REG - MS International PLC - Half-year Report <Origin Href="QuoteRef">MSTL.L</Origin> - Part 3

MS InternationalAnnouncement

24/11/2016 07:05

- Part 3: For the preceding part double click  ID:nRSX9844Pb 

                                                                                                                                                                                                                                                                                                                                 
     -                                                                                                                                                                                                                                                                                                                                            The last formal valuation of the Scheme was        
                                                                                                                                                                                                                                                                                                                                                  performed at 5th April, 2014 by a professionally   
                                                                                                                                                                                                                                                                                                                                                  qualified actuary.                                 
                                                                                                                                                                                                                                                                                                                                                                                                                                            
     -                                                                                                                                                                                                                                                                                                                                            The Company has paid  contributions into  the      
                                                                                                                                                                                                                                                                                                                                                  Scheme for  life assurance premiums and other      
                                                                                                                                                                                                                                                                                                                                                  Scheme expenses. In addition, from April 2013, the 
                                                                                                                                                                                                                                                                                                                                                  Company has paid £229,000 per annum  of deficit    
                                                                                                                                                                                                                                                                                                                                                  reduction payments into the defined benefit section 
                                                                                                                                                                                                                                                                                                                                                  of the scheme.   With effect from April 2015, the  
                                                                                                                                                                                                                                                                                                                                                  deficit reduction payments paid into the scheme by 
                                                                                                                                                                                                                                                                                                                                                  the Company have been increased to £300,000 per    
                                                                                                                                                                                                                                                                                                                                                  annum, increasing thereafter at 3% per annum.      
                                                                                                                                                                                                                                                                                                                                                                                                                                            
     -                                                                                                                                                                                                                                                                                                                                            From 1st June, 2007 the Company has operated a     
                                                                                                                                                                                                                                                                                                                                                  defined contributions scheme for its UK employees  
                                                                                                                                                                                                                                                                                                                                                  which is administered by a UK pension provider.    
                                                                                                                                                                                                                                                                                                                                                  Member contributions are paid in line with this    
                                                                                                                                                                                                                                                                                                                                                  scheme's documentation over the accounting period  
                                                                                                                                                                                                                                                                                                                                                  and the Company has no further obligations once the 
                                                                                                                                                                                                                                                                                                                                                  contributions have been made.                      
                                                                                                                                                                                                                                                                                                                                                                                                                                            
     -                                                                                                                                                                                                                                                                                                                                            During the period, the Scheme liability has        
                                                                                                                                                                                                                                                                                                                                                  increased by £841,000. A re-measurement loss of    
                                                                                                                                                                                                                                                                                                                                                  £871,000 has been recognised through other         
                                                                                                                                                                                                                                                                                                                                                  comprehensive income and comprises  of  a          
                                                                                                                                                                                                                                                                                                                                                  £2,301,000 return on plan assets in excess of net  
                                                                                                                                                                                                                                                                                                                                                  interest and a £3,172,000 actuarial loss due to    
                                                                                                                                                                                                                                                                                                                                                  changes in financial assumptions. The actuarial    
                                                                                                                                                                                                                                                                                                                                                  loss reflects the lower discount rate and higher   
                                                                                                                                                                                                                                                                                                                                                  inflation expectations in the period. The interest 
                                                                                                                                                                                                                                                                                                                                                  cost on the net defined benefit liability of       
                                                                                                                                                                                                                                                                                                                                                  £124,000 has been recognised through the income    
                                                                                                                                                                                                                                                                                                                                                  statement. The liability is reduced by pension fund 
                                                                                                                                                                                                                                                                                                                                                  deficit payments in the period of £154,000.        
                                                                                                                                                                                                                                                                                                                                                                                                                                            
 11  Commitments and contingencies                                                                                                                                                                                                                                                                                                                                                                                      
                                                                                                                                                                                                                                                                                                                                                                                                                                            
     The Company is contingently liable in respect of guarantees, indemnities and performance bonds given in the ordinary course of business amounting to £5,504,107 at 29th October, 2016 (2015 - 7,013,513).                                                                                                                                  
     In the opinion of the directors, no material loss will arise in connection with the above matters.                                                                                                                                                                                                                                         
                                                                                                                                                                                                                                                                                                                                                
     The Group and certain of its subsidiary undertakings are parties to legal actions and claims which have arisen in the normal course of business.   The results of actions and claims cannot be forecast with certainty, but the directors believe that they will be concluded without any material effect on the net assets of the Group.  
                                                                                                                                                                                                                                                                                                                                                                                                                                                
 
 
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