HSBC 2008 Annual Report Download - page 327

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(‘MPF’) and receives an executive allowance of
25 per cent of annual basic salary, less the
mandatory contributions to the MPF by both the
employer and employee, to fund personal pension
arrangements. The mandatory employer contribution
to the MPF in respect of Mr Cheng for the period
1 August 2008 to 31 December 2008 was HK$5,000.
D J Flint receives an executive allowance of
55 per cent of annual basic salary to fund personal
pension arrangements.
A A Flockhart left the International Staff
Retirement Benefits Scheme on 30 November 2008.
With effect from 2 December 2008 employer
contributions equivalent to 40 per cent of annual basic
salary are now made to a personal pension plan in
respect of Mr Flockhart. During 2008, employer
contributions of HK$258,000 were paid into this plan.
Mr Geoghegan receives an executive allowance
of 50 per cent of annual basic salary to fund personal
pension arrangements. In 2008, an employer
contribution was made to the HSBC Asia Holdings
Pension Plan of £225,000 from a bonus sacrifice in
respect of 2007 (in 2007, an employer contribution
of £215,000 was made arising entirely from a bonus
sacrifice in respect of 2006). There were no other
employer contributions made to this plan.
S K Green ceased membership of the HSBC Bank
(UK) Pension Scheme on 5 April 2006. Since 6 April
2006, Mr Green has been entitled to receive benefits
from an Employer Funded Retirement Benefits Scheme
which together with entitlements from the HSBC Bank
(UK) Pension Scheme will provide benefits to Mr
Green that would be broadly comparable to an accrual
rate of one-thirtieth of pensionable salary for each year
of pensionable service.
S T Gulliver left the International Staff
Retirement Benefits Scheme on 31 March 2006.
Employer contributions equivalent to 30 per cent of
annual basic salary are now made to a personal
pension plan in respect of Mr Gulliver. During 2008,
employer contributions of £225,000 were paid into
this plan.
Accrued
annual
pension at
31 December
2008
Increase in
accrued
pension
during
2008
Increase in
accrued
pension
during 2008,
excluding
any increase
for inflation
Transfer
value
of accrued
pension at
31 December
20071
Transfer
value
of accrued
pension at
31 December
20081
Increase of
transfer value
of accrued
pension (less
personal
contributions)
in 20081
Transfer value
(less personal
contributions) at
31 December 2008
relating to increase
in accrued pensions
during 2008,
excluding any
increase for inflation1
£000 £000 £000 £000
£000 £000 £000
A A Flockhart2 .. 254 25 15 4,467 4,644 161 238
S K Green ......... 669 42 10 12,780 17,71634,9363 272
S T Gulliver4 ..... 138 11 5 2,716 2,749 33 95
1 The transfer value represents a liability of HSBC’s pension funds and not a sum paid or due to the individual; it cannot therefore
meaningfully be added to annual remuneration.
2 A A Flockhart left the International Staff Retirement Benefits Scheme (‘ISRBS’) on 30 November 2008. The ISRBS retains a liability for
a contingent spouse’s pension equal to £126,000 per annum as at 31 December 2008. Mr Flockhart made personal contributions to the
ISRBS amounting to £16,000 during the year.
3 During 2008, the Trustee of the HSBC Bank (UK) Pension Scheme decided to change the basis used to calculate transfer values from the
Scheme for all Scheme members, in order to allow for lower expectations of future investment returns and improved longevity. The
impact of this is reflected in the increase in the transfer value of accrued pension. If the Trustee had not changed the transfer value
basis, the change in transfer value during 2008 would have been £2.48 million (£1.698 million during 2007).
4 S T Gulliver left the ISRBS on 31 March 2006. The ISRBS retains a liability for a contingent spouse’s pension equal to £61,000 per
annum as at 31 December 2008.
The unfunded pension payments tabulated
below, in respect of which provision has been made,
were made during 2008 to five former Directors of
HSBC Holdings.
The payments in respect of R Delbridge and
Sir Brian Pearse were made by HSBC Bank plc as
former Directors of that bank. The payment in
respect of C F W de Croisset was made by HSBC
France as a former Director of that bank.
2008
£
2007
£
B H Asher ................................... 97,752 93,812
C F W de Croisset ...................... 221,100 194,077
R Delbridge ................................ 140,601 134,934
Sir Brian Pearse .......................... 58,632 56,269
Sir William Purves ..................... 103,481 99,310
621,566 578,402