Mandarin Oriental International Limited - Mandarin Oriental Hotel ...

12 Pension plans continued
The analysis of the fair value of plan assets at 31st December is as follows:
Fair value of assets
2005 2004
US$m US$m
Equity instruments 43.4 44.0
Debt instruments 18.6 13.1
Other assets 0.2 1.3
The five year history of experience adjustments is as follows:
62.2 58.4
2005 2004 2003 2002 2001
US$m US$m US$m US$m US$m
Fair value of plan assets 62.2 58.4 52.8 42.5 46.9
Present value of funded obligations (40.8) (36.9) (34.9) (38.3) (32.9)
Plan surplus 21.4 21.5 17.9 4.2 14.0
Experience adjustments on plan assets 1.9 3.8 9.1 (7.0) (8.5)
Percentage of plan assets (%) 3.1 6.6 17.2 (16.4) (17.9)
Experience adjustments on plan obligations (1.2) 0.4 3.4 2.3 0.4
Percentage of plan obligations (%) 3.0 1.2 9.8 6.1 1.1
The amounts recognized in the consolidated profit and loss account are as follows:
2005 2004
US$m US$m
Current service cost 3.3 3.3
Interest cost 2.2 2.0
Expected return on plan assets (3.5) (3.3)
Past service cost – 0.1
2.0 2.1
Actual return on plan assets in the year 5.4 7.1
The above amounts are all recognized in arriving at operating profit and are included in cost of sales, selling and
distribution costs and administration expenses.
It is estimated that the Group will make contributions of up to 6% of pensionable salaries into the pension plans
in 2006.
ANNUAL REPORT 2005 53