v2.3.0.11
Employee Benefit Plans
 6 Months Ended
Jun. 30, 2011
Employee Benefit Plans  
Employee Benefit Plans
16. Employee Benefit Plans.

The Company sponsors various pension plans for the majority of its U.S. and non-U.S. employees. The Company provides certain other postretirement benefits, primarily health care and life insurance, to eligible U.S. employees. The Company also provides certain postemployment benefits to certain former employees or inactive employees prior to retirement.

Effective January 1, 2011, the Morgan Stanley Employees Retirement Plan (the "Pension Plan") for U.S. participants ceased accruals of benefits under the Pension Plan. Any benefits earned by participants under the Pension Plan at December 31, 2010 were preserved and will be payable in the future based on the Pension Plan's provisions.

 

The components of the Company's net periodic benefit expense for its pension and postretirement plans were as follows:

 

     Three Months Ended
June 30,		     Six Months Ended
June 30,		  
       2011         2010         2011         2010    
     (dollars in millions)  

Service cost, benefits earned during the period

    $ 8      $ 26      $ 16      $ 52   

Interest cost on projected benefit obligation

      41        41        83        82   

Expected return on plan assets

      (33 )      (32 )      (66 )      (64 ) 

Net amortization of prior service costs

      (4 )      (2 )      (8 )      (4 ) 

Net amortization of actuarial loss

      5        7        10        14   

Curtailment gain

      —          (51 )      —          (51 ) 
  

 

 

    

 

 

    

 

 

    

 

 

  

Net periodic benefit expense

    $ 17      $ (11 )    $ 35      $ 29