CONOCOPHILLIPS | 2013 | FY | 3

The fair values of our pension plan assets at December 31, by asset class were as follows:  
                    
   Millions of Dollars 
   U.S. International 
    Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3Total 
2013                 
Equity Securities                 
 U.S.$ 1,018  -  -  1,018  531  -  -  531 
 International  702  -  -  702  437  -  -  437 
 Common/collective trusts  -  529  -  529  -  217  -  217 
 Mutual funds  -  -  -  -  373  -  -  373 
Debt Securities                 
 Government  106  69  -  175  557  -  -  557 
 Corporate  -  333  3  336  -  150  -  150 
 Agency and mortgage-backed                 
  securities  -  97  -  97  -  25  1  26 
 Common/collective trusts  -  -  -  -  -  356  -  356 
 Mutual funds  -  -  -  -  191  -  -  191 
Cash and cash equivalents  -  123  -  123  30  17  -  47 
Private equity funds  -  -  1  1  -  -  21  21 
Derivatives  (1)  2  -  1  19  12  -  31 
Real estate  -  -  -  -  -  -  190  190 
Total*$ 1,825  1,153  4  2,982  2,138  777  212  3,127 
*Excludes the participating interest in the insurance annuity contract with a net asset value of $110 million and net receivables related to 
security transactions of $5 million. 
                    
2012                 
Equity Securities                 
 U.S.$ 875  -  -  875  443  -  -  443 
 International  587  -  -  587  381  -  -  381 
 Common/collective trusts  -  472  -  472  -  195  -  195 
 Mutual funds  -  -  -  -  319  -  -  319 
Debt Securities                 
 Government  146  54  -  200  496  -  -  496 
 Corporate  -  306  2  308  -  155  1  156 
 Agency and mortgage-backed                 
  securities  -  59  -  59  -  29  -  29 
 Common/collective trusts  -  -  -  -  -  314  -  314 
 Mutual funds  -  -  -  -  155  -  -  155 
Cash and cash equivalents  -  94  -  94  22  18  -  40 
Private equity funds  -  -  4  4  -  -  18  18 
Derivatives  -  1  -  1  10  13  -  23 
Real estate  -  -  -  -  -  -  183  183 
Total*$ 1,608  986  6  2,600  1,826  724  202  2,752 
*Excludes the participating interest in the insurance annuity contract with a net asset value of $133 million and net receivables related to 
security transactions of $7 million.  

us-gaap:ScheduleOfAllocationOfPlanAssetsTableTextBlock

Included in accumulated other comprehensive income at December 31 were the following before-tax amounts  
that had not been recognized in net periodic benefit cost:
             
 Millions of Dollars
 Pension Benefits Other Benefits
 2013 2012 2013 2012
 U.S. Int’l. U.S. Int’l.    
             
Unrecognized net actuarial loss (gain)$ 767  578  1,509  758  (31)  29
Unrecognized prior service cost (credit)  22  (54)  28  (60)  (8)  (12)

Amounts included in accumulated other comprehensive income at December 31, 2013, that are expected to
be amortized into net periodic benefit cost during 2014 are provided below:
       
 Millions of Dollars
 Pension Other
 Benefits Benefits
 U.S. Int’l.  
       
Unrecognized net actuarial loss (gain)$ 76  58  (3)
Unrecognized prior service cost (credit)  6  (8)  (4)

us-gaap:ScheduleOfAmountsInAccumulatedOtherComprehensiveIncomeLossToBeRecognizedOverNextFiscalYearTableTextBlock

  Millions of Dollars
  Pension Benefits Other Benefits
  2013 2012 2013 2012
  U.S. Int’l. U.S. Int’l.    
Sources of Change in Other             
 Comprehensive Income            
Net gain (loss) arising during the period$ 524  107  (450)  (206)  57  (48)
Separation of Downstream business  -  -  810  94  -  (7)
Amortization of loss included in income*  218  73  371  59  3  -
Net change during the period$ 742  180  731  (53)  60  (55)
              
Prior service credit arising during the period$ -  1  -  2  -  -
Separation of Downstream business  -  -  17  (12)  -  3
Amortization of prior service cost (credit)            
 included in income  6  (7)  7  (8)  (4)  (4)
Net change during the period$ 6  (6)  24  (18)  (4)  (1)
*Includes settlement losses recognized during the period.

