Marks and Spencer 2005 Annual Report Download - page 46

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44 MARKS AND SPENCER GROUP PLC
Notes to the financial statements continued
11 RETIREMENT BENEFITS continued
E Movements in liability during year
2005 2004
£m £m
Post-retirement liability at beginning of year (669.5) (1,278.2)
Current service cost1(117.2) (123.8)
Curtailment gain 21.0 –
Cash contribution2, 3 156.4 533.7
Net finance income/(charges) 11.4 (15.2)
Actuarial (loss)/gain (78.1) 213.8
Exchange movement –0.2
Post-retirement liability at end of year (676.0) (669.5)
1The UK defined benefit pension scheme is closed to new members and so under the projected unit method the service cost rate would be expected to
increase over time due to the expected increase in the average age of employed members subject to actual experience.
2The cash contribution for 2005 includes an additional contribution of £64.0m paid into the UK defined benefit pension scheme in March 2005. The cash
contribution for 2004 of £533.7m includes £400.0m paid to the UK defined benefit pension scheme in respect of the deficit identified at the time of the full
actuarial valuation of the scheme at 31 March 2003.
3Future contributions to the UK scheme will be made at the rate of 15.8% of pensionable salaries up to the next full actuarial valuation.
F History of experience gains and losses
2005 2004 2003
£m £m £m
Actual return less expected return on scheme assets:
Amount 77.4 401.9 (713.3)
% of scheme assets at end of year 2.0% 11.1% (27.0%)
Experience (losses)/gains arising on scheme liabilities:
Amount (24.0) (30.3) 16.0
% of scheme liabilities at end of year (0.5%) (0.7%) 0.4%
Total amount recognised in statement of total recognised gains and losses:
Amount (78.1) 213.8 (893.4)
% of scheme liabilities at end of year (1.7%) 5.0% (23.0%)
12 DIRECTORS
A Emoluments
Emoluments of directors of the Company are summarised below. Further details are given in the Remuneration report on pages 16 to 25.
2005 2004
£000 £000
Aggregate emoluments 6,016 3,769
Termination payments 3,651 754
B Transactions with directors
During the year, transactions entered into by Marks and Spencer Financial Services plc with directors and connected persons resulted
in the following outstanding balances on their combined credit and loyalty cards as at 2 April 2005:
2005 2004
Total Total
No. of balances No. of balances
persons £ persons £
––10 41,236
Following the disposal during the year of Marks and Spencer Financial Services plc, the directors and connected persons had no balances
with any subsidiary of the Group at 2 April 2005. Except as noted above, there was no contract of significance to which the Company, or
any of its subsidiaries, was a party and in which a director of the Company was materially interested during the year.