Annual report pursuant to Section 13 and 15(d)

Employee Benefit Obligation (Tables)

v3.20.4
Employee Benefit Obligation (Tables)
12 Months Ended
Dec. 31, 2020
Compensation And Retirement Disclosure [Abstract]  
Schedule of Changes in Obligations of Defined Benefit Plans

Changes in obligations of the defined benefit plans is as follows (in thousands):

 

 

 

As of December 31,

 

 

 

2020

 

 

2019

 

Benefit obligation at the beginning of the period

 

$

1,424

 

 

$

1,173

 

Change in scope of consolidation

 

 

 

 

 

 

Service cost

 

 

231

 

 

 

165

 

Interest cost

 

 

31

 

 

 

33

 

Actuarial loss

 

 

203

 

 

 

89

 

Benefit paid

 

 

(102

)

 

 

(13

)

Foreign exchange translation reserve

 

 

123

 

 

 

(23

)

Benefit obligation at the end of the period

 

$

1,910

 

 

$

1,424

 

Of which:

 

 

 

 

 

 

 

 

Current (1)

 

$

24

 

 

$

26

 

Long-term

 

$

1,886

 

 

$

1,398

 

 

 

(1)

Included within “Payroll and payroll related accrued liabilities” in the accompanying consolidated balance sheets.

Schedule of Assumptions Used to Determine Pension Benefit Obligations

The assumptions used to determine benefit obligations at year-end are as follows:

 

 

 

As of December 31,

 

 

 

2020

 

 

2019

 

Discount rate for the Kaleyra S.p.A. plan (1)

 

0.30%

 

 

0.78%

 

Discount rate for the Solutions Infini plan (2)

 

6.65%

 

 

7.25%

 

Rate of compensation increase for Kaleyra S.p.A.

 

0.50% - 3.00%

 

 

0.50% - 3.00%

 

Rate of compensation increase for Solutions Infini

 

20.00%

 

 

15.00%

 

 

 

(1)

The discount rate for Kaleyra S.p.A. is based on the Euro area composite yields AA with a duration equal to the estimated term of the obligations at the balance sheet date.

 

(2)

The discount rate for Solutions Infini is based on the prevailing market yields of Indian government securities at the balance sheet date for the estimated term of the obligations.