89.        The 1997 annual report for Scheme members (dated April 1998), included a statement that:

"During the year, Company Contributions of £2.7m have been funded from the surplus of the [DB] Plans.

Under the heading "Financial Review", the 1997 Annual report set out that

"In their valuation report the Actuaries confirmed to the Trustee that the [DB] Plan assets were in surplus and more than sufficient to meet the liabilities under the Plan's Rules at the date of valuation. During the year the employer has taken a contribution holiday from the funding of the [DB] Plan and has also funded employer contributions to the [M] Plan from the [DB] Plan surplus. This funding is clearly reported in the notes of the accounts."

The notes to the financial statements said that

"During the year Company Contributions to the Defined Contribution Plan have been funded from the surplus of the Defined Benefit Plan. This £2.7m funding is shown as a `Transfer' between plans (see page ...)."

Three of the complainants see significance in the failure (in their view) to make clear that all of the employer's M Plan contributions were funded in this way.

While this description is true, it should be noted that Annual Reports have little significance for members because few members see them.  It is the abstracts from the Annual Reports that appear in the Members' Reports that matter.