Marks and Spencer 2009 Annual Report Download - page 98

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Marks and Spencer Group plc Annual report and financial statements 2009 Financial statements
Notes to the financial statements
continued
94
11 Retirement benefits continued
F. Scheme assets
Changes in the fair value of the scheme assets are as follows:
2009
£m
2008
£m
Fair value of scheme assets at start of year 5,045.5 5,227.5
Expected return on scheme assets1 334.6 342.7
Employer contributions2 92.1 111.1
Contributions from scheme members 2.0 1.0
Benefits paid (226.5) (220.4)
Actuarial loss (1,280.3) (422.6)
Exchange movement 9.6 6.2
Fair value of scheme assets at end of year 3,977.0 5,045.5
1 The actual return on scheme assets was a loss of £945.7m (last year £79.9m).
2 Last year the Group agreed to pre-fund £200.0m of its annual contribution to the UK defined benefit pension scheme for the next three years. The prepayment is in respect
of annual contributions to the UK scheme at the rate of 23.7% of pensionable salaries up to 30 September 2009 and then 23.2% up to the next financial year. It is estimated that
approximately £66m of the prepayment will relate to the year ended 3 April 2010.
G. Retirement benefit obligations
Changes in the present value of retirement benefit obligations are as follows:
2009
£m
2008
£m
Present value of obligation at start of year 4,562.0 5,510.8
Current service cost 72.2 106.1
Curtailment gain (5.0) (3.0)
Exceptional pension credit (231.3) (95.0)
Interest cost 299.2 283.8
Contributions from scheme members 2.0 1.0
Benefits paid (226.5) (220.4)
Actuarial gain (353.2) (1,028.0)
Acquisition of subsidiary –0.4
Exchange movement 9.8 6.3
Present value of obligation at end of year 4,129.2 4,562.0
Analysed as:
Present value of pension scheme liabilities 4,112.4 4,542.3
Unfunded pension plans 1.0 1.3
Post-retirement healthcare 15.8 18.4
Present value of obligation at end of year 4,129.2 4,562.0
H. Cumulative actuarial gains and losses recognised in equity
2009
£m
2008
£m
Loss at start of year (330.2) (935.6)
Net actuarial (losses)/gains recognised in the year (927.1) 605.4
Loss at end of year (1,257.3) (330.2)
I. History of experience gains and losses
2009
£m
2008
£m 2007
£m 2006
£m 2005
£m
Experience adjustments arising on scheme assets (1,280.3) (422.6) (80.4) 454.3 77.4
Experience gains/(losses) arising on scheme liabilities 81.2 (61.5) 18.8 20.0 (24.0)
Changes in assumptions underlying the present value of scheme liabilities 272.0 1,089.5 53.0 (643.6) (131.5)
Actuarial (losses)/gains recognised in equity (927.1) 605.4 (8.6) (169.3) (78.1)
Fair value of scheme assets 3,977.0 5,045.5 5,227.5 4,606.2 3,956.8
Present value of scheme liabilities (4,112.4) (4,542.3) (5,487.0) (5,381.3) (4,611.0)
Pension scheme (deficit)/asset (135.4) 503.2 (259.5) (775.1) (654.2)