THE INTERNATIONAL ASSOCIATION OF LIONS CLUBS

NOTES TO FINANCIAL STATEMENTS

June 30, 2015 and 2014

NOTE 5 - PENSION AND OTHER BENEFIT PLANS (Continued)

Amounts recognized in the pension and postretirement benefit changes other than net periodic benefit cost
for the years ended June 30, consist of the following:
2015
Unrecognized actuarial (gain) loss
arising during the year
Amortization of unrecognized
actuarial loss
Amortization of unrecognized prior
service credit
Total

9,113,316
(1,365,988)
114,629

7,861,957

2014

101,790
(1,574,869)
114,629

$ (1,358,450)

The estimated net actuarial loss and prior service credit for the Plan that will be amortized into net periodic
benefit cost over the next fiscal year are $2,053,965 and $114,629, respectively, as of June 30, 2015.
The assumptions used in the measurement of the benefit obligations at June 30 are as follows:
2015
Discount rate (benefit expense)
Discount rate (benefit obligation)
Expected long-term return on plan assets
Rate of compensation increase

4.25%
4.45
4.70
3.00

2014
4.70%
4.25
7.50
4.00

For measurement purposes, a 5% health care cost trend rate was used for both fiscal years 2015 and 2014.
Trend rates are assumed to remain the same for the foreseeable future.
The discount rate assumption is set annually for each of the Associations retirement-related benefit plans
to reflect the yield of high-quality corporate debt instruments. The expected long-term return on plan assets
is the weighted-average return of the target asset allocation of each individual asset class. The expected
return on plan assets is compared to historical returns for reasonableness.

(Continued)
13.