APC 2014 Annual Report Download - page 225

CONSOLIDATED FINANCIAL STATEMENTS AT DECEMBER31,2014
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
22.2 – Provisions for pensions and termination benefit obligations
Annual changes in obligations, the market value of plan assets and the corresponding assets and provisions recognized in the consolidated
financial statements can be analyzed as follows:
Dec.31, 2014 Dec.31, 2013
Of which SE USA Of which SE USA
1. Reconciliation of balance sheet items
Pension assets - - - -
Provisions for pensions and other post-employment benefit (1,459) (413) (1,061) (274)
NET ASSET/(LIABILITY) RECOGNIZED
(1,459) (413) (1,061) (274)INTHEBALANCE SHEET
Full year 2014 Full year 2013
Of which SE USA Of which SE USA
2. Components of net cost recognized in the
statement of income
Service cost 49 3 52 3
Past service cost 1 0 (132) -
Curtailments and settlements (61) (4) (6) -
Interest cost (effect of discounting on obligation and plan
408 54 103 49assets )
Interest income (351) (37) (50) (27)
NET COST RECOGNIZED IN THE STATEMENT
46 16 (33) 25OF INCOME
The 2014 net cost recognized in the statement of income related to Invensys integration is EUR19million.
Full year 2014 Full year 2013
5
Of which SE USA Of which SE USA
3. Change in projected benefit obligation
Projected benefit obligation at beginning of year 2,658 1,136 3,061 1,344
Service cost 49 3 52 3
Past service cost/Curtailments and Settlements (110) (49) (160) -
Interest cost (effect of discounting) 403 54 103 49
Plan participants’ contributions 4 - 4 -
Benefits paid (524) (56) (126) (54)
Changes in the scope of consolidation 6,593 - 3 3
Actuarial (gains)/losses recognized in equity 1,074 176 (188) (157)
Translation adjustments 786 166 (95) (52)
Other (8) (3) 4 -
PROJECTED BENEFIT OBLIGATION AT END
10,925 1,427 2,658 1,136OF YEAR
Plans changes occurred in United-Kingdom and United States. EUR198million of gains at December31, 2013. At December31,
2014, the losses resulting from changes in demographic
Actuarial gains and losses have been fully recognized in other
assumptions on pension and termination benefit obligations total
reserves. They stem mainly from changes in financial actuarial
EUR117million for the Group compared to EUR1million of gains
assumptions (primarily discount rates) used to measure obligations
at December31, 2013.
in the United States, the United Kingdom and the euro zone.
At December31, 2014, actuarial losses relative to the effects of
At December31, 2014, actuarial losses resulting from changes in experience on pension and termination benefit obligations total
financial assumptions on pension and termination benefit EUR49million for the Group compared to EUR11million at
obligations total EUR908million for the Group compared to December31, 2013.
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