Pacific Maritime Association

67 ACTUARIAL ACCRUED LIABILITY The actuarial accrued liability is the amount which, together with assumed investment earnings, will be sufficient to pay earned retirement benefits for the lifetimes of those Plan participants eligible for retirement benefits. The difference between net assets and total actuarial accrued liability is the unfunded actuarial accrued liability. Actuarial Accrued Liability July 1: 2013 2012 2011 2010 2009 2008 Actuarial Value of Assets $ 3,359,301,328 $ 2,869,381,355 $ 2,633,066,799 $ 2,522,553,618 $ 2,205,052,152 $ 2,466,948,451 Actuarial Liability: Pensioners/Survivors 2,754,746,121 2,573,606,987 2,513,302,386 2,243,258,011 2,078,811,766 1,935,615,589 Inactive Vested 15,444,953 12,430,339 12,515,033 11,241,278 8,685,216 6,110,066 Active Employees 2,582,633,337 2,435,390,438 2,166,810,917 1,886,912,069 1,956,977,578 1,959,948,905 Total Actuarial Liability $ 5,352,824,411 $ 5,021,427,764 $ 4,692,628,336 $ 4,141,411,358 $ 4,044,474,560 $ 3,901,674,560 Unfunded Actuarial Accrued Liability $ 1,993,523,083 $ 2,152,046,409 $ 2,059,561,537 $ 1,618,857,740 $ 1,839,422,408 $ 1,434,726,109 ILWU-PMA SUPPLEMENTAL WELFARE BENEFIT PLAN For Plan Year Ended June 30: 2013 2012 2011 2010 2009 2008 Contributions by employer $ – $ – $ 22,953,254 $ 25,190,376 $ 27,422,007 $ 29,713,308 Deductions: Benefits paid – – 22,759,922 24,993,061 27,233,339 29,546,592 Administrative expenses – – 193,902 198,202 192,557 169,3111 Total deductions $ – $ – $ 22,953,824 $ 25,191,263 $ 27,425,896 $ 29,715,903 Pension Benefits 67 P A C I F I C M A R I T I M E A S S O C I A T I O N S T A T I S T I C A L I N F O R M A T I O N The ILWU-PMA Supplemental Welfare Benefit Plan was discontinued as of July 1, 2011. These benefits were incorporated into the ILWU-PMA Pension Plan. CHANGES IN NET ASSETS AVAILABLE FOR PENSION BENEFITS The data in the table below are obtained from the audited annual financial statements of the ILWU-PMA Pension Plan. The records for the Plan are maintained on the accrual basis of accounting; each Plan Year ends June 30. EMPLOYER WITHDRAWAL LIABILITY Multi-employer plans are required by the Multi-employer Pension Plan Amendments Act of 1980 to establish procedures for the determination and imposition of withdrawal liability upon the withdrawal of a contributing employer. Under special rules approved by the Pension Benefit Guaranty Corporation, the ILWU-PMA Pension Plan will impose withdrawal liability for a withdrawal where the employer a) during the 5 years following withdrawal continues or resumes covered operation without an obligation to make contributions or b) sells or transfers all or a substantial portion of its business or assets to a non-contributing employer. An employer that simply goes out of business will generally have no withdrawal liability. To satisfy the withdrawal requirement, the Plan uses the presumptive method for the computation of withdrawal liability. The presumptive method bases such liability on certain components of the Plan's unfunded vested benefits liability. The unfunded vested benefits liability for the Plan Year ended June 30 is shown below. The benefits reflected in the calculation for active employees include only retirement benefits already accumulated, already vested and for which the active employees qualified as a result of age and service through June 30. Vested Liabilities as of Plan Year Ended June 30: 2013 2012 2011 2010 2009 2008 Retired Participants & Beneficiaries $ 2,687,664,825 $ 2,518,930,846 $ 2,338,720,216 $ 2,213,070,879 $ 2,045,222,201 $ 1,854,505,823 Inactive Vested 14,427,831 11,633,647 11,547,356 11,178,116 8,606,033 5,876,744 Active Vested Employees 1,588,782,541 1,480,465,257 1,316,277,562 1,199,985,307 1,221,160,824 1,186,518,865 Total Present Value Vested Liabilities $ 4,290,875,197 $ 4,011,029,750 $ 3,666,545,134 $ 3,424,234,302 $ 3,274,989,058 $ 3,046,901,432 Actuarial Value of Assets $ 3,359,301,328 $ 2,869,381,355 $ 2,633,066,799 $ 2,522,553,618 $ 2,205,052,152 $ 2,466,948,451 Unfunded Vested Benefits Liability $ 931,573,869 $ 1,141,648,395 $ 1,033,478,335 $ 901,680,684 $ 1,069,936,906 $ 579,952,981 For Plan Year Ended June 30: 2013 2012 2011 2010 2009 2008 Benefits Paid and Expenses Pensions paid $ 313,379,142 $ 298,059,481 $ 268,308,942 $ 257,749,435 $ 234,096,522 $ 221,824,522 Administrative expenses 6,206,996 6,116,737 5,241,442 5,133,109 5,084,654 4,384,463 Total Deductions $ 319,586,138 $ 304,176,218 $ 273,550,384 $ 262,882,544 $ 239,181,176 $ 226,208,985 Investment Income and Employer Contributions Net appreciation of fair value of investments $ 290,987,727 $ (33,212,644) $ 419,928,367 $ 123,723,731 $ (548,928,868) $ (222,528,309) Interest 16,799,291 17,316,573 19,383,868 23,491,904 32,840,188 34,294,086 Dividends from investments 52,296,404 49,591,569 41,729,497 35,738,728 39,370,795 42,501,468 Less investment expense (5,931,931) (6,164,184) (5,884,035) (5,852,488) (5,911,844) (7,036,826) Total Income Gain (Loss) $ 354,151,491 $ 27,531,314 $ 475,157,697 $ 177,101,875 $ (482,629,729) $ (152,769,581) Contributions from Employers 515,155,449 457,504,645 388,250,000 387,474,044 248,742,375 171,950,979 Miscellaneous Income – – – – – 532 Total Additions (Subtractions) $ 869,306,940 $ 485,035,959 $ 863,407,697 $ 564,575,919 $ (233,887,354) $ 19,181,930 Net Increase (Decrease) 549,720,802 180,859,741 589,857,313 301,693,375 (473,068,530) (207,027,055) Net Assets Avail for Benefits: Beg. of Year $ 2,909,953,889 $ 2,729,094,148 $ 2,139,236,835 $ 1,837,543,460 $ 2,310,611,990 $ 2,517,639,045 End of Year $ 3,459,674,691 $ 2,909,953,889 $ 2,729,094,148 $ 2,139,236,835 $ 1,837,543,460 $ 2,310,611,990

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