Appendix G

Plausible Adverse Scenarios

In this Appendix, the financial impact on the Plan’s going concern results (i.e., going concern financial position at the valuation date and current service cost from the valuation date to the next valuation date) of plausible adverse scenarios that would pose threats to the Plan’s future financial condition is illustrated for the following risks:

• Interest rate risk, the potential that interest rates will be lower than expected;

• Deterioration of asset values; and

• Longevity risk, the potential that pension plan members will live longer than expected.

The following table summarizes the going concern results, where we assumed for:

• Interest rate risk, an immediate parallel decrease in market interest rates of 100 basis points

• Deterioration of asset values, an immediate decrease of 10% in the market value of non-fixed income assets; and

• Longevity risk, that life expectancy from the valuation date at age 65 for a male and a female would increase by 1.5 years.