us-gaap:ScheduleOfAmountsRecognizedInOtherComprehensiveIncomeLossTableTextBlock

  Millions of Dollars
  Pension Benefits Other Benefits
  2013 2012 2013 2012
  U.S. Int’l. U.S. Int’l.    
Amounts Recognized in the             
 Consolidated Balance Sheet at             
 December 31            
Noncurrent assets$ -  128  -  94  -  -
Current liabilities  (35)  (8)  (21)  (8)  (53)  (54)
Noncurrent liabilities  (827)  (571)  (1,472)  (764)  (629)  (711)
Total recognized$ (862)  (451)  (1,493)  (678)  (682)  (765)
              
Weighted-Average Assumptions Used to             
 Determine Benefit Obligations at             
 December 31            
Discount rate  4.40% 4.75  3.55  4.50  4.45  3.55
Rate of compensation increase  4.75  4.60  4.75  4.45  -  -
              
Weighted-Average Assumptions Used to             
 Determine Net Periodic Benefit Cost for             
 Years Ended December 31            
Discount rate  3.55% 4.50  4.00  4.95  3.55  4.25
Expected return on plan assets  7.00  6.00  7.00  6.10  -  -
Rate of compensation increase  4.75  4.45  4.50  4.50  -  -

us-gaap:ScheduleOfAssumptionsUsedTableTextBlock

An analysis of the projected benefit obligations for our pension plans and accumulated benefit obligations for
our postretirement health and life insurance plans follows:
             
 Millions of Dollars
 Pension Benefits Other Benefits
 2013 2012 2013 2012
 U.S. Int’l. U.S. Int’l.    
Change in Benefit Obligation            
Benefit obligation at January 1$ 4,225  3,438  6,175  3,484  765  926
Service cost  138  102  170  91  3  6
Interest cost  143  145  186  152  26  33
Plan participant contributions  -  6  -  7  22  23
Separation of Downstream business  -  -  (2,464)  (653)  -  (199)
Actuarial (gain) loss  (205)  72  735  297  (57)  47
Benefits paid  (347)  (110)  (577)  (113)  (75)  (72)
Foreign currency exchange rate change  -  (70)  -  173  (2)  1
Benefit obligation at December 31*$ 3,954  3,583  4,225  3,438  682  765
*Accumulated benefit obligation portion of above at  3,516  2,798  3,710  2,972    
December 31:$
             
Change in Fair Value of Plan Assets            
Fair value of plan assets at January 1$ 2,732  2,760  4,149  2,722  -  -
Actual return on plan assets  505  315  509  267  -  -
Company contributions  202  198  363  204  53  49
Plan participant contributions  -  6  -  7  22  23
Separation of Downstream business  -  -  (1,712)  (479)  -  -
Benefits paid  (347)  (110)  (577)  (113)  (75)  (72)
Foreign currency exchange rate change  -  (37)  -  152  -  -
Fair value of plan assets at December 31$ 3,092  3,132  2,732  2,760  -  -
Funded Status$ (862)  (451)  (1,493)  (678)  (682)  (765)

us-gaap:ScheduleOfBenefitObligationsInExcessOfFairValueOfPlanAssetsTableTextBlock

Compensation Expense—Total share-based compensation expense recognized in income related to continuing
and discontinued operations and the associated tax benefit for the years ended December 31 were as follows:
       
 Millions of Dollars
 2013 2012 2011
      
Compensation cost$ 308  321  246
Tax benefit   109  118  86

us-gaap:ScheduleOfCompensationCostForShareBasedPaymentArrangementsAllocationOfShareBasedCompensationCostsByPlanTableTextBlock

The following benefit payments, which are exclusive of amounts to be paid from the insurance annuity
contract and which reflect expected future service, as appropriate, are expected to be paid:
       
 Millions of Dollars
 Pension Other Benefits
 Benefits Benefits
 U.S. Int’l.  
       
