EDC 2014 SR (UPDATED)

EDC 2014 Performance Report
Non-monetary items measured at fair value in a foreign currency are translated using the exchange
rates at the date when the fair value was determined. Foreign exchange differences between the
rate at transaction date and the rate at settlement date or financial reporting date are recognized in
the consolidated statement of income.
The functional currency of the Company’s subsidiaries is Philippine Peso, except for the following
subsidiaries:
Subsidiary
Functional Currency
EHIL
Philippine Peso
EDC HKL - do -
EDC Chile Holdings SPA
Chilean peso
EDC Geotermica Chile - do -
EDC Chile Limitada - do -
EDC Peru Holdings S.A.C.
Peruvian nuevo sol
EDC Geotermica Peru S.A.C. - do -
EDC Quellaapacheta - do -
EDC Geotérmica Del Sur S.A.C. - do -
EDC Energía Azul S.A.C. - do -
Geotermica Crucero Peru S.A.C. - do -
EDC Energía Perú S.A.C. - do -
Geotermica Tutupaca Norte Peru S.A.C. - do -
EDC Energía Geotérmica S.A.C. - do -
EDC Progreso Geotérmico Perú S.A.C. - do -
Geotermica Loriscota Peru S.A.C. - do -
EDC Energía Renovable Perú S.A.C. - do -
EDC Soluciones Sostenibles Ltd - do -
EDC Desarollo Sostenible Ltd - do -
EDC Energia Verde Chile SpA - do -
EDC Energia de la Tierra SpA - do -
EDC Energia Verde Peru SAC - do -
PT EDC Indonesia
Indonesian rupiah
PT EDC Panas Bumi Indonesia - do -
For subsidiaries whose functional currency is different from the presentation currency, the
Company translates the results of their operations and financial position into the presentation
currency. As at the financial reporting date, the assets and liabilities presented (including
comparatives) are translated into the presentation currency at the closing rate of exchange
prevailing at the financial reporting date while the capital stock and other equity balances are
translated at historical rates of exchange. The income and expenses for the consolidated statement
of income presented (including comparatives) are translated at the exchange rates at the dates of
the transactions, where determinable, or at the weighted average rate of exchange during the year.
The exchange differences arising on the translation to the presentation currency are recognized as
a separate component of equity under the “Cumulative translation adjustment arising from foreign
subsidiaries account in the consolidated statement of financial position.
Foreign Currency-Denominated Transactions
Transactions in foreign currencies are initially recorded at the functional currency rate at the date
of the transaction. Monetary assets and monetary liabilities denominated in foreign currencies are
translated using the functional currency rate of exchange as at financial reporting date. All
differences are taken to the consolidated statement of income under “Foreign exchange gains
(losses)” account. Nonmonetary items that are measured at historical cost in a foreign currency
are translated using the exchange rate as at the date of the transactions. Nonmonetary items
measured at fair value in a foreign currency are translated using the exchange rates at the date
when the fair value is determined.
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