2011 Annual Report Financial Supplements - BDO

The movements in the present value of the retirement benefit obligation recognized in thebooks follows:BDO Unibank GroupParent Bank2011 2010 2011 2010Balance at beginning of year P 10,130 P 8,459 P 9,658 P 7,913Current service and interest costs 1,609 1,490 1,524 1,413Actuarial losses 959 856 838 837Transfer to (from) plan assets 5 ( 141 ) 5 4Benefits paid by the plan ( 633) ( 534 )( 603 ) ( 509 )Balance at end of year P 12,070 P 10,130 P 11,422 P 9,658The movements in the fair value of plan assets are presented below.BDO Unibank GroupParent Bank2011 2010 2011 2010Balance at beginning of year P 7,390 P 4,357 P 7,106 P 4,114Contributions paid into the plan 1,815 2,435 1,730 2,357Benefits paid by the plan ( 633) ( 534 )( 603 ) ( 509 )Actuarial gains 69 857 67 813Transfer to plan assets 5 11 5 77Expected return on plan assets 398 264 384 254Balance at end of year P 9,044 P 7,390 P 8,689 P 7,106As at December 31, the composition (in percentages) of plan assets is presented below.BDO Unibank GroupParent Bank2011 2010 2011 2010Placements in debt instruments 65.4% 55.4% 65.5% 55.1%Deposits in other banks 8.2% 11.8% 8.2% 11.2%Loans and other receivables 8.4% 5.4% 8.4% 5.4%Other properties 18.0% 27.4% 17.9% 28.3%100.0% 100.0% 100.0% 100.0%Actual returns on plan assets were P477 and P451 in 2011 and P1,087 and P1,067 in 2010 inthe BDO Unibank Group and the Parent Bank financial statements, respectively.The amounts of retirement benefits recognized in profit or loss are as follows:BDO Unibank Group2011 2010 2009Current service costs P 774 P 725 P 515Interest costs 835 771 818Expected return on plan assets ( 399) ( 264) ( 259)Net actuarial losses recognized 109 112 111Net transition obligation (asset) recognized - ( 8) 124P 1,319 P 1,336 P 1,309www.bdo.com.ph 125