(Jamaica) Limited - FirstCaribbean International Bank

notes to the Financial Statements
Year Ended 31 October 2009
(Expressed in Jamaican dollars unless otherwise indicated)
12. Retirement Benefit Asset (Obligation) (Continued)
(b) Post-retirement medical benefits
In addition to pension benefits, the Group offers medical benefits that contribute to the health care and life insurance
coverage of employees and beneficiaries after retirement. The method of accounting and frequency of valuations are
similar to those used for the defined benefit pension scheme.
In addition to the assumptions used for the pension scheme, the main actuarial assumption is a long-term increase
in health costs of 5% per year (2008 – 5%).
The amounts recognised in the balance sheet are as follows:
The Group
The Bank
2009 2008 2009 2008
$’000 $’000 $’000 $’000
Present value of unfunded obligations 15,080 11,360 14,740 11,100
Unrecognised actuarial gains 24,250 45,820 22,530 43,620
Liability in the balance sheet 39,330 57,180 37,270 54,720
Movements in the obligation recognised in the balance sheet:
The Group
The Bank
2009 2008 2009 2008
$’000 $’000 $’000 $’000
Obligation at beginning of year 57,180 76,090 54,720 73,200
Charge for the year (17,810) (17,920) (17,450) (17,520)
Contributions paid (40) (990) - (960)
Obligation at end of year 39,330 57,180 37,270 54,720
The amounts recognised in the statement of income are as follows:
The Group
The Bank
2009 2008 2009 2008
$’000 $’000 $’000 $’000
Current service cost 150 80 150 80
Interest cost 1,780 1,210 1,740 1,180
Actuarial gains recognised in year (19,740) (19,210) (19,340) (18,780)
Total included in staff costs (Note 25) (17,810) (17,920) (17,450) (17,520)
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