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Notes to Consolidated Financial Statements

(in millions of €, except where otherwise stated and per share amounts) 193

The weighted-average assumptions used for the actuarial valuation of the PBO as of the

respective measurement date (June 30 or September 30), were as follows:

The assumptions used for the calculation of the PBO as of the measurement date (June 30

or September 30), of the preceding fiscal year are used to determine the calculation of interest

cost and service cost of the following year. Therefore, the assumptions used for the calculation

of the NPPC for fiscal 2007 are already determined. The total expected return for fiscal 2007

will be based on expected rates of return multiplied by the market-related value of plan assets

at the fiscal 2006 measurement date (see table below). The market-related value and thus the

expected return on plan assets are adjusted for significant events after measurement date,

such as a supplemental funding. Due to the implementation of the BSAV, the effect of the com-

pensation increase on the domestic pension plans is substantially eliminated.

The weighted-average assumptions used for determining the NPPC for the fiscal years

ended September 30, 2007, 2006 and 2005 are shown in the following table:

Notes to Consolidated Financial Statements

Year ended September 30, 2006 Year ended September 30, 2005

Total Domestic Foreign Total Domestic Foreign

Discount rate 4.79% 4.50% 5.25% 4.5% 4.35% 4.9%

Germany 4.50% 4.35%

U.S. 6.49% 5.25%

U.K. 5.18% 4.9%

Rate of compensation increase 2.71% 2.25% 3.43% 2.6% 2.25% 3.2%

Germany 2.25% 2.25%

U.S. 3.95% 3.25%

U.K. 3.74% 3.7%

Rate of pension progression 1.22% 1.00% 1.78% 1.2% 1.0% 2.0%

Germany 1.00% 1.0%

U.K. 2.82% 2.7%

Year ending September 30, 2007 Year ended September 30, 2006 Year ended September 30, 2005

Total Domestic Foreign Total Domestic Foreign Total Domestic Foreign

Discount rate 4.79% 4.50% 5.25% 4.5% 4.35% 4.9% 5.5% 5.25% 5.9%

Germany 4.50% 4.35% 5.25%

U.S. 6.49% 5.25% 6.5%

U.K. 5.18% 4.9% 5.7%

Expected return on plan assets 6.49% 6.51% 6.47% 6.7% 6.7% 6.7% 6.7% 6.75% 6.6%

Germany 6.51% 6.7% 6.75%

U.S. 6.97% 6.95% 6.95%

U.K. 6.67% 6.75% 6.85%

Rate of compensation increase 2.71% 2.25% 3.43% 2.6% 2.25% 3.2% 2.6% 2.25% 3.3%

Germany 2.25% 2.25% 2.25%

U.S. 3.95% 3.25% 3.25%

U.K. 3.74% 3.7% 4.0%

Rate of pension progression 1.22% 1.00% 1.78% 1.2% 1.0% 2.0% 1.3% 1.0% 2.3%

Germany 1.00% 1.0% 1.0%

U.K. 2.82% 2.7% 2.8%