| 19 Pension fund obligation | |||
|---|---|---|---|
| CHF thousands | |||
| 2009 | 2010 | ||
| Development of plan liabilities and assets | |||
| Present value of plan liabilities on 1 January | 166,871 | 167,106 | |
| Service costs | 6,351 | 7,115 | |
| Interest expense | 5,406 | 5,215 | |
| Plan reduction / plan payment | -1,182 | -7,203 | |
| Benefits paid | -8,034 | -7,686 | |
| Gains / losses | -2,304 | 14,703 | |
| Currency gains/losses | -2 | -289 | |
| Present value of plan liabilities at 31 December | 167,106 | 179,161 | |
| Fair value of plan assets on 1 January | 147,083 | 143,929 | |
| Expected return on plan assets | 6,583 | 6,243 | |
| Employer contributions | 3,689 | 4,416 | |
| Employee contributions | 2,100 | 2,247 | |
| Plan reduction / plan payment | -792 | -5,188 | |
| Benefits paid | -8,034 | -7,686 | |
| Gains / losses | -6,700 | 2,582 | |
| Fair value of plan assets at 31 December | 143,929 | 146,543 | |
| Recognised pension liabilities | |||
| Fair value of plan assets | 143,929 | 146,543 | |
| Present value of pension obligation excluding plan assets | -165,549 | -177,447 | |
| Shortfall/surplus | -21,620 | -30,904 | |
| Present value of pension obligation excluding plan assets | -1,557 | -1,714 | |
| Unrecognised actuarial gains/losses | 13,981 | 24,859 | |
| Recognised pension liabilities | -9,196 | -7,759 | |
| Pension expense recognised under personnel expenses | |||
| Service costs | 6,351 | 7,315 | |
| Interest expenses | 5,406 | 5,215 | |
| Expected return on plan assets | -6,583 | -6,243 | |
| Recognised actuarial gains/losses (outside the corridor) | 17 | 16 | |
| Plan reduction / plan payment gain (loss) | -176 | -818 | |
| Employee contributions | -2,100 | -2,247 | |
| Pension costs for the period | 2,915 | 3,238 | |
| Change in defined benefit pension obligation | 2009 | 2010 | |
| At 1 January | -9,974 | -9,196 | |
| Translation differences from foreign plans | 4 | 259 | |
| Pension costs for the period | -2,915 | -3,238 | |
| Employer contributions paid | 3,689 | 4,416 | |
| Recognised plan liabilities on 31 December | -9,196 | -7,759 | |
| Effective return on plan assets | -0.10% | 6.10% | |
| Effective income from plan assets | -117 | 8,825 | |
| Calculation principles: | |||
| Discount rate | 3.25% | 2.65% | |
| Expected return on separated assets | 4.50% | 4.00% | |
| Expected rate of increase in future compensation levels | 2.50% | 2.00% | |
| Expected rate of increase in future pension contribution | 0.25% | 0.25% | |
| Breakdown of assets, other information | |||
| Liquid assets | 5.30% | 6.10% | |
| Time deposits | 29.00% | 28.10% | |
| Investments | 40.60% | 39.80% | |
| Real estate | 16.60% | 16.90% | |
| Other | 8.50% | 9.10% | |
| Total | 100.00% | 100.00% | |
The most important demographic assumptions concern the mortality rate. Mortality rates are applied which take into account the historic trend and expected changes such as an increasing life expectancy. The mortality tables used for the largest Group staff pension fund, which covers all employees in Switzerland, are based on the technical principles of the Federal Insurance Fund 2000.
Disclosures of current and prior periods:
| 31.12.2006 | 31.12.2007 | 31.12.2008 | 31.12.2009 | 31.12.2010 | |
|---|---|---|---|---|---|
| Present value of pension obligation | 163,455 | 164,255 | 166,871 | 167,106 | 179,161 |
| Fair value of plan assets | 150,050 | 167,905 | 147,083 | 143,929 | 146,543 |
| Plan surplus/deficit | -13,405 | 3,650 | -19,788 | -23,177 | -32,618 |
| Experience adjustments | |||||
| of pension obligation | 7,300 | 2,569 | 1,902 | -2,304 | 3,844 |
| of plan assets | 7,157 | 10,569 | -29 564 | -6,700 | -2,582 |
| Adjustment to pension fund obligation based on changed assumptions | -7,376 | -3,727 | - | -10,859 |
Employer contributions for 2011 are estimated at TCHF 3,480 (previous year: TCHF 3,193).