The hypothetical wind-up financial position as of the valuation date, compared with that at the previous valuation, is as follows:
| 31.12.2019 | 31.12.2018 | |
|---|---|---|
| Assets | ||
| Market value of assets | $34,778,000 | $32,901,000 |
| Face value of the letter of credit | $4,890,000 | $4,814,000 |
| Termination expense provision | ($200,000) | ($200,000) |
| Wind-up assets | $39,468,000 | $37,515,000 |
| Present value of accrued benefits for: | ||
|---|---|---|
| $5,269,000 | $7,006,000 |
| $31,847,000 | $29,544,000 |
| $350,000 | $325,000 |
| Total wind-up liability | $37,466,000 | $36,875,000 |
| Wind-up excess (shortfall)- including letter of credit | $2,002,000 | $640,000 |
| Wind-up excess (shortfall)- excluding letter of credit | ($2,888,000) | ($4,174,000) |
Wind-up Incremental Cost
The wind-up incremental cost is an estimate of the present value of the projected change in the hypothetical wind-up liabilities from the valuation date until the next scheduled valuation date, adjusted for the benefit payments expected to be made in that period.