Aurelio Montinola III, 59, Filipino: Vice Chairman of the Board of Trustees, Far Eastern University, Inc. Echauz, 64, Filipino: President (June 2003 to present); Acting President (September 2002 to May 2003) and Member of the Board of Trustees, Far Eastern University, Inc.
Compensation of Trustees and Executive Officers
Independent Public Accountant
Amendment of the seventh article of the statute, which reflects the above-mentioned increase in share capital; All other matters to be decided shall require the affirmative vote of a majority of the company's shares present or represented and entitled to vote at the annual meeting.
In the event that such proxy is returned without an election being made in any or all of the foregoing items, the undersigned authorizes the named proxy to vote on his behalf, in such proxy's discretion, to approve or disapprove the matter to be considered at the meeting. The power of attorney issued by a shareholder of the company must be in the form of a resolution of the board of directors, duly certified by the company secretary, or in the form of such power of attorney, issued by a duly authorized officer of the company, accompanied by a certificate from the company secretary stating the resolution of the board, authorizing said officer of the company to execute a proxy.
Persons Making the Solicitation
The person giving the power of attorney has the right to revoke the power of attorney by appearing in person or executing a power of attorney at a later date, subject to the applicable requirements of the Act and SEC Circular Number 5, Series of 1996 .
Interest of Certain Persons in Matters to be Acted Upon
- Market Prices of Common Stocks: (Phil.Stock Exchange,Inc.) and Dividends Declared
- Number of Shareholders
- Management’s Discussion and Analysis or Plan of Operation
- Test of Liquidity
- Current ratio measures the number of times that the current liabilities could be paid with the available current assets (Adequate: at least 5:1)
- Quick ratio measures the number of times that the current liabilities could be paid with the available quick assets (Adequate: at least 1:1)
- Test of Solvency
- Equity to asset ratio measures the amount of assets provided by the owner relative to the total assets of the company (Adequate: 50% or more)
- Test of Profitability
- Return on total assets measures how well management has used its assets under its control to generate income (Adequate: at least equal to the
- Return on owner’s equity measures how much was earned on the owners’
- Earnings per share measures the net income per share
- Product Standard
- Teaching performance in the University is constantly being monitored to maintain a satisfactory level of excellence. Various incentives are given to
- The Philippine Association of Colleges and Universities Commission on Accreditation (PACUCOA) has granted Certificates of Level III Re-
- Performance of FEU graduates in their respective Board Exams is generally better than the national passing rate with the following board placers
- Market Acceptability
- Below is a schedule of the first semester enrollment for the past 5 years
- Below is a schedule of Entrance and Entrance Merit Scholars for the past 5 years
- The current economic condition may still affect the sales/revenues/income from operations
- There are no known events that will trigger direct or contingent financial obligation that may be material to the company. There are also no known events that would result in
- There are no material off-balance sheet transactions, arrangements, obligations (including contingent obligations), and other relationships of the company with
- There are no sales of Unregistered or Exempt Securities including Recent Issuance of Securities Constituting an Exempt Transaction
- A new school site (FEU Makati Campus) was constructed and opened in June 2010 at the Makati area to offer business courses. Its educational income for the year ended
- The Board of Trustees in its meeting held on March 16, 2010, also authorized the Corporation to join and participate as a party/co-venturer with PHI Culinary Arts and
- There are no significant elements of income or loss from continuing operations
- Seasonal aspects that has material effect on financial statements
The debt-to-asset ratio measures the amount of funds provided by creditors relative to the company's total assets. The capital-assets ratio measures the amount of funds provided by the owner relative to the company's total assets (respectively: 50% or more) relative to all the company's assets (respectively: 50% or more).
A. Liquidity
Solvency
- Debt to Equity ratio = Total liabilities Total Stockholder's Equity
- Debt to Asset ratio = Total liabilities
- Equity to Asset ratio = Total Stockholder's Equity
Profitability
- Return on Assets = Net Profit
- Return on Owner's Equity = Net Profit
- Earning per share = Net Profit
- Corporate Governance
- PARENT CORPORATION FINANCIAL STATEMENTS
- CONSOLIDATED FINANCIAL STATEMENTS
Our Corporate Governance Compliance Officer submitted its 2010 certification to the Securities and Exchange Commission on the extent of the Company's compliance with its manual on January 20, 2011. Far Eastern University submitted its Revised Manual on Corporate Governance to the Securities and Exchange Commission on February 16, 2011 .
DRAFT
CORPORATE INFORMATION
The University is a private, non-sectarian learning institution consisting of the following different institutes offering specific courses, namely Institute of Arts and Sciences; Institute of Accounts, Business and Finance; Institute of Education; Institute of Architecture and Fine Arts; Institute of Nursing; Institute of Engineering; Institute of Law; and Institute of Postgraduate Studies. SPARC is engaged in organizing, owning, operating, managing and maintaining a sports facility for the rehabilitation and sports performance enhancement in the Philippines.
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The amount of the impairment loss is recognized in profit or loss in the statement of comprehensive income. Any change in the carrying amount of the investment, including impairment loss, is recognized in profit or loss.
SIGNIFICANT ACCOUNTING JUDGMENTS AND ESTIMATES The University’s financial statements prepared in accordance with PFRS require
Analyzes of the book value of investments available for sale per day. d) Useful lives of investment real estate and real estate and equipment. Analyzes of the book values of investment properties and tangible fixed assets are presented in notes 8 and 9, respectively.
CASH AND CASH EQUIVALENTS
The University's policy for assessing the impairment of non-financial assets is discussed in detail in Note 2.12. The University did not recognize any impairment losses for investment property, property and equipment, and investments in subsidiaries, joint ventures and joint ventures in and 2009.
