2014 Financial Statement

EDC 2014 Performance Report
In 2009, 93,000,000 common shares held in treasury that were acquired in 2008 at the cost of
₱404.2 million have been issued irrevocably by the Parent Company to BDO Trust for the benefit
of the executive/employee grantees under the Parent Company’s Employee Stock Grant Plan
(ESGP). The BDO Trust is an independent and separate legal entity. EDC has neither control nor
discretion over the administration and investment activity on the common shares in
executive/employee benefit trust held by BDO Trust. These shares are part of the issued and
outstanding common shares and are entitled to vote and receive dividend. These shares will not
revert to EDC even if the planned stock grant plan or other such plan is terminated. Any fruits or
interests of these shares shall be for the sole and exclusive benefit of the officers and employees of
EDC who are identified grantees of such stock plans. Any capital appreciation or decline in value,
dividends, or other benefits declared on these shares shall accrue to the trust account and EDC
shall not have any claim thereon. The issuance of the common shares to BDO Trust was
recognized under the “Common shares in employee trust account” account in the consolidated
statement of financial position (see Note 30).
Equity Reserve
On October 16, 2008, EDC, First Gen and FG Hydro entered into a Share Purchase and
Investment Agreement (SPIA), whereby EDC shall own 60% of the outstanding equity of FG
Hydro, which was then a wholly owned subsidiary of First Gen prior to the SPIA. FG Hydro and
EDC were subsidiaries of First Gen at that time and were, therefore, under common control of
First Gen. The acquisition was accounted for similar to a pooling-of-interests method since First
Gen controlled FG Hydro and EDC before and after the execution of the SPIA. EDC recognized
equity reserve amounting to ₱3,706.4 million pertaining to the difference between the acquisition
cost and EDC’s proportionate share in the paid-in capital of FG Hydro.
Retained Earnings
Following are the dividends paid by the Parent Company in 2014, 2013 and 2012:
Declaration date Record date Payment date Shareholders Description
Dividend
per share Total amount
2014:
October 3, 2014 October 20, 2014 November 13, 2014 Common Special ₱0.10 ₱1,875,000,000
February 28, 2014 March 17, 2014 April 10, 2014 Common Regular 0.10 1,875,000,000
- do - - do - - do - Preferred Regular 0.0008 7,500,000
₱3,757,500,000
Declaration date Record date Payment date Shareholders Description
Dividend
per share Total amount
2013:
September 10, 2013 September 25, 2013 October 21, 2013 Common Special ₱0.08 ₱1,500,000,000
February 20, 2013 March 11, 2013 April 8, 2013 Preferred Regular 0.0008 7,500,000
- do - - do - - do - Common Regular 0.08 1,500,000,000
₱3,007,500,000
Declaration date Record date Payment date Shareholders Description
Dividend
per share Total amount
2012:
September 5, 2012 September 20, 2012 September 30, 2012 Common Special ₱0.04 ₱750,000,000
March 13, 2012 March 28, 2012 April 24, 2012 Preferred Regular 0.0008 7,500,000
- do - - do - - do - Common Regular 0.10 1,875,000,000
₱2,632,500,000
NCI
The non-controlling interests in the consolidated financial statement represent mainly the
ownership by First Gen of 100% of preferred shares and 40% of common shares of FG Hydro.
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