Adcock Ingram Integrated Report 2018

117 ADCOCK INGRAM  Integrated Report 2018 Annexure C – Defined contribution and defined benefit plan continued 2018 2017 Assumptions % % The assumptions used in the valuations are as follows: Discount rate 9.00 8.90 Future pension increases 5.90 6.00 Estimated asset composition Cash 66.42 62.26 Bonds 33.58 37.74 Valuation +1% -1% Sensitivity analysis R'000 R'000 R'000 The liability was recalculated to show the effect of: 2018 A one percentage point increase variance in the discount rate assumption (1 550) (1 493) (1 610) A one percentage point variance in the pension increase rate (1 550) (1 612) (1 491) 2017 A one percentage point increase variance in the discount rate assumption (1 495) (1 430) (1 562) A one percentage point variance in the pension increase rate (1 495) (1 563) (1 428)