35	RETIREMENT BENEFIT INFORMATION
	Pensions
	Assore Limited is a holding company which operates through its joint-venture entities and various subsidiary and associate companies and, as such, does not have any employees. All subsidiary companies provide retirement benefits through either a defined contribution fund (termed “umbrella fund”) or a defined benefit fund. Defined contribution fund The group and employees contribute 10% and 5% of pensionable salary to the umbrella fund respectively. Contributions to the fund amounted to R4,7 million (2015: R4,9 million) and the value amounted to R16,8 million (2015: R26,2 million) at year-end. Decrease in the value of the fund is due to the retrenchments which occurred at Rustenburg Minerals during the year. Defined benefit – Assore Pension Fund In terms of the Pension Funds Act, the Assore Pension Fund is actuarially valued every three years. The most recently completed statutory actuarial valuation was performed as at 1 July 2015 and revealed a 111,8% funding level. An interim check was performed for funding purposes as at 1 July 2016, which revealed a 114,1% funding level (2015: 112,9%). The financial position of the fund at the dates of the interim funding checks is set out below:
		2016	2015
		R’000	R’000
	Change in defined benefit obligation
	Benefit obligation at beginning of year	476 302	428 273
	Current service cost	36 490	34 813
	Interest cost	41 165	39 010
	Actuarial gain – experience	–	(1 381)
	Actuarial gain – assumptions	(2 259)	(14 067)
	Benefits paid	(67 600)	(10 346)
	Benefit obligation at end of year	484 098	476 302
	Change in plan assets
	Fair value of plan assets at beginning of year	533 776	485 246
	Expected return on plan assets	47 721	45 261
	Actuarial loss on plan assets – experience and assumptions	(890)	(19 233)
	Employer contributions	30 475	24 502
	Employee contributions	8 686	8 346
	Benefits paid	(67 600)	(10 346)
	Fair value of plan assets at end of year	552 168	533 776
	Net surplus at year-end per statement of financial position	68 070	57 474
	Components of periodic expense
	Current service cost	36 490	34 813
	Interest cost	41 165	39 010
	Expected return on plan assets	(47 721)	(45 261)
	Net pension cost for the year	29 934	28 562
	Plan assets invested as follows:	%	%
	Equity securities	71	70
	Debt securities	22	23
	Property	1	1
	Other (cash, cash awaiting investment, bank account)	6	6
		100	100
	The maturity profile of the benefit obligation at the end of the year is as follows:
	Due within one year	68 429	51 887
	Due within two years	20 286	58 724
	Due within three years	19 263	18 908
	Due within four years	20 027	17 600
	Due within five years	11 385	18 338
	Due between six and 10 years	126 230	82 333
	Due thereafter	218 478	228 512
		484 098	476 302
	Expected contribution next year	26 462	39 417
	Actual return on assets for the year comprises:	46 831	26 028
	– expected return on plan assets for the year	47 721	45 261
	– actuarial gains on plan assets	(890)	(19 233)
	* The maturity profile and the impact of changes to assumptions have been restated for the prior year to be actuarially consistent with the calculation methodology adopted in the current year. The figures previously reported were as follows (R’000):   Due within one year 44 227    Due within two years 19 394    Due within three years 57 694    Due within four years 21 858    Due within five years 26 479    Due between six and 10 years 81 216    Due thereafter 225 434
	Actuarial assumptions
	The above valuations are based on the following principal actuarial assumptions:	%	%
	Expected return on plan assets	9,30	8,80
	Post-retirement interest rate	3,60	3,60
	Price inflation rate	7,40	6,90
	Salary inflation rate	8,40	7,90
	Pension increases	5,50	5,20
	Other assumptions
	Mortality rate for members still in service assumed at zero. Pension mortality PA (90) – ultimate table, adjusted for two years’ additional longevity since the previous year-end. Merit salary increases per sliding scale depending on age starting at 5% per annum below age 25, and reducing to zero above age 50. Spouse’s benefits for active members – on average, husbands are assumed to be two years older than their wives, and married at date of retirement. For current pensioners, their actual marital status and, where applicable, the exact age of their spouse has been taken into account. Set out below is a quantitative sensitivity analysis on the principal assumptions referred to above:
	2016  Interest  Post-retirement  Price inflation  Salary inflation  Pension increases    1%  1%  1%  1%  1%  1%  1%  1%  1%  1%  Assumptions increase  decrease  increase  decrease  increase  decrease  increase  decrease  increase  decrease  Impact on defined benefit obligation (42 217) 57 839  (31 444) 62 652  98 595  (57 089) 50 273  (36 778) 65 869  (32 193) 2015  Interest Post-retirement Price inflation Salary escalation Pension increases   1%  1%  1%  1%  1%  1%  1%  1%  1%  1%  Assumptions increase  decrease  increase  decrease  increase  decrease  increase  decrease  increase  decrease  Impact on defined benefit obligation (43 629) 57 323  (32 899) 62 159  97 512  (61 703) 45 920  (38 136) 63 552  (34 477)