2014 Financial Statement

EDC 2014 Performance Report
26.
Miscellaneous Income (Charges)
2014 2013 2012
Gain on sale of property, plant and
equipment(Notes 12 and 20) ₱362,228,309 ₱4,026,459 (₱455,016)
Gain on sale of parts and
inventories (Note 20) 108,679,584 – –
Loss on direct write-off of input
VAT claims (234,188,828) (220,039,070) –
Mark to market gain - financial
asset at fair value through
profit or loss (Note 9) 23,593,442 – –
Derivative gains - net (Note 31) 7,517,980 14,243,178 36,160
Loss on debt extinguishment
(Notes 17 and 31) – – (188,145,763)
Others – net (8,459,545) (21,340,162) (36,763,945)
₱259,370,942 (₱223,109,595) (₱225,328,564)
In 2014, after technical assessment some parts and supplies impaired in 2013 due to Typhoon
Yolanda were reassess to be reusable amounting to ₱53.4 million.
27.
Retirement and Other Post-employment Benefits
The Parent Company, GCGI, and BGI have a funded, non-contributory, defined benefit retirement
plan. The Company also provides post-employment medical and life insurance benefits which are
unfunded. The plan covers all permanent employees and is administered by trustee banks.
Generally, upon fulfillment of certain employment conditions, the retirement benefits are payable
in lump sum upon retirement which is determined on the basis of the retiree’s final salary and
computed at certain percentage of final monthly salary base pay for every year of service.
Under the existing regulatory framework, Republic Act 7641 requires a provision for retirement
pay to qualified private sector employees in the absence of any retirement plan in the entity,
provided however that the employee’s retirement benefits under any collective bargaining and
other agreements shall not be less than those provided under the law. The law does not require
minimum funding of the plan.
The following tables summarize the components of net benefit expense (income) recognized in the
consolidated statement of income and the funded status and amounts recognized in the
consolidated statement of financial position:
2014 2013 2012
Current service cost ₱238,936,137 ₱216,224,407 ₱225,399,365
Settlement gain – – (752,920,161)
Net interest 72,199,814 71,951,609 100,028,012
Retirement and other postemployment
benefit costs
(income) [Note 23] ₱311,135,951 ₱288,176,016 (₱427,492,784)
98