AnnuAL REPORT OF BORD SCAnnÁn nA ... - Irish Film Board

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BuRMA BETRAYAL
ACCOunTInG POLICIES
A. Basis of Accounting
The financial statements consist of two Income and Expenditure
Accounts and a Balance Sheet.
• The Capital Income and Expenditure Account records the
disbursement of the Board’s development and production
loans and its contribution to Screen Training Ireland, the
national training agency for the film industry in Ireland.
• The Administration Income and Expenditure Account records
the administrative transactions in respect of the Board.
The financial statements are prepared under the historical
cost convention and in accordance with Generally Accepted
Accounting Practice (GAAP) on an accruals basis except as
stated below. Financial Reporting Standards recommended
by the recognised accounting bodies are adopted as they
become applicable.
B. Income
Income shown in the financial statements under Oireachtas
Grants represents the actual cash received. Other income is also
taken to account on a cash receipts basis.
C. Loans
Production loans are made by the Board to assist in the
production of films. Repayments and returns are dependent
upon the commercial success of the related films.
Development loans are made to filmmakers for the purpose
of developing film projects. Repayments become payable in
accordance with the terms of the loan agreements.
These loans are not normally subject to interest charges, but
include measures for recoupment and profit participation.
Loans are reviewed by the Board on a periodic basis and
appropriate provision is made against loans outstanding, based
upon the historical performance of the Board’s loanbook. The
provision is accounted for through the Capital Reserve.
D. Capital Reserve
The Capital Reserve represents the funding invested in
films and Fixed Assets after provisions and amortisation.
E. Tangible Fixed Assets
Tangible Fixed Assets are shown at original historical cost.
Assets over €250 are capitalised.
Depreciation is provided at rates calculated to write off the original
cost less the estimated residual value of each asset on a straightline
basis over its expected useful life. The rates of depreciation
are as follows:
• Office Furniture and Equipment 20% per annum
• Computer Equipment 33% per annum
F. Pension Costs
The Board operates a defined benefit pension scheme which is
funded annually on a pay as you go basis from monies available
to it, including monies provided by the Department of Tourism,
Culture and Sport. The Scheme is operated on an administrative
basis pending approval of the Minister of Finance.
Pension Scheme liabilities are measured on an actuarial basis
using the projected unit method.
Pension costs reflect pension benefits earned by employees in
the period and are shown net of staff pension contributions which
are treated as refundable to the Department in accordance with
agency financing arrangements. An amount corresponding to the
pension charge is recognised as income to the extent that it is
recoverable and offset by grants received in the year to discharge
pension payments.
Actuarial gains or losses arising from changes in Actuarial
assumptions and from experience surpluses and deficits are
recognised in the Statement of Total Recognised Gains and Losses
for the year in which they occur and a corresponding adjustment
is recognised in the amount recoverable from the Department of
Tourism, Culture and Sport.
Pension Liabilities represent the present value of future pension
payments earned by staff to date. Deferred pension funding
represents the corresponding asset to be recovered in future
periods from the Department of Tourism, Culture and Sport.
G. Foreign Exchange Policy
Transactions denominated in foreign currencies are translated to
the respective functional currencies at exchange rates at the dates
of the transactions. Monetary assets and liabilities denominated
in foreign currencies at the reporting date are translated to the
functional currency at the exchange rate at that date. Any gain or
loss arising from a change in exchange rates subsequent to the
date of the transaction is included as an exchange gain or loss in
the Income Statement.
CRACKS
FInAnCIAL STATEMEnTS OF BORD SCAnnÁn nA hÉIREAnn/THE IRISH FILM BOARD
yEAR EnDED 31 DECEMBER 2010
Capital Income and Expenditure Account
Year ended 31 December 2010
notes 2010 2009
Income I I
Oireachtas Grants 1 16,500,000 18,817,000
Contributions from other parties 161,175 152,350
Other Income 72,689 72,428
Repayment of Loans transferred from Capital Reserve 3 738,198 1,380,377
Total 17,472,062 20,422,155
Expenditure
Screen Training Ireland (387,348 ) (532,000 )
Production Loans 14 (13,385,800 ) (15,101,659 )
Development Loans 14 (1,705,500 ) (2,201,585 )
Other Capital Payments 4 (1,046,681 ) (1,271,028 )
Total (16,525,329 ) (19,106,272 )
Surplus/ (Deficit) 946,733 1,315,883
Balance at beginning of year 4,364,599 3,048,716
Balance at end of year 5,311,332 4,364,599
The Accounting Policies and Notes 1-17 form part of these Financial Statements
James Morris Lesley McKimm
Chair Board Member
28 November 2011
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