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CONSOLIDATED FINANCIAL REPORT | EXPLANATORY NOTES
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The following table presents a sensitivity analysis of the effects of an increase/decrease in the most
significant actuarial assumptions used to determine the present value of benefit obligations, namely the
interest rate, inflation rate and life expectancy.
Inflation rate sensitivity includes those effects relating to assumptions about salary increases and increases
in benefits.
EMPLOYEE INDEMNITY LIABILITY
Employee indemnity liability refers to Italian companies only and is analysed as follows:
The net actuarial gains recognised at 31 December 2015 (Euro 1 million) mainly relate to the change in the
associated economic parameters (the discount and inflation rates).
Under Italian law, the amount due to each employee accrues with service and is paid when the employee
leaves the company. The amount due upon termination of employment is calculated on the basis of the
length of service and the taxable remuneration of each employee. The liability is adjusted annually for the
official cost of living index and statutory interest, and is not subject to any vesting conditions or periods, or
any funding obligation; there are therefore no assets that fund this liability.
The benefits relating to this plan are paid to participants in the form of capital, in accordance with the related
rules. The plan also allows partial advances to be paid against the full amount of the accrued benefit in
specific circumstances.