2014$ 402  117  61
2015  361  121  62
2016  362  123  62
2017  366  134  62
2018  400  137  62
2019–2023  1,965  791  294

us-gaap:ScheduleOfExpectedBenefitPaymentsTableTextBlock

The components of net periodic benefit cost of all defined benefit plans are presented in the following table:
                    
  Millions of Dollars
  Pension Benefits Other Benefits
  2013 2012 2011 2013 2012 2011
  U.S. Int’l. U.S. Int’l. U.S. Int’l.      
Components of Net                   
 Periodic Benefit Cost                  
Service cost$ 138  102  170  91  225  98  3  6  10
Interest cost  143  145  186  152  247  178  26  33  42
Expected return on plan                  
 assets  (186)  (160)  (223)  (158)  (280)  (175)  -  -  -
Amortization of prior                   
 service cost (credit)  6  (7)  7  (8)  9  -  (4)  (4)  (7)
Recognized net actuarial                   
 loss (gain)  151  73  191  59  165  46  3  -  (5)
Settlements  67  -  181  -  21  -  -  -  -
Net periodic benefit cost$ 319  153  512  136  387  147  28  35  40

us-gaap:ScheduleOfNetBenefitCostsTableTextBlock

The following summarizes our stock-settled Performance Share Program activity for the year ended December 31, 2013.
        
   Weighted-Average  Millions of Dollars
 Stock Units Grant-Date Fair Value  Total Fair Value
        
Outstanding at December 31, 2012 5,184,284 $ 51.54   
Granted 7,650   60.00   
Forfeited -   -   
Issued (290,748)    $ 18
Outstanding at December 31, 2013 4,901,186 $ 51.60   
Not Vested at December 31, 2013 1,150,628 $ 52.83   

The following summarizes our cash-settled Performance Share Program activity for the year ended December 31, 2013:
        
   Weighted-Average  Millions of Dollars
 Stock Units Grant-Date Fair Value  Total Fair Value
        
Outstanding at December 31, 2012 - $ -   
Granted 128,567   58.08   
Forfeited -   -   
Settled (3,791)    $ -
Outstanding at December 31, 2013 124,776 $ 58.08   
Not Vested at December 31, 2013 82,793 $ 58.08   

us-gaap:ScheduleOfNonvestedPerformanceBasedUnitsActivityTableTextBlock

The following summarizes our stock option activity for the year ended December 31, 2013:
            
       Weighted-   
     Weighted- Average  Millions of Dollars
     Average Grant-Date Aggregate
  Options  Exercise Price Fair Value  Intrinsic Value
            
Outstanding at December 31, 2012 16,297,005 $ 43.67      
Granted 3,109,800   58.08 $ 9.90   
Exercised (3,078,576)   33.45    $ 95
Forfeited -   -      
Expired or canceled (13,139)   60.53      
Outstanding at December 31, 2013 16,315,090 $ 48.33      
Vested at December 31, 2013 13,418,902 $ 46.42    $ 320
Exercisable at December 31, 2013 11,600,659 $ 44.88    $ 294

The following summarizes our stock unit activity for the year ended December 31, 2013:
         
    Weighted-Average  Millions of Dollars
  Stock Units Grant-Date Fair Value  Total Fair Value
         
Outstanding at December 31, 2012 11,477,122 $ 46.58   
Granted 4,881,483   57.99   
Forfeited (364,716)   51.38   
Issued (3,832,737)    $ 245
Outstanding at December 31, 2013 12,161,152 $ 51.37   
Not Vested at December 31, 2013 8,626,833 $ 52.66   

us-gaap:ScheduleOfShareBasedCompensationStockOptionsActivityTableTextBlock

The fair market values of the options granted over the past three years were measured on the date of grant using
the Black-Scholes-Merton option-pricing model. The weighted-average assumptions used were as follows:
         
  2013 2012 2011 
        
         
Assumptions used       
 Risk-free interest rate  1.09% 1.62  3.10 
 Dividend yield  4.00% 4.00  4.00 
 Volatility factor  28.95% 33.30  33.40 
 Expected life (years)  5.95  7.42  6.87 

us-gaap:ScheduleOfShareBasedPaymentAwardStockOptionsValuationAssumptionsTableTextBlock

The following summarizes the aggregate activity of these restricted shares and units for the year ended
December 31, 2013:
        
   Weighted-Average  Millions of Dollars
 Stock Units Grant-Date Fair Value  Total Fair Value
        
Outstanding at December 31, 2012 1,132,556 $ 27.34   
Granted 76,920   62.52   
Forfeited (3,458)   20.22   
Issued (33,417)    $ 2
Outstanding at December 31, 2013 1,172,601 $ 29.31   
Not Vested at December 31, 2013 -      

us-gaap:ScheduleOfSharebasedCompensationRestrictedStockAndRestrictedStockUnitsActivityTableTextBlock