German - ADM

Archer Daniels Midland CompanyNotes to Consolidated Financial Statements (Continued)Note 13.Employee Benefit Plans (Continued)The Company uses a March 31 measurement date for substantially all defined benefit plans. The followingtables set forth changes in the defined benefit obligation and the fair value of defined benefit plan assets:PostretirementPension Benefits Benefits2007 2006 2007 2006(In millions) (In millions)Benefit obligation, beginning $ 1,707 $1,599 $ 165 $ 151Service cost 62 59 7 6Interest cost 94 87 10 9Actuarial loss (gain) 65 (9) 24 4Curtailment (1) 10 – –Employee contributions 4 2 2 1Benefits paid (77) (62) (7) (7)Plan amendments 3 16 – –Acquisitions and divestitures 15 (26) 7 –Foreign currency effects 44 31 – 1Benefit obligation, ending $ 1,916 $1,707 $ 208 $ 165Fair value of plan assets, beginning $ 1,468 $1,068 $ – $ –Actual return on plan assets 118 169 – –Employer contributions 50 286 5 5Employee contributions 4 2 2 1Benefits paid (77) (62) (7) (6)Acquisitions and divestitures 14 (18) – –Foreign currency effects 34 23 – –Fair value of plan assets, ending $ 1,611 $1,468 $ – $ –Funded status $ (305) $ (239) $ (208) $ (165)Unamortized transition amount – 3 – –Unrecognized net loss – 299 – 24Unrecognized prior service costs (credits) – 44 – (10)Adjustment for fourth quarter contributions 5 6 – –Pension asset (liability) recognized in the balance sheet $ (300) $ 113 $ (208) $ (151)Prior to adoption of funded status provision of SFAS No. 158Prepaid benefit cost $ – $ 255 $ – $ –Accrued benefit liability – current – (31) – –Accrued benefit liability - long-term – (160) – (151)Intangible asset – 4 – –Accumulated other comprehensive income – 45 – –Net amount recognized in the balance sheet $ – $ 113 $ – $ (151)After the adoption of funded status provision of SFAS No. 158Prepaid benefit cost $ 22 $ – $ – $ –Accrued benefit liability – current (9) – (7) –Accrued benefit liability – long-term (313) – (201) –Net amount recognized in the balance sheet $ (300) $ – $ (208) $ –64