Boskalis_Annual_Report_2016

110

Assumptions as at 31 December 2015

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

- 35,851

38,939 - 4,990 - 5,881 - 23,997

5,084 6,515

28,168

Effect on pension expenses attributed to the service year Change in discount rate

- 2,825

2,865 - 598 - 660 - 194

Change in expected future salary increases Change in pension increase for active participants Change in pension increase for inactive participants

378 599 444

Historical information:

2015

2014

2013

2012

2016

Defined benefit obligation Fair value of plan assets

- 753,035 734,794 - 18,241

- 747,808 691,932 - 55,876

- 554,486 585,038

- 789,692 700,381 - 89,311

- 160,380 153,196

Surplus / deficit (-)

30,552

- 7,184

Unfunded pension liabilities Total surplus / deficit (-)

- 5,175

- 5,316

- 4,673 25,879

- 4,616

- 5,142 - 12,326

- 23,416

- 61,192

- 93,927

The reduction of defined benefit obligations and the fair value of plan assets mainly relates to the settlement of two defined benefit plans in 2016 and changes in the discount rate.

DEFINED CONTRIBUTION PENSION PLANS 25.2 In 2017 the Group expects to contribute an amount of EUR 42.0 million (2016: EUR 20.0 million) to premiums for defined contributions plans. This concerns contributions to 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.

26. PROVISIONS ANNUAL REPORT 2016 – BOSKALIS FINANCIAL STATEMENTS 2016 Balance as at 1 January Assumed in business combinations Provisions made during the year Provisions used during the year Provisions reversed during the year Reclass to disposal group Balance as at 31 December Non-current Current Balance as at 31 December

ONEROUS CONTRACTS

WARRANTIES RESTRUCTURING

OTHER

TOTAL 2016

TOTAL 2015

32,367

11,450

6,789 5,135 6,424

6,000

6,569

30,808

-

150

-

268

5,553

16,988 - 3,022 - 16,150

-

11,562

6,875 - 200

24,861 - 4,924 - 3,797

- 2,241 - 1,597

- 2,069 - 2,200

- 414

- -

-

-

-

-

- 900

- 900 1,861

Exchange rate differences and other movements

625

56

1,434

176

195

30,808

7,818

15,513

17,324

12,807

53,462

23,775

5,936 1,882 7,818

12,760

-

12,739

31,435 22,027 53,462

7,033

2,753

17,324 17,324

68

30,808

15,513

12,807

The provisions for onerous contracts mainly relate to the lease of a vessel. Other provisions mainly relate to various claims made against the Group or threatening to be made including potential sanctions, from legal, regulatory and governmental proceedings. The Group disputes these claims and proceedings and has made an assessment of the amount of cash outflows that can be reasonable estimated. As litigation is inherently unpredictable, the possible outcome is uncertain and the amount may differ from the provisions listed above.