UPM annual report 2014

Post-employment and other long-term benefits as at 31 December 2014

Present value of obligation and fair value of plan assets 2014

Present value of obligation

Fair value of plan assets

Other post- employment benefits

Other long-term employee benefits

Other post- employment benefits

Other post- employment benefits

Pension benefits

Total 923 658 –794

EURm

Pension benefits

Pension benefits

Total

Total –717

Net 551

EURm

Present value of funded obligations Present value of unfunded obligations

923 625

–

– – – –

33

At 1 Jan. 2014

1,239

29

1,268

–717

–

Fair value of plan assets Net defined benefit liability

–794

–

754

33

787

Current service cost

11 –4 –7 43 43

1 – – 1 2

12 –4 –7 44 45

– – –

– – – – –

– – –

12 –4 –7 17 18

Curtailments

Other long-term employee benefits

–

– –

40

40 40

Past service cost and gains and losses from settlements

Defined benefit asset reported in the assets (Note 24)

40

–

Interest expense (+) income (–)

–27 –27

–27 –27

Total liability in the balance sheet

794

33

40

867

Total included in personnel expenses (Note 7)

Actuarial gains and losses on defined benefit obligation arising from changes in demographic assumptions Actuarial gains and losses on defined benefit obligation arising from changes in financial assumptions Actuarial gains and losses on defined benefit obligation arising from experience adjustments

Post-employment and other long-term benefits as at 31 December 2013

1

–

1

–

–

–

1

Other post- employment benefits

Other long-term employee benefits

276

3

279

–

–

–

279

Pension benefits

Total 736 532 –717

EURm

6 –

– –

6 –

–

– –

–

6

Present value of funded obligations Present value of unfunded obligations

736 503 –717

–

– – – –

Actuarial gains and losses on plan assets

–51

–51

–51

29

Total remeasurement gains (–) and losses (+) included in other comprehensive income

Fair value of plan assets Net defined benefit liability

–

283

3

286

–51

–

–51

235

522

29

551

Benefits paid Settlements

–47

–3

–50

47

3 –

50

– –

Other long-term employee benefits

–

– –

41

41 88

– –

– – 2

– –

–

–

Defined benefit asset reported in the assets (Note 24)

88

–

Contributions by the employer

–23 –23

–3

–26 –23

–26

Total liability in the balance sheet

610

29

41

680

Translation differences

30

32

– –

9

At 31 Dec. 2014

1,548

33

1,581

–794

–794

787

The net liability of pension and other post-employment benefits by country as at 31 December 2014

Present value of obligation and fair value of plan assets 2013

Other countries

Present value of obligation

Fair value of plan assets

Finland Germany

UK

Total 923 658 –794

EURm

Other post- employment benefits

Other post- employment benefits

Present value of funded obligations Present value of unfunded obligations

355

33

494

41 99

Pension benefits

Pension benefits

–

559

–

Total

Total –659

Net 668

EURm

Fair value of plan assets

–394

–2

–363

–35 105

Net liability

–39

590

131

787

At 1 Jan. 2013

1,296

31

1,327

–659

–

Current service cost

12 –3

1 – – 1 2

13 –3

– – –

– – – – –

– – –

13 –3

The net liability of pension and other post-employment benefits by country as at 31 December 2013

Curtailments

Past service cost and gains and losses from settlements

1

1

1

Interest expense (+) income (–)

39 49

40 51

–22 –22

–22 –22

18 29

Other countries

Total included in personnel expenses (Note 7)

Finland Germany

UK

Total 736 532 –717

EURm

Present value of funded obligations Present value of unfunded obligations

294

29

381

32 85

Actuarial gains and losses on defined benefit obligation arising from changes in demographic assumptions Actuarial gains and losses on defined benefit obligation arising from changes in financial assumptions Actuarial gains and losses on defined benefit obligation arising from experience adjustments

–

447

–

–

–1

–1

–

–

–

–1

Fair value of plan assets

–380

–2

–305

–30

Net liability

–86

474

76

87

551

–51

–

–51

–

–

–

–51

4 –

1 –

5 –

–

– –

–

5

Actuarial gains and losses on plan assets

–56

–56

–56

Total remeasurement gains (–) and losses (+) included in other comprehensive income

–47

–

–47

–56

–

–56

–103

Benefits paid Settlements

–50

–3

–53

46

3 –

49

–4

– –

– –

– –

3

3

3

Contributions by the employer

–35

–3

–38

–38

Translation differences

–9

–1 29

–10

6

– –

6

–4

At 31 Dec. 2013

1,239

1,268

–717

–717

551

CONTENTS

ACCOUNTS

109

110

UPM Annual Report 2014

UPM Annual Report 2014