trend-defying growth expansion 2012 - Edmonton Airports ...

Edmonton Regional Airports Authority
NOTEs TO FINANcIAL sTATEmENTs
December 31, 2008 and 2007
(in thousands of dollars, unless otherwise noted)
c) The future annual principal and interest payments
required to retire the Long-term Debt are as follows:
84 | E D M O N T O N A I R P O R T S
Principal Interest Total
$ $ $
2009 8,837 25,816 34,653
2010 9,565 25,328 34,893
2011 10,341 24,795 35,136
2012 11,169 24,213 35,382
2013 12,052 23,579 35,631
Thereafter 375,001 232,634 607,635
d) Interest expense (income)
426,965 356,365 783,330
2008 2007
$ $
Bond interest 17,489 17,648
Debenture interest 5,192 2,342
Interest on capital leases - 8
Other interest and financing costs 234 216
Interest income and other (2,964) (3,321)
19,951 16,893
Capitalized interest (963) (271)
8 Employee future benefits
a) Plans overview
18,988 16,622
Edmonton Airports has a defined benefit pension plan
(“Pension Plan”) covering all of its eligible employees.
The benefits are based on years of service and the
employees’ highest three years’ earnings. The most
recent funding recommendation for the Pension
Plan was completed as at December 31, 2007 and
contained in an actuarial report dated June 27, 2008.
The next required actuarial valuation for funding
purposes must be effective no later than December 31,
2008. The financial statements were prepared using
the actuarial valuation completed at December 31, 2007
with an extrapolation to December 31, 2008.
Edmonton Airports also has a defined Supplementary
Executive Retirement Plan (“SERP”) with one
member which became effective February 1, 2005.
The benefits provided under the SERP constitute
a non-funded liability of Edmonton Airports. All
payments made to the member of the SERP will be
made from general revenues of Edmonton Airports.
The financial statements were prepared using an
actuarial valuation completed at December 31, 2008.
Edmonton Airports also has a severance entitlement
plan (“long-term benefit plan”) for eligible employees
under the terms of the labour agreement. The plan
provides a severance payment upon retirement,
termination or death to eligible employees or their
beneficiaries, under certain conditions. Edmonton
Airports records the cost of this obligation based on
an actuarial valuation. The financial statements were
prepared using an actuarial valuation completed at
December 31, 2008.