FINANCIAL STATEMENTS 2010 - Finnlines

31. PENSION LIABILITIES
The Group’s pension plans are organised through external pension insurance companies.
The Group’s obligations in relation to defined benefit plans are calculated separately for each plan using the projected unit credit meth-
od. Pension costs are recognised as expenses during each employee’s employment term on the basis of calculations made by author-
ised actuaries. In calculating the current value of a pension liability, the Group uses the market rate of return of high-quality debenture
bonds issued by companies or the interest rate of government debt obligations as the discount rate. The maturity of debenture bonds
and debt obligations corresponds in all essential aspects to the maturity of the pension obligation being considered.
Finnlines Plc’s and Finnsteve Oy Ab’s plan assets of defined benefit pensions in Finland are mainly managed by insurance companies.
The assets are the responsibility of the insurance companies and a part of the insurance company’s investments assets, therefore, it is
not possible to disclose the distribution of assets in categories. The assets are managed in accordance with the local statutory require-
ments under which the plans are obliged to pay guaranteed sums irrespective of market conditions.
EUR 1,000 2010 2009
Post-employment benefits
Defined benefit pension plans (receivable) -128 -197
Defined benefit pension plans (liability) 2,310 2,355
2,182 2,158
EUR 1,000 2010 2009
Defined benefits plans Defined benefits plans
Reconciliation of statement of financial position
1 Jan 2,158 2,105
Net income (-) / expenses (+) recognised in profit and loss account 202 -32
Payments into the plan -178 85
31 Dec 2,182 2,158
Pension liabilities on statement of financial position
Present value of funded liabilities 8,054 9,103
Fair value of plan assets -4,476 -5,346
Unrecognised actuarial profits (+) and losses (-) -1,396 -1,599
Total liabilities (receivables) 2,182 2,158
EUR 1,000 2010 2009
Defined benefits plans Defined benefits plans
Pension costs on profit and loss account
Service costs in current period -52 -301
Interest expense -361 -410
Expected income from plan assets 243 246
Actuarial profits (+) / losses (-) -32
Service cost of past periods 0 497
Gains and losses on curtailments and settlements 0
Total in personnel costs -202 32
(figures in EUR thousand, if not stated otherwise)
FINNLINES PLC Financial Statements 2010
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