A N N U A L R E P O R T - Bouygues

20.2.2. Defined-benefit plans
■ Net expense recognised in the income statement (as an operating item)
Lump-sum
Pensions
retirement benefits
2005 2004 2005 2004
Current service cost 13 16
Interest expense on obligation 9 7 2 2
Expected return on plan assets (2) (1)
Net actuarial loss / (gain) recognised (1)
Past service cost 6 6 (1)
Net expense recognised in income statement 27 29 (1) 1
■ Movement in balance sheet items
Lump-sum
retirement benefits
Pensions
2005 2004 2005 2004
Position at 1 January 225 224 22 21
Expense recognised 27 29 1
Change in scope of consolidation 0 (29) (1)
Translation adjustment 0 0
Transfers between items and other movements (1) 1 1
Position at 31 December 251 225 22 22
■ Amounts recognised in the balance sheet
Lump-sum
Pensions
retirement benefits
31/12/2005 31/12/2004 31/12/2005 31/12/2004
Present value of obligation (1) 335 273 103 81
Fair value of plan assets (3) (2) (3) (2) (74) (60)
Net unrecognised actuarial loss / (gain) (10) (7) (12) 1
Unrecognised past service cost (71) (3) (38) 5
Net obligation recognised 251 225 22 22
(1) total present value of obligation relating to lump-sum retirement benefits and pensions
(2) residual TF1 fund covering a portion of the obligation, reducing the present value of the TF1 obligation
(3) Most of this expense is due to the effect of the new lump-sum retirement benefit calculation rules contained in the new
Collective Agreement for managers in the construction industry, which came into force on 1 January 2005.
■ Main actuarial assumptions used to measure lump-sum retirement benefit obligations
31/12/2005 31/12/204
Discount rate (OAT TEC 10) 3.38% - 3.57% 3.6% - 3.57%
Mortality table INSEE INSEE
Retirement age
- Managerial 60 / 63 years 60 / 63 years
- Technical, clerical & supervisory, site workers 60 years 60 years
Salary inflation rate 2% - 4.3% 2% - 4.3%
(1) including general inflation
CONSOLIDATED FINANCIAL STATEMENTS
201