2012 Registration document and annual financial report - BNP Paribas

CONSOLIDATED FINANCIAL STATEMENTS - YEAR ENDED 31 DECEMBER 2012Notes to the financial statements4➤ CHANGE IN THE FAIR VALUE OF REIMBURSEMENT RIGHTSIn millions of eurosYear to31 Dec. 2012Post-employment benefitsYear to31 Dec. 2011FAIR VALUE OF REIMBURSEMENT RIGHTS AT START OF PERIOD 2,463 2,366Expected return on reimbursement rights 97 92Settlements - -Actuarial gains on reimbursement rights 124 1Actual employee contributions 10 9Employer contributions 146 111Benefits paid from reimbursement rights (169) (159)Exchange rate gains/(losses) on reimbursement rights - 3Consolidation variation gains/(losses) on reimbursement rights (32) 41Others - (1)FAIR VALUE OF REIMBURSEMENT RIGHTS AT END OF PERIOD 2,639 2,463Healthcare benefit plans are not funded plans.4➤ COMPONENTS OF THE COST OF DEFINED-BENEFIT PLANSIn millions of eurosYear to31 Dec. 2012Post-employment benefitsYear to31 Dec. 2011Post-employment healthcare benefitsYear to31 Dec. 2012Year to31 Dec. 2011CURRENT SERVICE COST 311 300 3 3Interest cost 310 320 5 5Expected return on plan assets (179) (188) - -Expected return on reimbursement rights (97) (92) - -Amortization of actuarial (gains)/losses (86) 62 3 -Amortization of prior service costs 9 5 1 -(Losses)/gains on curtailments or settlements (65) (39) - (1)Effect of asset ceiling 135 (32) - -Others 1 (2) - -TOTAL EXPENSE RECOGNISED IN PROFIT AND LOSS 339 334 12 7Method used to measure obligationsDefined-benefit plans are valued by independent firms using actuarialtechniques, applying the projected unit credit method, in order todetermine the expense arising from rights vested by employees andbenefits payable to retired employees. The demographic and financialassumptions used to estimate the present value of these obligations andof plan assets take into account economic conditions specific to eachcountry and Group company.Obligations under post-employment healthcare benefit plans aremeasured using the specific mortality tables applicable in eachcountry and healthcare cost trend assumptions. These assumptions,which are derived from historical data, take into account expectationsabout healthcare benefit costs, including expected trend in the cost ofhealthcare benefits and expected inflation.2012 Registration document and annual financial report - BNP PARIBAS 169