Siemens 2006 Annual Report Download - page 96

Compensation Report
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Pension benefit commitments. With the realignment of the German pension plan of Siemens
AG into a Defined Contribution Benefit Plan (BSAV), the system of defined benefits for mem-
bers of the Managing Board was also replaced with effect from October 1, 2004 by a pension
benefit system based on contributions by the Company. Pension benefits earned through Sep-
tember 30, 2004 were not affected. The amount of the contributions to the BSAV is determined
annually by the Chairman’s Committee of the Supervisory Board.
For fiscal year 2006, the members of the Managing Board were granted contributions
under the BSAV totaling €4.2 million (2005: €3.4 million), based on a resolution adopted by
the Chairman’s Committee of the Supervisory Board on November 7, 2006. Of this amount,
€0.7 million relates to funding of pension commitments earned prior to transfer to the BSAV
and the remaining €3.5 million to contributions granted under the BSAV.
The projected benefit obligation (PBO) of all pension commitments to members of the
Managing Board as of September 30, 2006 amounted to €54.8 million (2005: €52.9 million),
which amount is included in Note 21 to the Consolidated Financial Statements.
Former members of the Managing Board and their surviving dependents received emolu-
ments within the meaning of § 314 (1), no. 6 b of the HGB, totaling €14.4 million (2005: €15.6
million) for the year ended September 30, 2006.
The projected benefit obligation (PBO) of all pension commitments to former members of
the Managing Board and their surviving dependents as of September 30, 2006 amounted to
€125.6 million (2005: €128.9 million), which is included in Note 21 to the Consolidated Finan-
cial Statements.
Other. No loans from the Company are provided to members of the Managing Board.