BT 2010 Annual Report Download - page 131

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FINANCIAL STATEMENTS NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
129BT GROUP PLC ANNUAL REPORT & FORM 20-F
FINANCIAL STATEMENTSADDITIONAL INFORMATION REPORT OF THE DIRECTORS REVIEW OF THE YEAR OVERVIEW
29. Retirement benefit plans continued
The present value of the obligation is derived from long-term cash flow projections and is thus inherently uncertain. The benefits payable
by the BTPS are expected to be paid as follows:
An analysis of actuarial gains and losses and the actual return on plan assets is shown below:
2010 2009 2008
Year ended 31 March £m £m £m
Actuarial (loss) gain recognised in the year (4,324) (7,037) 2,621
Cumulative actuarial (losses) gains (4,915) (591) 6,446
Actual return on plan assets 7,089 (6,830) (124)
Changes in the present value of the defined benefit pension obligation are as follows:
2010 2009
Year ended 31 March £m £m
Opening defined benefit pension obligation (33,326) (34,669)
Current service cost (206) (459)
Interest expense (2,211) (2,308)
Contributions by employees (15) (18)
Actuarial (loss) gain (9,481) 2,414
Business combinations – (4)
Benefits paid 1,948 1,741
Exchange differences (2) (23)
Closing defined benefit pension obligation (43,293) (33,326)
Changes in the fair value of plan assets are as follows:
2010 2009
Year ended 31 March £m £m
Opening fair value of plan assets 29,353 37,448
Expected return 1,932 2,621
Actuarial gain (loss) 5,157 (9,451)
Regular contributions by employer 391 441
Deficiency contributions by employer 525 –
Contributions by employees 15 18
Benefits paid (1,948) (1,741)
Exchange differences 417
Closing fair value of plan assets 35,429 29,353
0
500
1,000
1,500
2,000
2,500
3,000
3,500
2011 2034 2057 2103
2080
Forecast benefits payable by the BTPS at 31 March 2010
(£m)