SEC Form 20-IS - iRemit Global Remittance

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Changes in Accounting Policies
The accounting policies adopted are consistent with those of the previous financial year except for
the adoption of the following new and amended PFRS, Philippine Accounting Standards (PAS)
and Philippine Interpretations which became effective on January 1, 2011:
• PAS 24 Amendment, Related Party Disclosures
• PAS 32 Amendment, Financial Instruments: Presentation - Classification of Rights Issues
• Philippine Interpretation International Financial Reporting Interpretations Committee (IFRIC)
14 Amendment, Prepayments of a Minimum Funding Requirement
• Philippine Interpretation IFRIC 19, Extinguishing Financial Liabilities with Equity
Instruments
The adoption of new standards, amendments and interpretations above did not have impact to the
Group except for the adoption of PAS 24 Amendment, Related Party Transactions.
PAS 24 Amendment, Related Party Transactions
PAS 24 clarifies the definitions of a related party. The new definitions emphasize a symmetrical
view of related party relationships and clarify the circumstances in which persons and key
management personnel affect related party relationships of an entity. In addition, the amendment
introduces an exemption from the general related party disclosure requirements for transactions
with government and entities that are controlled, jointly controlled or significantly influenced by
the same government as the reporting entity. The amendment only affects the disclosures and has
no impact on the Group’s financial position or performance.
Improvements to PFRS 2010
Improvements to PFRSs, an omnibus of amendments to standards, deal primarily with a view to
removing inconsistencies and clarifying wording. There are separate transitional provisions for
each standard. The adoption of the following amendments resulted in changes to accounting
policies but did not have any impact on the financial position or performance of the Group.
PFRS 3, Business Combinations (Revised)
The measurement options available for noncontrolling interest (NCI) were amended. Only
components of NCI that constitute a present ownership interest that entitles their holder to a
proportionate share of the entity’s net assets in the event of liquidation should be measured at
either fair value or at the present ownership instruments’ proportionate share of the acquiree’s
identifiable net assets. All other components are to be measured at their acquisition date fair
value.
The amendments to PFRS 3 are effective for annual periods beginning on or after July 1, 2011.
The Group, however, adopted these as of January 1, 2011 and changed its accounting policy
accordingly as the amendment was issued to eliminate unintended consequences that may arise
from the adoption of PFRS 3.
PFRS 7, Financial Instruments - Disclosures
The amendment was intended to simplify the disclosures provided by reducing the volume of
disclosures around collateral held and improving disclosures by requiring qualitative information
to put the quantitative information in context. The Group reflects the revised disclosure
requirements in Note 4.
*SGVMC116502*