Pension Benefits

6 Months Ended

Jun. 15, 2013

Compensation and Retirement Disclosure [Abstract]

Pension Benefits

Pension Benefits

We sponsor noncontributory defined benefit pension plans covering certain full-time salaried and hourly U.S. employees.  The most significant of these plans, the YUM Retirement Plan (the “Plan”), is funded while benefits from the other U.S. plan are paid by the Company as incurred.  During 2001, the plans covering our U.S. salaried employees were amended such that any salaried employee hired or rehired by YUM after September 30, 2001 is not eligible to participate in those plans.  We also sponsor various defined benefit pension plans covering certain of our non-U.S. employees, the most significant of which are in the UK. During the quarter ended March 23, 2013, one of our UK plans was frozen such that existing participants can no longer earn future service credits. Our other UK plan was previously frozen to future service credits in 2011.

The components of net periodic benefit cost associated with our U.S. pension plans and significant international pension plans are as follows:

	U.S. Pension Plans						International Pension Plans
	Quarter ended						Quarter ended
	6/15/2013			6/16/2012			6/15/2013			6/16/2012
Service cost	$	5		$	6		$	—		$	1
Interest cost	12			15			2			2
Expected return on plan assets	(13		)	(16		)	(2		)	(3		)
Amortization of net loss	12			14			—			—
Amortization of prior service cost	1			—			—			—
Net periodic benefit cost	$	17		$	19		$	—		$	—
Additional loss (gain) recognized due to:
Settlement	$	—		$	—		$	—		$	—
Curtailment	$	—		$	—		$	—		$	—
	U.S. Pension Plans						International Pension Plans
	Year to date						Year to date
	6/15/2013			6/16/2012			6/15/2013			6/16/2012
Service cost	$	10		$	12		$	—		$	1
Interest cost	25			30			4			4
Expected return on plan assets	(27		)	(32		)	(5		)	(5		)
Amortization of net loss	26			29			1			—
Amortization of prior service cost	1			—			—			—
Net periodic benefit cost	$	35		$	39		$	—		$	—

Additional loss (gain) recognized due to:
Settlement (a)	$	10	$	—	$	—		$	—
Curtailment (b)	$	—	$	—	$	(5	)	$	—

(a) Loss is a result of settlement transactions from a non-funded plan which exceeded the sum of annual service and interest costs for that plan. The loss was recorded in unallocated General and administrative expenses.

(b) Gain is a result of terminating future service benefits for all participants in one of our UK plans. The gain was recorded in YRI's General and administrative expenses.

We made no contributions to the Plan during the year to date ended June 15, 2013. While we are not required to make any contributions to the Plan in 2013, we may choose to make additional discretionary contributions as part of our overall capital structure strategy. We do not anticipate making any significant contributions to any plan outside of the U.S. in 2013.