Annual report 2019

117

The accumulated actuarial gains and losses and the balance of the limitation on net plan assets amount to:

2018

2019

Accumulated actuarial gains and losses as at 31 December Asset limitation on net plan assets as at 31 December

- 33,017

- 26,822

-

- 268

- 33,017

- 27,090

In 2020 the Group expects to contribute premiums of EUR 1.6 million (2019: EUR 2.0 million) to funded defined benefit plans and premiums of EUR 0.3 million (2019: EUR 0.3 million) to unfunded defined benefit plans.

The principal actuarial assumptions used for the calculations were:

2018

2019

Discount rate

1.97% 1.00% 1.80% 1.01% 1.00%

1.20% 1.00% 1.70% 1.00% 1.00%

Expected future salary increases

Expected future inflation

Expected future pension increases for active participants Expected future pension increases for inactive participants

Sensitivity to changes in the applied assumptions can be summarized as follows:

Assumptions as at 31 December 2019

Increase of 0.25%

Decrease of 0.25%

Effect on defined benefit obligation Change in discount rate Change in expected future salary increases Change in pension increase for active participants Change in pension increase for inactive participants

- 6,641

7,257

28

- 26

1,850 5,179

- 1,761 - 4,813

Assumptions as at 31 December 2018

Increase of 0.25%

Decrease of 0.25%

Effect on defined benefit obligation Change in discount rate Change in expected future salary increases Change in pension increase for active participants Change in pension increase for inactive participants

- 9,196 2,581 1,758 3,843

10,259 - 2,470 - 1,663 - 3,580

Historical information:

2018

2017

2016

2015

2019

Defined benefit obligation Fair value of plan assets

- 178,923 150,683 - 28,240

- 159,058 150,564

- 160,380 153,196

- 753,035 734,794 - 18,241

- 109,071 74,601 - 34,470 - 4,785 - 39,255

Surplus / deficit (-)

- 8,494

- 7,184

Unfunded pension liabilities Total surplus / deficit (-)

- 4,555

- 4,827

- 5,142

- 5,175

- 32,795

- 13,321

- 12,326

- 23,416

The reduction of defined benefit obligations and the fair value of plan assets in 2019 mainly relates to the settlement of the UK defined benefit plan in 2019. The reduction in 2016 mainly related to the settlement of two defined benefit plans in 2016. DEFINED CONTRIBUTION PENSION PLANS In 2020 the Group expects to contribute an amount of EUR 42.0 million (2019: EUR 41.0 million) to premiums for defined contributions plans. This concerns contributions to defined contribution pension plans and pension plans arranged with multi-employer pension funds, which are accounted for as defined contribution pension plans in these financial statements, in accordance with IFRS.

ANNUAL REPORT 2019 – BOSKALIS A R 2 9 -- BOSKALIS