Aer Lingus 2011 Annual Report Download - page 105

Download and view the complete annual report

Please find page 105 of the 2011 Aer Lingus annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 122

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122

Annual Report 2011 103
Notes to the consolidated financial statements (continued)
FINANCIAL STATEMENTS Aer Lingus Group Plc
The amounts recognised in the income statement are as follows:
2
20
01
11
12010
¤
¤’
’0
00
00
0¤’000
Current service cost - recognised in staff costs 3
3,
,1
14
43
31,597
Interest cost - recognised in finance expense 9
92
23
3980
Total recognised in income statement 4
4,
,0
06
66
62,577
K
Ke
ey
y A
As
ss
su
um
mp
pt
ti
io
on
ns
s
The principal actuarial assumptions were as follows:
2
20
01
11
12010
Discount rate 4
4.
.2
25
5%
%5.00% - 7.00%
Inflation rate (general) 2
2.
.0
00
0%
%2.00%
Future long term medical cost inflation 7
7.
.5
50
0%
%7.50%
Future salary increases 3
3.
.0
00
0%
%3.00%
Future pension increases 0
0.
.5
50
0%
%0.50%
It is assumed that all those reaching 60 will reach 65, when benefits cease under the income streaming arrangement.
S
Se
en
ns
si
it
ti
iv
vi
it
ti
ie
es
s
The effect of a 1% movement in the assumed medical cost trend rate on the North American Medical Obligation is as follows:
I
In
nc
cr
re
ea
as
se
eD
De
ec
cr
re
ea
as
se
e
¤
¤’
’0
00
00
0¤’000
Effect on the aggregate of the current service cost and interest cost
(medical benefit scheme) 1
16
6(16)
Effect on the defined benefit obligation (medical benefit scheme) 1
14
44
4(144)
The sensitivity of the income streaming liability to changes in the weighted principal assumptions is:
C
Ch
ha
an
ng
ge
e i
in
n a
as
ss
su
um
mp
pt
ti
io
on
nI
Im
mp
pa
ac
ct
t o
on
n o
ov
ve
er
ra
al
ll
l l
li
ia
ab
bi
il
li
it
ty
y
Discount rate Increase/decrease by 0.25% Increase/decrease by 5.5%
Expected contributions to post-employment benefit plans for the year ending 31 December 2012 are ¤Nil, as the arrangements are
unfunded.
History of defined benefit obligations and experience gains and losses:
F
Fi
in
na
an
nc
ci
ia
al
l y
ye
ea
ar
r e
en
nd
di
in
ng
g i
in
n
2
20
01
11
12
20
01
10
02
20
00
09
92
20
00
08
82
20
00
07
7
¤
¤'
'0
00
00
0¤
¤'
'0
00
00
0¤
¤'
'0
00
00
0¤
¤'
'0
00
00
0¤
¤'
'0
00
00
0
Defined benefit obligation/plan deficit 2
23
3,
,9
90
06
618,525 N/A N/A N/A
Experience gains and losses on plan liabilities:
Amount 1
1,
,6
67
75
5(3,542) N/A N/A N/A
Percentage of plan liabilities 7
7.
.0
01
1%
%(19.12%) N/A N/A N/A