Cathay Pacific 2009 Annual Report Download - page 76

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17. Retirement benefits (continued)
Group
2009
HK$M
2008
HK$M
2007
HK$M
2006
HK$M
2005
HK$M
Present value of funded obligations 7,460 7,108 8,223 7,844 7,341
Fair value of plan assets (7,217) (5,924) (9,131) (8,065) (7,387)
Deficit/(surplus) 243 1,184 (908) (221) (46)
Actuarial losses/(gains) arising on
plan liabilities 361 (1,324) 205 267 (132)
Actuarial (gains)/losses arising on
plan assets (1,207) 3,368 (990) (529) (179)
Company
2009
HK$M
2008
HK$M
2007
HK$M
2006
HK$M
2005
HK$M
Present value of funded obligations 6,870 6,522 7,549 7,196 6,818
Fair value of plan assets (6,583) (5,426) (8,353) (7,369) (6,833)
Deficit/(surplus) 287 1,096 (804) (173) (15)
Actuarial losses/(gains) arising on
plan liabilities 381 (1,210) 178 261 (216)
Actuarial (gains)/losses arising on
plan assets (1,092) 3,070 (893) (495) (171)
The difference between the fair value of the schemes’ assets and the present value of the accrued past services
liabilities at the date of an actuarial valuation is taken into consideration when determining future funding levels
in order to ensure that the schemes will be able to meet liabilities as they become due. The contributions are
calculated based upon funding recommendations arising from actuarial valuations. The Group expects to make
contributions of HK$315 million to the schemes in 2010.
(b) Defined contribution retirement schemes
Staff employed by the Company in Hong Kong on expatriate terms are eligible to join a defined contribution
retirement scheme, the CPA Provident Fund 1993. All staff employed in Hong Kong are eligible to join the CPA
Provident Fund.
Under the terms of these schemes, other than the Company contribution, staff may elect to contribute from 0%
to 10% of their monthly salary. During the year, the benefits forfeited in accordance with the schemes’ rules
amounted to HK$19 million (2008: HK$26 million) which have been applied towards the contributions payable by
the Company.
A mandatory provident fund (“MPF”) scheme was established under the MPFSO in December 2000. Where
staff elect to join the MPF scheme, both the Company and staff are required to contribute 5% of the employees’
relevant income (capped at HK$20,000). Staff may elect to contribute more than the minimum as a voluntary
contribution.
Contributions to defined contribution retirement schemes charged to the Group profit and loss are
HK$677 million (2008: HK$655 million).
Notes to the Accounts STATEMENT OF FINANCIAL POSITION
74