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Employee Benefits
6 Months Ended
Jun. 30, 2011
Employee Benefits  
Employee Benefits

11.   Employee Benefits

 

The following table provides the components of the net periodic benefit cost for Aon’s U.S. pension plans, along with the material international plans, which are located in the U.K., the Netherlands, and Canada (in millions):

 

 

 

Three months ended June 30,

 

 

 

U.S.

 

International

 

 

 

2011

 

2010

 

2011

 

2010

 

Service cost

 

$

 

$

 

$

5

 

$

3

 

Interest cost

 

31

 

30

 

68

 

60

 

Expected return on plan assets

 

(30

)

(29

)

(73

)

(57

)

Amortization of net loss

 

7

 

5

 

14

 

12

 

Net periodic benefit cost

 

$

8

 

$

6

 

$

14

 

$

18

 

 

 

 

Six months ended June 30,

 

 

 

U.S.

 

International

 

 

 

2011

 

2010

 

2011

 

2010

 

Service cost

 

$

 

$

 

$

10

 

$

6

 

Interest cost

 

61

 

61

 

134

 

122

 

Expected return on plan assets

 

(60

)

(59

)

(144

)

(117

)

Amortization of net loss

 

15

 

11

 

27

 

26

 

Net periodic benefit cost

 

$

16

 

$

13

 

$

27

 

$

37

 

 

Based on current assumptions, in 2011, Aon plans to contribute $127 million and $285 million to its U.S. and material international defined benefit pension plans, respectively.  For the first six months of 2011, contributions of $24 million have been made to the Company’s U.S. pension plans and $154 million have been made to its material international pension plans.