Siemens 2012 Annual Report Download - page 267

135 D. Consolidated Financial Statements 239 E. Additional Information
140 D. Consolidated Statements of Changes in Equity
142 D. Notes to Consolidated Financial Statements
232 D. Supervisory Board and Managing Board
136 D. Consolidated Statements of Income
137 D. Consolidated Statements of Comprehensive Income
138 D. Consolidated Statements of Financial Position
139 D. Consolidated Statements of Cash Flow

The total defined benefit obligation at the end of the fiscal year
includes €, million for active employees, €, million
for former employees with vested benefits and €, million
for retirees and surviving dependents.
In fiscal , the DBO increased due to a decrease in discount
rate for the domestic and for almost all of the foreign pension
plans. In fiscal , the DBO decreased due to an increase in
discount rate for the domestic and some foreign pension
plans. Also in fiscal , the DBO and the fair value of plan as-
sets decreased by € million and € million due to the dis-
posal of Siemens IT Solutions and Services pension liabilities
and plan assets. These effects are included in line items Divest-
ments and Divestments and other in the tables above. Further-
more, in fiscal , Siemens transferred pension liabilities and
plan assets of its major pension plan in the Netherlands to the
industry pension fund PME. The PME will be accounted for as a
defined contribution plan with a resulting decrease in DBO and
plan assets. The DBO and plan asset transfer amounted to both
€ million and is included in line items Settlements and cur-
tailments and Settlements in the tables above. In addition, a
settlement gain of € million was recognized in equity and is
included in line item Actuarial (gains) losses in the first table
above. Furthermore, line item Settlements and curtailments in
fiscal , includes €() million resulting from the disposal
of pension liabilities of Siemens IT Solutions and Services.
Employer contributions expected to be paid to the funded pen-
sion plans during fiscal  are € million, therein € mil-
lion to the domestic pension plans and € million to the for-
eign pension plans.
Year ended September ,  Year ended September , 
(in millions of €) Total Domestic Foreign Total Domestic Foreign
Service Cost 415 301 114 431 283 148
Interest Cost 1,243 781 462 1,189 733 456
Expected return on plan assets (1,309) (772) (537) (1,364) (847) (517)
Amortization of past service cost (benefits) (10) – (10) 12 20 (8)
Loss (gain) due to settlements and curtailments (8) – (8) (8) – (8)
Net periodic benefit cost 332 310 22 260 189 71
Germany 310 310 189 189
U.S. (15) (15) 20 20
U.K. (18) (18) (2) (2)
Other 55 55 53 53
In addition to net periodic benefit cost for continuing opera-
tions presented in the table above, € million, €() million
and € million were recognized for Siemens IT Solutions and
Services and for OSRAM for the years ended September ,
 and . The amount of €() million for the year ended
September , , includes € million settlement gain re-
sulting from the disposal of pension liabilities of Siemens IT
Solutions and Services.
Pension benefits: components of NPBC
The components of the NPBC for the fiscal years ended
September ,  and  are as follows: