Download PDF (619 ko )FSST and CSST Financial Statements 2007

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The investment deposit in an individual fund at the Caisse de dépôt et placement du Québec (Caisse) is expressed in units. These units are redeemable upon prior notice, according to the terms of the Caisse’s regulations and specific agreements, at fair value of the net equity of the individual fund at the end of each month. At the close of each monthly period of the individual fund, the Caisse allocates the net investment income as well as the gains and losses on investments to the FSST. Restructuring of third-party ABCP The Caisse determined the fair value of the investment deposit as at December 31, 2007 by recognizing a decrease in value on its investments in the Canadian market for non-bank asset-backed commercial paper being restructured (ABCP). ABCP is a short-term financing instrument issued by trusts, also referred to as “conduits,” generally for maturities ranging from one to three months. ABCP is backed by various assets, such as mortgage debt or consumer and financial assets. Since August 2007, the Caisse has not been able to redeem, on maturity, the ABCP that it holds. Since there is no active market for ABCP securities, the Caisse established the fair value of its holdings of various ABCP securities according to a measurement technique based on a financial model whose assumptions and probabilities reflect uncertainties related to the amounts and the maturities of the cash flow, the credit risk of the underlying debt and financial assets and the return. The assumptions, based on the information available as at December 31, 2007, rely as much as possible on observable market data, such as interest rates and credit quality. By establishing the fair values of the securities, the Caisse is attributing a strong probability of success to the restructuring proposal currently being studied by the Pan-Canadian Investors Committee for Third-Party Structured ABCP, and a low probability to a scenario involving orderly or forced liquidation. FSST Financial Statements According to the audited financial statements of the individual fund of the Caisse, the estimate of fair values recognized for ABCP is reasonable and the most appropriate as at December 31, 2007. Nonetheless, the fair values reported may vary significantly over subsequent periods. The most critical assumption is based on the probability of success of the restructuring proposal. Assigning greater weight to a liquidation scenario would substantially increase the estimated unrealized decrease in value. On the other hand, acceptance of the restructuring proposal and a return to normal market conditions would result in an increase in the estimated fair values of ABCP. An adjustment to the decrease in value recognized by the Caisse would have an effect on the fair value of the investment deposit held by the FSST. As at December 31, 2007, the share of investment results, net of ABCP securities attributed to the FSST individual fund by the general fund, in accordance with the terms and conditions of the general fund reserve stipulated in this regard, consists of: • the share of the unrealized loss on these securities, in the amount of $112.5 million, and • the share of the reversal of interest paid to specialized portfolios in relation to these securities, in the amount of $15.6 million, and the share of the restructuring costs of these securities and others, in the amount of $3.9 million. 25
10. Tangible Assets FSST Financial Statements Accumulated Cost depreciation Net Net Furniture and equipment 4,410 1,438 2,972 2,990 Automotive equipment 914 614 300 358 Computer equipment 23,847 11,004 12,843 13,090 Telecommunications system 3,157 1,222 1,935 2,114 Leasehold improvements 2,674 1,156 1,518 1,890 35,002 15,434 19,568 20,442 Equipment under a capital lease 940 305 635 512 35,942 15,739 20,203 20,954 11. Intangible Assets 2007 2006 (in thousands of dollars) 2007 2006 (in thousands of dollars) Accumulated Cost depreciation Net Net Software 16,729 4,943 11,786 5,757 Computer systems development* 80,367 24,569 55,798 37,297 97,096 29,512 67,584 43,054 * Computer systems development valued at $10,949,262 (2006: $3,766,533) was being carried out as at December 31, 2007, and is not amortized. 26
Page 1 and 2: FSST and CSST Financial Statements
Page 3 and 4: The Financial Statements of the Com
Page 5 and 6: Trustee’s Report FSST Financial S
Page 7 and 8: Actuarial Report regarding the Comm
Page 9 and 10: Actuarial Consultant’s Report reg
Page 11 and 12: Fonds de la santé et de la sécuri
Page 13 and 14: Fonds de la santé et de la sécuri
Page 15 and 16: FSST Financial Statements Retrospec
Page 17 and 18: Fair value Fair value is the amount
Page 19 and 20: FSST Financial Statements i) Actuar
Page 21 and 22: 4. Investment Income and Interest o
Page 23 and 24: 6. For a Safe Maternity Program FSS
Page 25: However, this surplus of $2,589,000
Page 29 and 30: 14. Long-term Debts FSST Financial
Page 31 and 32: 16. Cash Flows FSST Financial State
Page 33 and 34: 18. Related Party Transactions FSST
Page 36 and 37: Commission de la santé et de la s
Page 38 and 39: Auditor’s report To the National
Page 44 and 45: Contributions from the FSST In acco
Page 46 and 47: c) Intangible assets Intangible ass
Page 48 and 49: 5. Financing of Administrative Trib
Page 50 and 51: 10. Provision for Sick Leave and Va
Page 52 and 53: To account for the administration o
Page 54 and 55: 14. Financial Instruments Managemen
Page 56: www.csst.qc.ca : a website linked t

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