Mercedes 2013 Annual Report Download - page 226

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Risks from defined benefit pension plans. The general
requirements with regard to retirement benefit models are laid
down in the Pension Policy, which has Group-wide validity.
Accordingly, the committed benefits are intended to contribute
to additional financial security during retirement, and in the
case of death or invalidity to be capable of being planned and
fulfilled by the respective company of the Group and to have
a low-risk structure. In addition, a committee exists that approves
new pension plans and amendments to existing pension plans
as well as guidelines relating to company retirement benefits.
The obligations from defined benefit pension plans and the
pension plan assets can be subject to fluctuations over time.
This can cause the funded status to be negatively or positively
impacted. Fluctuations in the defined benefit pension obliga-
tions result at the Daimler Group in particular from changes
in financial assumptions such as discount rates and increases
in the cost of living, but also from changes in demographic
assumptions such as adjusted life expectancies. With most
of the German plans, expected long-term wage and salary
increases do not have an impact on the amount of the obligation.
F.56
Present value of defined pension benefit obligations and fair value of plan assets
2013 2012
Total
German
plans
Non-German
plans Total
German
plans
Non-German
plans
In millions of euros
Present value of the defined benefit obligation
at January 1
23,943 20,698 3,245
19,077 16,058 3,019
Current service cost 548 453 95 404 320 84
Interest cost 755 635 120 864 734 130
Contributions by plan participants 56 52 4 116 114 2
Actuarial gains (-)/losses from changes
in demographic assumptions
-14 -71 57
-2 – -2
Actuarial gains (-)/losses from changes
in financial assumptions
-1,136 -892 -244
4,298 4,089 209
Actuarial losses from experience adjustments 121 121 – 84 55 29
Actuarial gains (-)/losses -1,029 -842 -187 4,380 4,144 236
Past service cost, curtailments and settlements –––4 – 4
Pension benefits paid -829 -691 -138 -822 -680 -142
Currency exchange-rate changes and other changes -214 5 -219 -80 8 -88
Present value of the defined benefit obligation
at December 31
23,230 20,310 2,920
23,943 20,698 3,245
Fair value of plan assets
at January 1
14,207 12,143 2,064
12,597 10,726 1,871
Interest income from plan assets 464 381 83 601 503 98
Actuarial gains 262 199 63 707 611 96
Actual return on plan assets 726 580 146 1,308 1,114 194
Contributions by the employer 537 448 89 1,067 911 156
Contributions by plan participants 57 52 5 3 – 3
Benefits paid -763 -641 -122 -736 -608 -128
Currency exchange-rate changes and other changes -96 6 -102 -32 – -32
Fair value of plan assets at December 31 14,668 12,588 2,080 14,207 12,143 2,064
Funded status -8,562 -7,722 -840 -9,736 -8,555 -1,181
thereof recognized in other assets 62 – 62 52 – 52
thereof recognized in provisions for pensions
and similar obligations
-8,624 -7,722 -902
-9,788 -8,555 -1,233