DHL 2003 Annual Report Download - page 123
Download and view the complete annual report
Please find page 123 of the 2003 DHL 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.119
Notes
Postbank AG or the return on assets on the other, and guarantees that
the special pension fund is able at all times to meet the obligations
it has assumed in respect of its funding companies. Where the fed-
eral government makes payments to the special pension fund under
the terms of this guarantee, it cannot claim reimbursement from
Deutsche Post AG and Deutsche Postbank AG.
Until 2000, Deutsche Post AG and Deutsche Postbank AG
each operated a separate pension fund for their active and former
civil servant employees. These funds were merged with the pension
fund of Deutsche Telekom AG to form the joint special pension
fund Bundes-Pensions-Service für Post und Telekommunikation
e.V. (BPS-PT).
Pension plans for hourly workers and salaried employees
The benefit obligations for the Group’s hourly workers and salaried
employees relate primarily to pension obligations in Germany.
There are various commitments to individual groups of employees.
The commitments depend on length of service, and usually final
salary as well. The provisions for defined benefit plans are measured
using the projected unit credit method in accordance with IAS 19
(Employee Benefits), under which the future obligations are deter-
mined using actuarial principles and actuarial assumptions. The
expected benefits are spread over the entire length of service of the
employees, taking into account changes in key parameters.
The significant defined benefit plans of Deutsche Post AG
are funded via Versorgungsanstalt der Deutsche Bundespost (VAP),
Unterstützungskasse Deutsche Post Betriebsrenten Service e.V.
(DPRS), and Deutsche Post Pensionsfonds GmbH & Co. KG. VAP,
DPRS and Deutsche Post Pensionsfonds GmbH & Co. KG were pro-
vided with plan assets (funded pension plans). Deutsche Post AG
and Deutsche Postbank AG have entered into direct commitments
for the remaining plans.
The Group also has further benefit obligations around the
world. These relate primarily to pension obligations.
Financial Statements
Provisions for pensions and other employee benefits by area
in €m Deutsche EXPRESS LOGISTICS Deutsche EXPRESS LOGISTICS
Deutsche Postbank excl. excl. Deutsche Postbank excl. excl.
Post AG group DPAG DPAG Other Total Post AG group DPAG DPAG Other Total
2002 2002 2002 2002 2002 2002 2003 2003 2003 2003 2003 2003
Provision for pensions 5,480 563 34 63 56 6,196 5,450 572 150 125 11 6,308
Other employee benefits 39 0 0 57 0 96 0 0 12 31 0 43
Provision for pensions
and other employee benefits 5,519 563 34 120 56 6,292 5,450 572 162 156 11 6,351
Plan assets 0 0 – 49 0 0 – 49 0 0 –34 –15 0 – 49
Net provision for pensions 5,480 563 –15 63 56 6,147 5,450 572 116 110 11 6,259
Provisions for pensions and other employee benefits classified by area:
Actuarial assumptions
The actuarial computation of the benefit obligations and pension
expense in Germany (particularly of Deutsche Post AG and
Deutsche Postbank AG) was based on the following assumptions:
At the German Group companies, longevity is calculated on
the 1998 mortality tables published by Dr. Klaus Heubeck.
Actuarial assumptions
in % 2002 2003
Discount rate 5.5 to 5.75 5.5 to 5.75
Expected wage and salary growth 2.5 2.5
Expected pension growth
(depending on employee group) 2.0 to 2.5 2.0 to 2.5
Average expected fluctuation 1.0 1.0
Expected return on plan assets 3.0 to 4.25 3.0 to 4.25