The tax rates used for the calculation are the local rates applicable in the countries of the enterprises included in the consolidation. Defined benefit pension plans Under these retirement plans the enterprise promises the beneficiary a particular level of benefit. The contribution payable is based on the age of the beneficiary and depends on the level of benefit promised. The central feature of these post-employment benefit plans is the contribution which an enterprise pays into a pension fund. The enterprise has no further obligations beyond the amount that it agrees to contribute to the fund and has no interest in the financial results of the fund.
Benefits have to be claimed from the pension fund.
Financial contracts, the values of which move in relationship to the price of an underlying asset. Options, futures, forwards and swaps are important examples of derivative financial instruments. Earnings from ordinary activities Pre-tax profit or loss from activities which an enterprise undertakes in the normal course of business. This does not include extraordinary items, i.e. income or expenses that arise from events or transactions that are clearly distinct from the ordinary activities of the enterprise and are therefore not expected to recur frequently or regularly. Ratio calculated by dividing the consolidated profit or loss for the year by the average number of shares issued.