BP 2005 Annual Report Download - page 91

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42 Pensions and other post-retirement benefits continued $ million
2005
US post-
UK US retirement
pension pension benefit Other
ANALYSIS OF THE AMOUNT CHARGED TO PROFIT BEFORE INTEREST AND TAXATION plans plans plans plans Total
Current service cost 379 216 50 140 785
Past service cost 5 (10) (5) 51 41
Settlement, curtailment and special termination benefits 37 – – 10 47
Payments to defined contribution plans – 158 – 14 172
Total operating charge (income) 421 364 45 215 1,045
Innovene operations (38) (24) (3) (21) (86)
Continuing operationsa383 340 42 194 959
ANALYSIS OF THE AMOUNT CREDITED (CHARGED) TO OTHER FINANCE EXPENSE
Expected return on plan assets 1,456 557 2 123 2,138
Interest on plan liabilities (1,003) (444) (207) (368) (2,022)
Other finance income (expense) 453 113 (205) (245) 116
Innovene operations (10) (5) 2 10 (3)
Continuing operations 443 108 (203) (235) 113
ANALYSIS OF THE AMOUNT RECOGNIZED IN THE STATEMENT OF RECOGNIZED
INCOME AND EXPENSE
Actual return less expected return on pension plan assets 3,111 96 – 157 3,364
Experience gains and losses arising on the plan liabilities (14) (197) (17) 16 (212)
Change in assumptions underlying the present value of the plan liabilities (1,884) (59) 236 (470) (2,177)
Actuarial gain (loss) recognized in statement of recognized income and expense 1,213 (160) 219 (297) 975
MOVEMENTS IN SURPLUS (DEFICIT) DURING THE YEAR
Benefit obligation at 1 January 20,399 7,826 3,676 8,044 39,945
Exchange adjustment (2,194) – – (928) (3,122)
Current service cost 379 216 50 140 785
Plan amendments 5 (10) (5) 51 41
Interest cost 1,003 444 207 368 2,022
Special termination benefits 37 – – 10 47
Contributions by plan participants 37 – – 5 42
Benefit payments (923) (600) (208) (430) (2,161)
Acquisitions – 20 16 3 39
Disposals (578) (252) (39) (303) (1,172)
Actuarial (gain) loss on obligation 1,898 256 (219) 454 2,389
Benefit obligation at 31 December 20,063 7,900 3,478 7,414 38,855
Fair value of plan assets at 1 January 22,307 7,183 30 2,192 31,712
Exchange adjustment (2,469) – – (195) (2,664)
Expected return on plan assets 1,456 557 2 123 2,138
Contributions by plan participants 37 – – 5 42
Contributions by employers (funded plans) 340 279 – 140 759
Contributions by employers (unfunded plans) 1 30 204 314 549
Benefit payments (923) (600) (208) (430) (2,161)
Acquisitions – 8 – – 8
Disposals (578) (236) – (26) (840)
Actuarial gain (loss) on plan assets 3,111 96 – 157 3,364
Fair value of plan assets at 31 December 23,282 7,317 28 2,280 32,907
Surplus (deficit) 3,219 (583) (3,450) (5,134) (5,948)
Represented by
Asset recognized 3,240 – – 42 3,282
Liability recognized (21) (583) (3,450) (5,176) (9,230)
3,219 (583) (3,450) (5,134) (5,948)
The surplus (deficit) may be analysed between wholly or partly funded and wholly
unfunded plans as follows
Funded 3,240 (226) (32) (476) 2,506
Unfunded (21) (357) (3,418) (4,658) (8,454)
3,219 (583) (3,450) (5,134) (5,948)
The defined benefit obligation may be analysed between wholly or partly funded and
wholly unfunded plans as follows
Funded (20,042) (7,543) (60) (2,756) (30,401)
Unfunded (21) (357) (3,418) (4,658) (8,454)
(20,063) (7,900) (3,478) (7,414) (38,855)
aIncluded within production and manufacturing expenses and distribution and administration expenses.
BP Annual Report and Accounts 2005 89