ICICI Bank 2008 Annual Report Download - page 102

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F28
schedules
forming part of the Accounts (Contd.)
Particulars Year ended
March 31, 2008
Year ended
March 31, 2007
Opening plan assets, at fair value .................................................................... 988.5 1,079.5
Add: Addition due to amalgamation ................................................................... 584.8 —
Expected return on plan assets .......................................................................... 115.8 78.9
Actuarial gain/(loss) ............................................................................................. (118.0) (110.1)
Assets distributed on settlement ....................................................................... (1,145.2) (2.3)
Contributions ....................................................................................................... 1,264.3 5.8
Benefits paid ....................................................................................................... (200.1) (63.3)
Closing plan assets, at fair value ...................................................................... 1,490.1 988.5
Fair value of plan assets at the end of the year .................................................. 1,490.1 988.5
Present value of the defined benefit obligations at the end of the year ............ 1,678.1 1,029.4
Asset/(liability) .................................................................................................. (188.0) (40.9)
Cost for the year
Service cost ......................................................................................................... 54.0 6.7
Interest cost ........................................................................................................ 230.7 78.0
Expected return on plan assets .......................................................................... (115.8) (78.9)
Actuarial (gain)/loss ............................................................................................. (54.3) 81.9
Curtailments & settlements (gain)/loss ............................................................... 74.2 —
Net cost .............................................................................................................. 188.8 87.7
Investment details of plan assets
Majority of the plan assets are invested in Government securities and corporate bonds.
Assumptions
Interest rate ......................................................................................................... 8.57% 8.35%
Salary escalation rate .......................................................................................... 7.00% 7.00%
Estimated rate of return on plan assets ............................................................. 8.00% 7.50%
Reconciliation of opening and closing balance of the present value of the defined benefit obligation for gratuity benefits is
given below:
Rupees in million
Particulars Year ended
March 31, 2008
Year ended
March 31, 2007
Opening obligations .......................................................................................... 1,142.1 1,001.0
Add: Addition due to amalgamation/initial
recognition of foreign branches.......................................................................... 506.6 —
Service cost ......................................................................................................... 292.8 221.0
Interest cost ........................................................................................................ 136.4 75.5
Actuarial (gain)/loss ............................................................................................. (62.0) (63.6)
Transitional obligation/(Asset) ............................................................................. (0.2) —
Benefits paid (175.3) (91.8)
Obligations at end of year ................................................................................ 1,840.4 1,142.1
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