Ryanair 2010 Annual Report Download - page 183

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181
Changes in the present value of the defined-benefit obligation of the plans are as follows:
At March 31,
2010 2009 2008
1M 1M 1M
Projected benefit obligation at beginning of year ................................
..........
28.1 27.0 35.5
Service cost................................................................................................
....
0.6 0.7 1.3
Interest cost................................................................................................
....
1.7 1.7 1.8
Plan participants’ contributions ................................................................
.....
0.3 0.4 0.5
Actuarial (gain)................................................................
..............................
5.3 (0.5) (10.5)
Benefits paid................................................................................................
..
(0.4) (0.3) (0.4)
Foreign exchange rate changes ................................................................
......
0.3 (1.0) (1.2)
Projected benefit obligation at end of year funded................................
.........
35.9 28.0 27.0
Changes in fair values of the plans’ assets are as follows:
At March 31,
2010 2009 2008
1M 1M 1M
Fair value of plan assets at beginning of year ................................
................
18.0 25.0 28.6
Expected return on plan assets................................................................
.......
1.2 1.9 2.1
Actual gains/(losses) on plan assets................................
...............................
5.4 (9.1) (5.6)
Employer contribution ................................................................
...................
0.9 0.8 0.9
Plan participants’ contributions ................................................................
.....
0.3 0.3 0.4
Benefits paid................................................................................................
..
(0.4) (0.3) (0.4)
Foreign exchange rate changes ................................................................
......
0.2 (0.7) (1.0)
Fair value of plan assets at end of year ................................
..........................
25.6 17.9 25.0
The fair value of the plans’ assets at March 31 of each year is analysed as follows:
At March 31,
2010 2009 2008
1M 1M 1M
Equities................................................................................................
..........
19.2 12.0 18.4
Bonds................................................................................................
.............
4.3 3.7 3.6
Property ................................................................................................
.........
0.6 0.6 1.1
Other assets................................................................................................
....
1.5 1.6 1.9
Total fair value of plan assets ................................................................
........
25.6 17.9 25.0
The plans’ assets do not include any of our own financial instruments, nor any property occupied by, or
other assets used by us.
The expected long-term rate of return on assets of 6.67% (2009: 6.40%; 2008: 7.28%) for the Irish
scheme was calculated based on the assumptions of the following returns for each asset class: Equities 7.75%
(2009: 8.00%; 2008: 8.25%); Bonds 3.50% (2009: 3.50%; 2008: 4.25%); Property 6.25% (2009: 6.25%: 2008:
6.75%); and Cash 2.00% (2009: 2.00%; 2008: 4.00%). The expected long-term rate of return on assets of 7.45%
(2009: 7.18%; 2008: 7.91%) for the UK scheme was calculated based on the assumptions of the following
returns for each asset class: Equities 8.30% (2009: 8.00%; 2008: 8.50%); Corporate and Overseas Bonds 5.50%
(2009: 6.30%; 2008: 6.60%); and Other 2.27% (2009: 2.00%; 2008: 5.00%).
Since there are no suitable Euro-denominated AA-rated corporate bonds, the expected return is
estimated by adding a suitable risk premium to the rate available from government bonds. The assumptions are
based on long-term expectations at the beginning of the reporting period and are expected to be relatively stable.