11th Feb 2016 08:00
Issued: 11th February 2016
Marks and Spencer Group plc announces
Triennial Actuarial Valuation
Marks and Spencer Group plc ("the Company") has reached an agreement with the Company's Pension Scheme Trustees with regards to the triennial actuarial valuation of its UK defined benefit pension scheme.
The valuation as at 31 March 2015 has resulted in a statutory surplus of £204m. This is an improvement on the previous position at 31st March 2012 of a deficit of £290m. This is due an outperformance of return seeking assets over the period. The scheme has also been fully hedged for interest rate purposes and thus insulated from the effect of falling gilt rates. The Company and the Trustees have agreed to continue with the current de-risking investment strategy with no change to the 2012 funding arrangements for past service.
The valuation is based on the same methodology adopted for the 2012 valuation but incorporates the latest asset values and revised assumptions.
As a result of the valuation and, in particular, the reduction in discount rates, the annual cash contributions for future service will increase from £42m in 2015/16 to £57m in 2016/17.
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For further information, please contact:
Investor Relations 02087181563
Corporate PR 02087181919
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Marks & Spencer