Updated with correction March 2, 2011
Public corporations with worldwide defined benefit plan liabilities of more than $20 billion each saw a large increase in both assets and liabilities in 2010, according to a report from Russell Investments.
The report compiles information from the annual reports of the 16 firms representing what Russell calls the “$20 billion club.” They represent close to 40% of the total pension liabilities on all public U.S. corporate balance sheets, according to the report.
Total assets among the firms rose to $619 billion in 2010, a 7.1% increase from $578 billion the year before. The 16 firms made a total of $21 billion in employer contributions to its defined benefit plans in 2010.
The Russell 1000 returned 16.1% in the year ended Dec. 31.
Projected benefit obligations increased to $740 billion, a 5.6% increase.
The overall funding shortfall decreased slightly to $121.4 billion in 2010, from $122.1 billion the year before.
