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Sensata Technologies Holding N.V.'s SEC Filings

SENSATA TECHNOLOGIES HOLDING PLC filed this Form S-1/A on 03/09/2010
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Prohibited investments include direct investment in real estate, commodities, unregistered securities, uncovered options, currency exchange and natural resources (such as timber, oil and gas).


Japan Plan Assets


The target asset allocation of the Japan defined benefit plans is 30% equity securities and 70% fixed income securities and cash and cash equivalents, with allowance for a 10% deviation in either direction. The Company’s management, along with the trustee of the plans’ assets, minimize investment risk by thoroughly assessing potential investments based on indicators of historical returns and current ratings. Additionally, investments are diversified by type and geography.


To determine the long-term rate of return on plan assets, the Company considered the historical returns earned by similarly invested assets, the rates of return expected on plan assets in the future and the Company’s investment strategy mix with respect to the plans’ funds.


The following table presents information about the plan’s target asset allocation, as well as the actual allocation, as of December 31, 2009:


Asset Class

   Target Allocation    Actual Allocation as of
December 31, 2009

Equity securities

   20% - 40%    30%

Fixed income securities and cash and cash equivalents

   60% - 80%    70%


For the year ended December 31, 2008, the Company set a target allocation rate of 20% to 60% for equity securities and 40% to 80% for fixed income securities and cash and cash equivalents. As of December 31, 2008, the actual allocation of the Japan defined benefit plans’ assets was 25% equity securities and 75% fixed income securities and cash and cash equivalents.


The following table presents information about the plan assets measured at fair value as of December 31, 2009, aggregated by the level in the fair value hierarchy within which those measurements fall:


Asset Class

   Quoted Prices in
Active Markets
for Identical Assets
(Level 1)
   Significant Other
Observable Inputs
(Level 2)
(Level 3)
   December 31,

U.S. equity

   $ 2,268    $ —      $ —      $ 2,268

International (non-U.S.) equity

     5,707      —        —        5,707

Total equity securities

     7,975                      7,975

U.S. Treasury fixed income

     2,463      —        —        2,463

International (non-U.S.) fixed income

     16,129      —        —        16,129

Total fixed income securities

     18,592                      18,592

Cash and cash equivalents

     188                      188


   $ 26,755    $       $       $  26,755


The fair value of cash and cash equivalents approximates the carrying value as of the balance sheet date due to the short-term maturities of these assets. The fair value of equity securities and bonds are based on publicly-quoted final stock and bond values on the last business day of the year.