Staatsolie Annual Report 2017

Confidence in Our Own Abilities
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Staatsolie Maatschappij Suriname N.V.
Staatsolie Maatschappij Suriname N.V.
Notes to the Consolidated financial statements for the years ended December 31, 2017 and 2016
Notes (continued) to the Consolidated financial statements for the years ended December 31, 2017 and 2016
(continued)
Available-for-sale (AFS) financial investments
The major categories of the employee pension plan assets at fair value are, as follows:
AFS x US$ financial 1,000 investments include equity and debt 2017securities. 2016 Equity January investments 1, 2016 classified as availablefor-sale
Investments are quoted those in neither active markets: classified as held-for-trading nor designated at fair value through profit or loss.
Securities in foreign mutual funds 6,625 5,964 6,227
After initial measurement, AFS financial investments are subsequently measured at fair value with
Unquoted investments:
Equity instruments (international) 5,997 5,817 6,447
unrealized gains or losses recognized as OCI until the investment is derecognized, at which time, the
cumulative Available-for-sale gain instruments or loss is recognized in other 1,876 operating income 475 or expense, 447 or the investment is
Property 44,499 44,499 39,145
determined to be impaired, at which time, the cumulative loss is reclassified to the consolidated statement
Loans receivables 26,071 28,012 28,964
Term deposits 14,404 11,404 6,904
Net other receivables 447 2,818 72
Cash and cash equivalents 12,395 5,960 5,050
of profit or loss in finance costs and removed from the OCI. The Group evaluates its AFS financial assets
to determine whether the ability and intention to sell them in the near term is still appropriate.
Fair value of assets 112,314 104,949 93,256
(ii) Financial liabilities
Recognition and measurement
Executive Financial liabilities pension are plan classified, at initial recognition, as financial liabilities at fair value through profit or
The loss, executive loans and pension borrowings, plan payables, is a final pay as appropriate. scheme; the All pension financial base liabilities is equal are to recognized the salary. initially The pension at fair
plan value provides and, in the entitlements case of loans to retirement and borrowings and disability and payables, pension net for of the directly benefit attributable of the participant transaction and costs. their
widow's/widower's The Group’s financial and liabilities orphans’ include pension trade for the and benefit other of payables, their spouse loans and and children. borrowings including bank
The overdrafts. retirement pension commences upon reaching the age of 60 and amounts to:
1. for Board members designated by Staatsolie: at retirement 70% of the last salary;
2. Loans for and other borrowings Board members: per year of service, up to a maximum of 28 years of service, 2.5% of the
This last is salary. the category most relevant to the Group. After initial recognition, interest bearing loans and
borrowings are subsequently measured at amortized cost using the EIR method. Gains and losses are
The recognized pension in entitlements the consolidated are accrued statement time-proportionately. of profit or loss when The the disability liabilities pension are derecognized is equal to the as potential well as
retirement through the pension. EIR amortization The widow’s/widower’s process. Amortized pension cost is is 70% calculated of the by (potential) taking into retirement account any pension. discount Upon or
termination premium on of acquisition employment and of fees a participant or costs who that has are an participated integral part in the of scheme the EIR. for The less EIR than amortization 3 years, the is
contributions included in finance paid by costs the in director the consolidated shall be refunded. statement As of soon profit as or a loss. participant This category who has generally participated applies in the to
plan interest-bearing for at least 3 loans years, and the borrowings. director shall be entitled to the pension entitlements accrued up to the date of
termination of employment. It is noted that the 3-year period on the basis of the “Wet Pensioenfondsen en
Voorzieningsfondsen” m. Inventories should be reduced to one year or less.
Pensions Petroleum in products payment are and valued deferred at the pensions lower of may cost be and increased net realizable in the value. event of a "general increase in the
cost Raw of materials: living". This possibility has not been applied yet. Pensions in payment and deferred pensions shall,
in • any Purchase case, be cost adjusted is valued annually on weighted on the basis average of profit method sharing based on excess interest, arising from the
agreement with the insurance company.
Finished goods and work in progress:
The • Cost pension of direct entitlements materials arising and labor from and the a plan proportion are insured of manufacturing with Assuria overheads Levensverzekeringen based on normal N.V.
(Assuria), operating for capacity which Staatsolie but excluding has borrowing entered into costs an agreement with, which provides for profit sharing
based on excess interest on assets of Assuria.
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