FGV Annual Report 2018

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2018 312 FGV HOLDINGS BERHAD EXAMINED OUR NUMBERS 50 PROVISION FOR DEFINED BENEFIT PLAN (CONTINUED) The amounts recognised in profit or loss are as follows: Group Company 2018 RM’000 2017 RM’000 2018 RM’000 2017 RM’000 Current service cost (1,153) 4,115 126 93 Finance cost 4,282 3,812 77 86 Past service cost - 3,596 - 108 Remeasurement (523) - - - Expense recognised in profit or loss 2,606 11,523 203 287 The defined benefit obligations for the Group by country are as follows: Group Company 31.12.2018 RM’000 31.12.2017 RM’000 1.1.2017 RM’000 31.12.2018 RM’000 31.12.2017 RM’000 1.1.2017 RM’000 Present value of obligation: - Malaysia 79,268 84,101 68,165 2,094 2,018 1,583 - Indonesia 2,871 2,877 2,829 - - - - Thailand 822 790 913 - - - 82,961 87,768 71,907 2,094 2,018 1,583 The principal actuarial assumptions used in respect of the Group’s and the Company’s unfunded defined retirement benefits are as follows: Group Company 31.12.2018 % 31.12.2017 % 1.1.2017 % 31.12.2018 % 31.12.2017 % 1.1.2017 % Discount rate 5.30 5.30 5.40 5.30 5.30 5.40 Expected rate of salary increase 5.00 5.00 5.00 5.00 5.00 5.00