Danone // 2020 Universal Registration Document

4 87 DANONE UNIVERSAL REGISTRATION DOCUMENT 2020 4.1 Consolidated financial statements and notes to the consolidated financial statements Note 8. Number of employees, personnel costs and employee benefits In the event of leaving Danone before the age of 55 or in the event of death before retirement, the employee loses all benefits under this plan, it being specified that if the employee is laid off after the age of 55, the plan benefits are preserved, subject to the beneficiary not taking any salaried position in the future. Other obligations Most of the other retirement plans put in place by the Group concern only a given subsidiary in a given country. Consequently, the Group is required to manage several different plans in a given country. None is material. Carrying amount of provisions (gross obligations net of plan assets) As of December 31 2019 2020 (in € millions) Retirement plan for senior managers Other plans Total Retirement plan for senior managers Other plans Total Vested rights with projected salaries 518 1,079 1,597 573 1,141 1,714 Fair value of plan assets (146) (388) (534) (134) (391) (525) Vested rights net of fair value of plan assets 372 691 1,063 439 750 1,189 Impact of ceiling on assets − − Obligations for which provisions have been recorded on the balance sheet 372 691 1,063 439 750 1,189 In addition, the total amount of contributions/benefits to be paid out in 2021 in connection with these plans is estimated at €43 million. Actuarial assumptions Methodology The Group defines the actuarial assumptions by country and/or subsidiary. The discount rates used in 2020 were obtained on the basis of investment grade (AA rating) bond yields of private issuers for durations equivalent to that of the commitment in the corres- ponding monetary areas. The level of quality used is assessed on the basis of the rating obtained from the leading financial rating agencies. In the case of illiquid markets, the discount rate is deter- mined using government bonds of equivalent maturity to the term of the assessed plans. Retirement plan for senior managers Main actuarial assumptions Year ended December 31 Retirement plan for senior managers (in percentage, except for ages in number of years) 2019 2020 Discount rate 1.2% 0.8% Expected return on plan assets 1.2% 0.8% Salary growth rate 3.0% 3.0% Retirement age 60-66 60-66 Sensitivity analysis to the discount rate Year ended December 31 Retirement plan for senior managers 2019 2020 (in € millions) Increase (decrease) Increase (decrease) 50 bps increase (47) (52) 50 bps decrease 54 57