DHL 2003 Annual Report Download - page 125
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Notes
Plan assets largely consist of fixed-income securities, fixed-
term deposits, other cash and cash equivalents, etc. (52.8%; previous
year: 72.1%), equities and investment funds (11.1%; previous year:
6.5%), and other assets, such as real estate (36.1%; previous year:
21.4%). 65.2% of this real estate (fair value: €650 million) is used
by Deutsche Post AG itself. The price risk is extremely low due to
the conservative composition of these assets.
An internal Pension Trust, Deutsche Post Pensionfonds GbR,
was formed in fiscal year 2002 and converted into Deutsche Post
Pensionfonds GmbH & Co. KG in March 2003. Its objective is to
Financial Statements
Changes in net provisions
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 at Jan. 1 5,945 552 0 65 19 6,581 5,480 563 –15 63 56 6,147
Pension expense 431 43 25 1 36 536 435 46 60 23 4 568
Pension payments –173 –37 0 –14 –1 –225 – 276 – 42 – 41 –3 0 –362
Contributions to funds – 481 0 –32 0 0 – 513 –219 0 –7 –13 0 – 239
Acquisitions 0 0 32 1 0 33 0 0 91 0 0 91
Gains/losses on plan curtailments –2375080–224000000
Transfers – 5 0 –36 0 2 –39 30 4 35 42 – 49 62
Currency translation effects 0 0 – 4 2 0 – 2 0 1 –7 –2 0 – 8
Provision at Dec. 31 5,480 563 –15 63 56 6,147 5,450 572 116 110 11 6,259
secure the pension entitlements of employees by using insolvency-
proof transferred assets. Deutsche Post AG and Deutsche Post
Pensions e.V. are the limited partners of Deutsche Post Pensions-
fonds GmbH & Co. KG. Deutsche Post Verwaltungs Objekt GmbH
is the sole general partner. Deutsche Post AG transferred real estate
to the company and leased it back. The company is also provided
with cash and cash equivalents. In the event of Deutsche Post AG
becoming insolvent, Deutsche Post Pensions e.V. would assume
the pension payments. Transfer of the real estate to Deutsche Post
Pensionsfonds GmbH & Co. KG results in a plan asset that is offset
against the plan liabilities.
Changes in provisions
Changes in net pension provisions in 2002 and 2003 are shown in the table below:
Pension expense
The pension expense recognized in the income statement is as follows:
With the exception of the interest cost reported under net finance costs, all income and expenses were carried under staff costs.
Pension expense
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
Service cost 110 7 18 21 36 192 94 10 41 23 4 172
Interest cost 394 34 4 24 0 456 382 35 35 28 0 480
Expected return on plan assets – 47 0 –3 –25 0 –75 –55 0 –37 –26 0 –118
Recognized past service cost –262030–2161–4003
Amortized unrealized (gains)/losses 0 0 6 –22 0 –168004012
Other 0000000025–6019
Pension expense at Dec. 31 431 43 25 1 36 536 435 46 60 23 4 568