Financial Statements - Solvay

94
Solvay Global Annual Report 2008
The fair value of plan assets evolved as follows:
EUR Million 2007 2008
Fair value of plan assets at beginning of period 1 298 1 341
Expected return on plan assets 79 81
Actuarial gain /loss (-) -19 -336
Actual employer contributions 134 115
Actual employee contributions 6 7
Acquisitions / Disposals (-) 5 0
Settlements 0 -2
Actual benefi ts paid -130 -144
Other -31 -14
Fair value of plan assets at end of period 1 341 1 049
Actual return on plan assets 60 -255
The “Other” caption includes the impact of the full consolidation of SolVin since July 1 (EUR 6 million).
Changes in net obligations during the period:
EUR Million 2007 2008
Net amount recognized at beginning of period 932 883
Net expense - Defi ned benefi t plans 97 66
Actual employer contributions / direct actual benefi ts paid -134 -115
Impact of acquisitions / disposals 0 0
Changes in consolidation scope 1 21
Currency translation differences -13 7
Other 0 0
Net amount recognized at end of period 883 862
The change in consolidation scope results mainly from the full consolidation of SolVin since July 1.
Actuarial assumptions used in determining the pension obligation at December 31
Eurozone Europe Other USA Other
2007 2008 2007 2008 2007 2008 2007 2008
Discount rates 5 % 5.5 % 3.5 % - 5.75 % 3.5 % - 6.25 % 6 % 6 % 9.7 % 8.6 % - 9.7 %
Expected rates of
future salary increases
2.5 % - 4.5 % 2.5 % - 4.5 % 2 % - 5 % 2 % - 5 % 4 % 4 % 7 % 5.5 % - 6.6 %
Expected rates of
pension growth
Expected rates of
0 % - 2 % 0 % - 2 % 0 % - 3.1 % 0 % - 3.1 % not avail. not avail. not avail. not avail.
medical care cost
increases
0 % - 2 % 0 % - 2 % not avail. not avail. 5 % - 8 % 5 % - 8 % 5.6 % 7.1 %