Daimler Annual Report 2011 - Alle jaarverslagen

7 | Consolidated Financial Statements | Notes to the Consolidated Financial Statements
22. Pensions and similar obligations
Table 7.48 shows how provisions for pension benefit plans
and similar obligations are comprised.
Defined benefit pension plans. Provisions for pension
benefits were solely made for defined entitlements to active
or former employees. Under a defined benefit pension plan,
beneficiaries obtain an entitlement to a defined benefit when
retirement occurs. Daimler primarily provides pension bene ­
fits with defined entitlements to its employees. The majority
of the active employees are entitled to pay-related defined
pension benefits. Under these plans, employees earn benefits
for each year of service. The benefits earned per year of
service are dependent on the salary level and age of the respective
employees. Principally, the defined benefit pension plans
provided by Daimler vary according to the economic, tax and
legal circumstances of the country concerned. Generally,
defined benefit pension plans also provide benefits for invalidity
and death. The defined benefit obligations are funded in large
part with assets in pension funds.
Defined contribution pension plans. To a minor degree,
Daimler also maintains defined contribution plans. Under these
plans, Daimler makes defined contributions to external insurances
or funds. Basically, there are no further contractual obligations
or risks for Daimler in excess of the defined contributions.
The Group also pays contributions to governmental
pension schemes. In 2011, the total cost from payments
made under defined contribution plans amounted to €1.3 billion
(2010: €1.2 billion). These payments are primarily related
to governmental pension plans.
7.48
Compositions of provisions for pension benefit plans
and similar obligations
In millions of euros
At December 31,
2011 2010
Provision for pension benefits 2,151 3,449
Provision for other post-employment benefits 1,033 880
7.49
Key data for other post-employment benefits
In millions of euros
3,184 4,329
2011 2010
Present value of defined benefit obligations 1,355 1,056
Fair value of plan assets and reimbursement rights 153 130
Funded status -1,202 -926
Net periodic cost/income for
other-postemployment benefits -104 76
Other post-employment benefits. Certain foreign subsidiaries
of Daimler, mainly in the United States, provide their employees
with post-employment health care benefits with defined
entitlements, which have to be accounted for as defined
benefit plans. These obligations are funded to a small extent
through reimbursement rights and plan assets. Table 7.49
provides key data for other post-employment benefits.
As a result of the adjustment of defined health care and pension
benefits at our subsidiary Daimler Trucks North America,
the Group recorded a pre-tax gain of €160 million in 2010.
The gain is mainly included in cost of sales in the consolidated
statement of income and is allocated to the Daimler Trucks
segment. This pre-tax gain is included in the 2010 net periodic
cost/income for defined health care and pension benefits,
as presented in this Note.
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