Merkel Corporation is evaluating amendments to its pensions plans. Plan A covers its salaried employees and Plan B provides benefits to its hourly workers. On January 1, 2010, Merkel will grant employees in Plan B additional pension benefits of €318,000 based on their past service. Employees in this plan have an average period to vesting of 6 years. Plan A will be amended to reduce benefits by €160,000 (in exchange, employees will receive increased contributions to the company’s defined contribution plan). Employees in this plan have an average period to vesting of 5 years. Compute total unrecognized past service cost amortization for 2010. Discuss the impact of this amendment on Merkel’s pension expense in 2010 and 2011.