Eaton Corp., Dublin, plans to contribute a total $128 million to its defined benefit funds in 2020, the company disclosed in a 10-K filing with the SEC.
The company said in the regulatory filing that it plans to contribute $104 million to its non-U.S. DB plans and a further $24 million to its U.S. funds.
In 2019, the company contributed a total $119 million to its funds, with $102 million to the non-U.S. plans and $17 million to the U.S. plans.
The discount rate for non-U.S. plans was 2.02% in 2019, down from 2.83% in 2018. For U.S. plans, the discount rate was 3.22% in 2019, down from 4.28% in 2018.
As of Dec. 31, non-U.S. fund assets totaled $1.9 billion, with projected benefit obligations of $2.7 billion. The funded ratio was 70.4%. That compared to a 68.3% funded ration in 2018.
For U.S. plans, assets totaled $3.4 billion as of Dec. 31. Projected benefit obligations were $4 billion, giving a funded ratio of 85%. That increased from 84.4% in 2018.
The target allocation for U.S. plans is 25% U.S. equities, 25% non-U.S. equities, 8% real estate, 37% fixed-income and 5% in other assets, including private equity and cash.
The target allocation for U.K. plans is 60% equities and the remainder is fixed income, real estate and cash. U.K. plans represent 28% of total assets, U.S. plans represent 64% of total assets and the remaining assets are in Canadian plans, the filing said.