Air Canada 2012 Annual Report Download - page 113

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2012 Consolidated Financial Statements and Notes
113
The current portion of the net benefit obligation represents an estimate of other employee future benefits claims to be paid
during 2013. The current portion is included in Accounts payable and accrued liabilities. The following table presents financial
information related to the changes in the pension and other post-employment benefits plans:
Pension Benefits Other Employee Future Benefits
2012 2011 2012 2011
Change in benefit obligation
Benefit obligation at beginning of year $14,461 $ 13,619 $ 1,116 $1,000
Current service cost 221 204 62 58
Interest cost 731 736 55 55
Employees' contributions 71 75 – –
Benefits paid (775) (740) (51) (53)
Actuarial loss 1,866 558 57 51
Plan amendments (123) – (1) –
Plan settlements (9) – – –
Foreign exchange (gain) loss 3 9 (5) 5
16,446 14,461 1,233 1,116
Change in plan assets
Fair value of plan assets at beginning of year 11,907 11,542 – –
Expected return on plan assets 770 775 – –
Actuarial gain (loss) on plan assets 851 (137) – –
Employer contributions 433 385 51 53
Employees' contributions 71 75 – –
Benefits paid (775) (740) (51) (53)
Plan settlements (9) – – –
Foreign exchange gain (loss) 5 7 – –
13,253 11,907 – –
Deficit at end of year 3,193 2,554 1,233 1,116
Additional minimum funding liability 335 1,965 – –
Net benefit obligation $3,528 $ 4,519 $ 1,233 $1,116
The actual return on plan assets was $1,621 (2011 – $638).
Under the terms of the domestic registered and supplementary plans, there is no indexation provided after January 1, 2007.
Included in plan assets are 17,647,059 Class B Voting Shares of Air Canada with a fair value of $31 (2011 – $17) which were
issued in 2009 in co-ordination with pension funding agreements reached with all of the Corporation’s Canadian-based unions.
All future net proceeds of sale of such shares are to be contributed to the pension plans.
The pension benefit deficit of only those plans that are not fully funded at the end of the year is as follows:
2012 2011
Domestic registered plans $ 2,160 $ 1,608
US, UK, and Japan 138 157
Supplementary plans 898 804
$ 3,196 $ 2,569