Philips 2005 Annual Report Download - page 160

Philips Annual Report 2005160
The table below provides a summary of the changes in the accumulated
postretirementbenetobligationsfor2004and2005anda
reconciliation of the obligations to the amounts recognized in the
consolidated balance sheets.
Allthepostretirementbenetplansareunfundedandthereforenoplan
asset disclosures are presented.
2005
Netherlands other total
Projected benet obligation
Projectedbenetobligationat
beginning of year 348 367 715
Service cost 16 3 19
Interest cost 17 23 40
Actuarial gains −(25) (25)
Curtailments (319) −(319)
Changes in consolidation −−−
Benetspaid (12) (28) (40)
Exchange rate differences −57 57
Projectedbenetobligationatend
of year 50 397 447
Funded status (50) (397) (447)
Unrecognized net transition
obligation −40 40
Unrecognized prior-service cost −3 3
Unrecognized net loss −54 54
Net balances (50) (300) (350)
2004
Netherlands other total
Projected benet obligation
Projectedbenetobligationat
beginning of year 319 398 717
Service cost 13 4 17
Interest cost 17 24 41
Actuarial (gains) and losses 11 (9) 2
Curtailments −(1) (1)
Changes in consolidation −(2) (2)
Benetspaid (12) (26) (38)
Exchange rate differences −(21) (21)
Projectedbenetobligationatend
of year 348 367 715
Funded status (348) (367) (715)
Unrecognized net transition
obligation 28 41 69
Unrecognized prior-service cost −3 3
Unrecognized net loss 113 66 179
Net balances (207) (257) (464)
Thecomponentsofthenetperiodcostofpostretirementbenets
other than pensions are:
2005
Netherlands other
Service cost 16 3
Interest cost on accumulated postretirement
benetobligation 17 23
Amortization of unrecognized transition obligation 3 6
Net actuarial loss recognized 6 1
Curtailments (187) −
Other − −
Net periodic cost (145) 33
2004
Netherlands other
Service cost 13 4
Interest cost on accumulated postretirement
benetobligation 17 24
Amortization of unrecognized transition obligation 3 6
Net actuarial loss recognized 5 3
Curtailments −3
Other − −
Net periodic cost 38 40
2003
Netherlands other
Service cost 11 4
Interest cost on accumulated postretirement
benetobligation 17 27
Amortization of unrecognized transition obligation 3 6
Net actuarial loss recognized 5 2
Curtailments −1
Other (9) −
Net periodic cost 27 40
The weighted average assumptions used to calculate the postretirement
benetobligationsasofDecember31wereasfollows:
2004 2005
Netherlands other Netherlands other
Discount rate 4.5% 6.6% −6.9%
Compensation
increase (where
applicable) −5.3% −5.6%
Groupnancialstatements