SEC Form 20-IS - iRemit Global Remittance

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PAS 1, Presentation of Financial Statements
The amendment clarifies that an entity may present an analysis of each component of other
comprehensive income maybe either in the statement of changes in equity or in the notes to the
financial statements.
Other amendments resulting from the 2010 Improvements to PFRSs to the following standards did
not have any impact on the accounting policies, financial position or performance of the Group:
• PFRS 3, Business Combinations (Contingent consideration arising from business combination
prior to adoption of PFRS 3 (as revised in 2008))
• PFRS 3, Business Combinations (Un-replaced and voluntarily replaced share-based payment
awards)
• PAS 27, Consolidated and Separate Financial Statements
• PAS 34, Interim Financial Statements
The following interpretation and amendments to interpretations did not have any impact on the
accounting policies, financial position or performance of the Group:
• Philippine Interpretation IFRIC 13, Customer Loyalty Programmes (determining the fair value
of award credits)
• Philippine Interpretation IFRIC 19, Extinguishing Financial Liabilities with Equity
Instruments
Foreign Currency Translation
The consolidated financial statements are presented in Philippine peso, which is the Parent
Company’s functional currency. Each subsidiary in the Group determines its own functional
currency and items included in the financial statements of each entity are measured using that
functional currency.
Transactions and balances
Transactions denominated in foreign currencies are recorded using the exchange rate at the date of
the transaction. Outstanding financial assets and liabilities denominated in foreign currencies are
restated in Philippine pesos based on the Philippine Dealing System (PDS) closing rate prevailing
at the balance sheet date. Exchange differences arising on translation are taken directly to the
consolidated statement of income.
Non-monetary items that are measured in terms of historical cost in a foreign currency are
translated using the exchange rates as at the dates of the initial transactions. 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. Any goodwill arising on the acquisition of a foreign
operation and any fair value adjustments to the carrying amounts of assets and liabilities arising on
the acquisition are treated as assets and liabilities of the foreign operation and translated at the
closing rate.
Foreign subsidiaries
As of the balance sheet date, the assets and liabilities of subsidiaries with functional currency
differs from the Philippine peso are translated into the Parent Company’s presentation currency
(the Philippine peso) at the PDS closing rate prevailing at the balance sheet date, and their income
and expenses are translated using the PDSWAR for the year. Exchange differences arising on
translation are recognized in other comprehensive income. Upon disposal of a foreign entity, the
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