page 122 Bombardier Inc. Annual Report 2003-04 23 EMPLOYEE FUTURE BENEFITS Pension plans The significant actuarial assumptions adopted to determine the benefit cost and projected benefit obligation were as follows (weighted-average assumptions as at the December - 31 measurement date preceding the fiscal year end): The following table provides the components of the benefit cost for the years ended January 31: (1) For the year ended January 31, 2004, benefit cost recognized includes $15 million for the Canadian plans and $10 million for the foreign plans ($14 million and $9 million, respectively, for the year ended January 31, 2003) relating to the recreational products segment. These amounts are included in income from discontinued operations in the consolidated statements of income. For the year ended  January 31, 2004, benefit cost excludes curtailment and settlement gains of $1 million for the Canadian plans and $47 million for the foreign plans resulting from the sale of the recreational products  segment and MAS since these gains are included in the calculation of the gain on disposal of businesses. Actuarial assumptions 2004 2003 (PERCENTAGE) CANADA FOREIGN TOTAL CANADA FOREIGN TOTAL Discount rate – benefit cost 6.50 5.47 5.83 6.50 5.87 6.10 Discount rate – projected benefit obligation 6.00 5.37 5.59 6.50 5.47 5.83 Expected rate of return on plan assets 7.17 7.55 7.39 7.75 8.21 8.00 Rate of compensation increase – benefit cost 4.25 3.58 3.78 4.25 3.89 4.02 Rate of compensation increase – projected  benefit obligation 4.00 3.85 3.90 4.25 3.58 3.78 Benefit cost (1) 2004 2003 CANADA FOREIGN TOTAL CANADA FOREIGN TOTAL Current service cost $8 7 $ 135 $ 222 $8 3 $ 122 $ 205 Interest cost 138 199 337 126 200 326 Actual return on plan assets (95) (185) (280) 151 353 504 Actuarial loss (gain) 179 309 488 (9) – (9) Plan amendments 17 (33) (16) 38 2 40 Curtailment loss (gain) 7 3 10 7 (2) 5 Settlement loss (gain) – (2) (2) – 1 1 Special termination benefits 8 1 9 11 – 11 Other – 3 3 – – – Benefit cost before adjustments to recognize  the long-term nature of the plans 341 430 771 407 676 1,083 Difference between actual and expected return  on plan assets (23) 19 (4) (276) (545) (821) Difference between actual actuarial loss (gain)  and the amount recognized (162) (282) (444) 13 9 22 Amortization of past service costs (11) 37 26 (32) 2 (30) Benefit cost recognized $ 145 $ 204 $ 349 $ 112 $ 142 $ 254