If these amounts had been recognised in the financial statements, the
Group’s net assets and profit and loss account would have been as follows:
2001
2000
£million
£million
Net assets excluding
pension asset/(liability)
411.7
427.9
Net pension (liability)/asset
(25.3)
32.0
Net assets including
pension (liability)/asset
386.4
459.9
Profit and loss account
excluding pension (liability)/asset
340.5
380.3
Pension reserve
(25.3)
32.0
Profit and loss account
315.2
412.3
The following amounts would have been recognised in the performance
statements in the year to 31 December 2001 under FRS17:
2001
UK pension
schemes
£million
2001
US pension
schemes
£million
2001
US PRMB
scheme
£million
2001
Total
£million
Consolidated profit & loss account
Operating profit
Current service cost
(2.4)
(2.5)
(0.2)
(5.1)
Past service cost
-
(0.1)
-
(0.1)
Total operating charge
(2.4)
(2.6)
(0.2)
(5.2)
Other finance income
Expected return on pension scheme
assets
24.8
3.9
-
28.7
Interest on pension scheme liabilities
(20.3)
(3.9)
(0.8)
(25.0)
Net return
4.5
-
(0.8)
3.7
Net profit & loss account credit/(charge)
2.1
(2.6)
(1.0)
(1.5)
Statement of total recognised
gains and losses
Actual return less expected return
on pension scheme assets
(55.3)
(7.1)
-
(62.4)
Experience gains and losses arising
on scheme liabilities
2.2
(0.3)
0.7
2.6
Changes in assumptions underlying
the present value of scheme liabilities
(23.0)
(1.7)
(0.2)
(24.9)
Actuarial (loss)/gain recognised
(76.1)
(9.1)
0.5
(84.7)
Movement in surplus/(deficit)
during the year
Surplus/(deficit) in schemes at beginning
of the year
60.3
(4.1)
(11.5)
44.7
Movement in year:
Current service cost (incl. member
contributions)
(2.9)
(2.5)
(0.2)
(5.6)
Contributions (incl. member contributions)
3.0
0.2
0.6
3.8
Past service costs
-
(0.1)
-
(0.1)
Other finance income
4.5
-
(0.8)
3.7
Actuarial gain/(loss)
(76.1)
(9.1)
0.5
(84.7)
Currency translation differences
-
(0.1)
(0.2)
(0.3)
Deficit in schemes at end of the year
(11.2)
(15.7)
(11.6)
(38.5)
On an FRS17 basis the total charge to the profit & loss account
for 2001 (including that for defined contribution pension schemes
in the US and schemes in the rest of the world not included in the
table above) would have been £2.8 million.
The valuation of the UK pension scheme at 31 December 2001 showed
a decrease from a surplus of £60.3 million to a deficit of £11.2million.
Employer contributions were £2.4 million (16 per cent of pensionable
pay). The valuation of the US pension schemes at 31 December 2001
showed an increase in the deficit from £4.1 million to £15.7 million.
Improvements to the US pension scheme costing £0.1 million were
made in 2001 and employer contributionswere £0.2 million (one per
cent of pensionable pay).
Details of experience gains and losses for the
year to 31 December 2001
UK pension
schemes
£million
US pension
schemes
£million
Difference
between the expected and actual return on scheme assets:
Amount
(55.3)
(7.1)
Percentage of net
scheme assets
16.5%
15.2%
Experience
gains and losses on scheme liabilities:
Amount
2.2
(0.3)
Percentage of the
present value of the scheme liabilities
0.6%
0.5%
Total amount
recognised in statement of total recognised gains and losses:
Amount
(76.1)
(9.1)
Percentage of the
present value of the scheme liabilities
