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Prior service costs and gains and losses in excess of 10% of the greater of the benefit obligation or the market value of assets are amortized over the average remaining service period of active employees. 

The weighted-average actuarial assumptions used by the Corporation’s funded and unfunded pension plans were as follows: 

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The assumed long-term rate of return on assets is based on historical, long-term returns of the plan, adjusted downward to reflect lower prevailing interest rates. The assumed long- term rate of return is less than the actual return for the year ended December 31, 2003. 

The Corporation’s funded pension plan assets by asset category are as follows: 

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The target investment allocations for the plan assets are 55% equity securities and 45% debt securities. Asset allocations are rebalanced on a regular basis throughout the year to bring assets to within a 2—3% range of target levels. Target allocations take into account analyses performed to optimize long term risk and return relationships. All assets are highly liquid and can be readily adjusted to provide liquidity for cur- rent benefit payment requirements. 

The Corporation has budgeted contributions of $82 million to its funded pension plans in 2004. The Corporation also has budgeted contributions of $20 million to the trust estab- lished for the unfunded plan. 

Estimated future pension benefit payments for the funded and unfunded plans, which reflect expected future service, are as follows: 

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