EDC PR 2016 (FS section)

₱8.5 billion GCGI Term Loan
On March 6, 2015, GCGI completed the execution of separate, unsecured loan agreement each
with Asia United Bank Corporations, Bank of the Philippine Islands, BDO Unibank Inc.,
Development Bank of the Philippines, Land Bank of the Philippines, Rizal Commercial Banking
Corporation, Robinsons Bank Corporation and Union Bank of the Philippines for the total amount
of ₱8.5 billion at 5.25% per annum maturing on March 6, 2022. BDO Capital and Investment
Corporation acted as sole arranger.
As part of the agreement, GCGI has provided a debt service reserve account for the principal and
interest payment of the loan amounting to ₱466.5 million and ₱478.9 million as of
December 31, 2016 and 2015, respectively (see Note 11).
₱5.0 billion BGI Term Loan
On September 9, 2015, BGI completed the execution of separate, unsecured loan agreements with
BDO Unibank, Inc, Bank of the Philippine Islands and Security Bank Corporation for the total
amount of ₱5.0 billion with maturity period of ten (10) years.
The initial drawdown amounting to ₱2.5 billion was made on October 7, 2015 while the remaining
₱2.5 billion was drawn on December 7, 2015. BGI may voluntarily prepay all or any part of the
principal amount of the Loans commencing on and from the 42nd month of the initial drawdown
date with a prepayment penalty.
BDO Capital and Investment Corporation acted as a structuring supervisor and sole bookrunner.
As part of the agreement, BGI has provided a debt service reserve account for the principal and
interest payment of the loan amounting to ₱214.1 million and ₱142.7 million as of
December 31, 2016 and 2015, respectively (see Note11).
Unused credit facilities
As of December 31, 2016 and 2015, the Company has ₱22,489.2 million and ₱23,079.2 million,
respectively, of unused credit facilities from various local banks, which may be availed of for
future operating activities.
Loan Covenants
The Company’s loans are subject to certain financial covenants, which include among others,
maintenance of certain level of ratios such as:
Current ratio;
Debt-to-equity ratio;
Net financial debt-to-adjusted EBITDA ratio; and
Debt-service coverage ratio.
As of December 31, 2016 and 2015, the Parent Company, FG Hydro, EBWPC, GCGI and BGI are
in compliance with the loan covenants of all their respective outstanding debts.
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I Energy Development Corporation Performance Report 2016