Page 105 - Bradken Annual Report 2013_Page flip

Basic HTML Version

BRADKEN LIMITED ANNUAL REPORT 2013 69
Notes to the consolidated financial statements
30 June 2013
(continued)
20 Retirement benefit obligations
(a) Superannuation plan
(b) Balance sheet amounts
2013
2012
$'000
$'000
Present value of the defined benefit obligation
56,530
52,110
Fair value of defined benefit plan assets
(44,825)
(35,111)
Net liability in the balance sheet
(11,705)
(16,999)
(c) Categories of the plan assets
2013
2012
$'000
$'000
Cash equivalents
8,093
5,772
Fixed interest
6,174
5,675
Equity securities
30,558
23,665
44,825
35,112
(d) Reconciliations
2013
2012
$'000
$'000
Balance at the beginning of the year
52,110
24,653
Current service cost
1,112
870
Interest cost
2,112
2,305
Plan amendments
-
395
Actuarial (gains) and losses
(1,620)
7,381
Benefits paid
(2,305)
(2,120)
Acquired in business combinations
-
17,351
FX Translation
5,121
1,275
56,530
52,110
Balance at the beginning of the year
35,112
19,616
Actual return on plan assets
4,374
(2,165)
Contributions by Group companies
3,580
3,499
Benefits paid
(2,305)
(2,120)
Acquired in business combinations
-
15,361
FX Translation
4,064
921
44,825
35,112
Reconciliation of the present value of the defined benefit
obligation, which is partly funded:
The following sets out details in respect of the defined benefit plans only.
All employees of the Group are entitled to benefit from various superannuation or pension plans on retirement, disability or death.
The Group operates two defined benefit retirement plans, one in the United States and the other in Canada. The United States
plan at one of the Group's US subsidiaries is closed to new members and covers hourly employees hired before May 10, 1993.
The Canadian plan is currently active at one of the Group's Canadian subsidiaries for hourly employees but closed on March 1,
2010 to salaried employees. Benefits for the defined benefit plans are determined on years of credited service.
The major categories of plan assets are as follows:
The amounts recognised in the balance sheet are determined as follows:
The Group has no legal obligation to settle this liability with an immediate contribution or additional one off contributions. The
Company contributes such amounts as deemed necessary on an actuarial basis to provide the Plan with assets sufficient to meet
benefits paid to Plan participants.
Reconciliation of the fair value of plan assets:
The Group also operates a number of defined contribution plans which receive fixed contributions from Group companies and the
Group's legal or constructive obligation is limited to these contributions.
Page 69
Bradken Limited