Marks and Spencer 2006 Annual Report Download - page 70

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68 Marks and Spencer Group plc
Notes to the financial statements continued
11 RETIREMENT BENEFITS continued
G Retirement benefit obligations
Changes in the present value of retirement benefit obligations are as follows:
2006 2005
£m £m
Present value of obligation at start of year 4,632.8 4,303.7
Current service cost 111.2 117.2
Curtailment gain (13.0) (21.0)
Interest cost1248.4 237.5
Benefits paid (164.2) (160.1)
Transfer on disposal of Financial Services (32.0) –
Actuarial loss 623.6 155.5
Exchange 1.3 –
Discontinued operation (7.0) –
Present value of obligation at end of year 5,401.1 4,632.8
Analysed as:
Present value of pension scheme liabilities 5,381.3 4,611.0
Unfunded pension plans 1.7 2.5
Post-retirement healthcare 18.1 19.3
Present value of obligation at end of year 5,401.1 4,632.8
1Interest cost includes £0.4m (last year £0.6m) in respect of discontinued operations.
H Cumulative actuarial gains and losses recognised in equity
2006 2005
£m £m
Loss at start of year (757.7) (679.6)
Net actuarial losses recognised in the year (169.3) (78.1)
Loss at end of year (927.0) (757.7)
I History of experience gains and losses
2006 2005 2004 2003
£m £m £m £m
Experience adjustments arising on scheme assets 454.3 77.4 401.9 (713.3)
Experience gains/(losses) arising on scheme liabilities 20.0 (24.0) (30.3) 16.0
Changes in assumptions underlying the present value of scheme liabilities (643.6) (131.5) (157.8) (196.1)
Actuarial (losses)/gains recognised in equity (169.3) (78.1) 213.8 (893.4)
Fair value of scheme assets 4,606.2 3,956.8 3,634.2 2,638.5
Present value of scheme liabilities (5,381.3) (4,611.0) (4,280.1) (3,888.1)
Pension scheme deficit (775.1) (654.2) (645.9) (1,249.6)