%, while the discount rate decreased to 5.3% from 5.53% for the same period.
As of Dec. 31, the U.S. plan asset allocation was 33.1% equities; 24.8% fixed income; 17.7% private equity; 15.1% absolute return; 5.5% cash and cash equivalents; and 3.8% commodities. The international plan allocation was 40.5% fixed income; 40.1% equities; 11.9% absolute return; 5.5% cash and cash equivalents; and 2% private equity, the filing showed.
Also, PPG Industries Inc., Pittsburgh, made a voluntary contribution to its U.S. defined benefit pension plan of $50 million last month and expects to make further contributions of $75 million to its non-U.S. plans some time this year, according to an SEC filing.
In its filing, the company does not provide a breakdown of U.S. and non-U.S. pension assets, but the company’s total defined benefit assets increased 14.8% to $4.13 billion as of Dec. 31, from $3.59 billion a year earlier.
The funded status of the DB plan improved to 83.3% from 79.1% at year-end, while the discount rate fell to 5.3% from 5.7% a year earlier.
As of Dec. 31, the asset allocation was 53.2% fixed income; 43.2% equities; 3.6% real estate and other, according to the filing.