Question

Please explain the changes in the disclosure requirements for defined benefit plans that became effective after December 15, 2009 due to the release of ASC topic 715.

Answer 1

The following disclosure requirements were removed from Subtopic 715-20:
Amounts in accumulated other comprehensive income expected to be recognized as components of net periodic benefit cost over the next fiscal year.
Amount and timing of any plan assets expected to be returned to the employer.
The disclosures related to the June 2001 amendments to the Japanese Welfare Pension Insurance Law.
Related party disclosures about the amount of future annual benefits covered by insurance and annuity contracts and significant transactions between the employer or related parties and the plan.
For nonpublic entities, the reconciliation of the opening balances to the closing balances of plan assets measured on a recurring basis in Level 3 of the fair value hierarchy. However, nonpublic entities will now be required to disclose separately the amounts of purchases and any transfers into or out of Level 3 of the fair value hierarchy.
For public entities, the effects of a one-percentage-point change in the assumed health care cost trend rates on the aggregate of the service and interest cost components of net periodic postretirement health care benefit costs and the accumulated postretirement benefit obligation for health care benefits.

The following disclosure requirements are added to Subtopic 715-20:
The weighted-average interest crediting rates for cash balance plans and other plans with promised interest crediting rates.
An explanation of the reasons for significant gains and losses related to changes in the benefit obligation for the period.