RECEIVABLES
In 2011, P43.7 million of option money was returned to the University after it did not pursue the acquisition; the land was bought by the FRC instead (see Note 17.4). In connection with improvements made to the Crans Montana property, the University has made advances to contractors in the amount of P52.0 million, which remained unpaid as of March 31, 2010.
AVAILABLE-FOR-SALE INVESTMENTS
Such advances are presented in the 2010 balance sheet as part of Other current assets. The related outstanding interest is presented as part of Accrued interest under Receivables in the balance sheet (see Note 5).
INVESTMENTS IN SUBSIDIARIES, ASSOCIATE AND JOINT VENTURE
INVESTMENT PROPERTIES
A reconciliation of the book value of investment properties at the beginning and end of 2009 is shown below. The fair value of investment properties is P280.2 million as of March 31, 2011 and 2010 and P386.5 million as of March 31, 2009, which were determined based on the most recent valuation performed by independent appraisers immediately after the end of the reporting periods.
PROPERTY AND EQUIPMENT
ACCOUNTS PAYABLE AND OTHER LIABILITIES This account consists of
TRUST FUNDS
As discussed in note 4, the amounts of cash and cash equivalents corresponding to the outstanding balances of these funds, presented as part of other current assets in the statements of financial position, are set aside and are restricted for purposes Like that. In 2011, most of the fund surpluses set aside for the purposes listed above were fully utilized.
EDUCATIONAL REVENUES
OPERATING EXPENSES Operating expenses consists of
FINANCE INCOME
EMPLOYEES’ HEALTH, WELFARE AND RETIREMENT FUND The University maintains a funded and contributory retirement plan, which is a
INCOME TAXES
RELATED PARTY TRANSACTIONS
The University leases certain buildings located on the Manila campus premises from FRC for a period of 10 years from July 1, 2005 to June 30, 2015. The total remuneration of key management personnel of the University is shown as part of salaries and allowances and employee benefits under Expenses teaching and study (see note 13) are as follows:.
EQUITY
In 2009, the University made a turnaround of appropriations amounting to P172.1 million related to facility expansion, repairs and improvements, acquisition of laboratory equipment and purchase of equipment and improvements. In 2011, the University turned over the appropriation for expansion of facilities and purchase of equipment in the amount of P379.3 million and appropriated an amount of
EARNINGS PER SHARE
COMMITMENTS AND CONTINGENCIES
The university also entered into a lease agreement with Crans Montana for the land where the building occupied by FEU Makati begins. However, the University has appropriated a portion of its retained earnings for these cases (see note 18.2).
RISK MANAGEMENT OBJECTIVES AND POLICIES
The university's exposure to credit risk on its other receivables from debtors and related parties is managed through close account monitoring and setting limits. The investments are continuously monitored and voting rights arising from these equity instruments are used for the benefit of the university.
CATEGORIES AND FAIR VALUES OF FINANCIAL ASSETS AND LIABILITIES
CAPITAL MANAGEMENT OBJECTIVES, POLICIES AND PROCEDURES
SUPPLEMENTARY INFORMATION REQUIRED UNDER REVENUE REGULATIONS 15-2010
The Group's interest in a jointly controlled entity is recognized in the consolidated financial statements of the Group using the equity method. The Group's share of the profit or loss of the JV is adjusted for any unrealized profits arising.
SIGNIFICANT ACCOUNTING JUDGMENTS AND ESTIMATES The Group’s consolidated financial statements prepared in accordance with PFRS
The Group estimates the useful lives of property, plant and equipment and long-term property, plant and equipment based on the period during which the assets are expected to be available for use. The Group's policy for assessing the impairment of non-financial assets is discussed in detail in Note 2.14.
SEGMENT INFORMATION 1 Business Segments
Analyzes of the book values of investment properties and tangible fixed assets and equipment are presented. A reconciliation of the Group's segment information with the key financial information presented in its consolidated financial statements (in thousands) is presented below.
CASH AND CASH EQUIVALENTS
RECEIVABLES
P43.7 million option money was refunded to the university since it did not pursue the acquisition; the land was instead acquired by the FRC. In relation to the improvements made on the Crans Montana property, the University has made advances to contractors amounting to P52.0 million per March 31, 2010.
AVAILABLE-FOR-SALE INVESTMENTS
Interest income from these loans is shown as part of the financial income account in the consolidated statements of comprehensive income (see note 16). Such advances are presented as part of the other current assets account in the 2010 consolidated statement of financial position.
REAL ESTATE HELD FOR SALE
INVESTMENTS IN AN ASSOCIATE AND JOINT VENTURE This account consists of the following as of March 31
As of March 31, 2010, pending the SEC's approval of the JVC registration (see Notes 1 and 2.3), the amount invested by the University is presented as a Joint Venture Advance under Investment Registration in a joint venture account joint in the 2010 consolidated statements of financial position. Shares of shares of the associate and the JV are not listed for trading on the stock exchange; therefore, the fair value of the shares cannot be reliably determined.
INVESTMENT PROPERTY
The book value of the property on the date of sale amounted to P2.3 million. Accounts receivable arising from this transaction amounting to P70.2 million and P140.0 million on March 31, 2011 and 2010, respectively, are presented as Accounts Receivable under the Accounts Receivable account in the consolidated statement of financial position 2010 (see note 6).
PROPERTY AND EQUIPMENT
Interest expense capitalized as part of construction in progress related to the condominium unit amounted to P0.7 million in 2011, P1.0 million in 2010 and P0.9 million in 2009.
ACCOUNTS PAYABLE AND OTHER LIABILITIES This account consists of
TRUST FUNDS
TUITION AND OTHER SCHOOL FEES
Towards the end of each financial year, the Group normally collects tuition fees from students for summer education which starts after the reporting period. Such collections of P43.9 million, zero and P75.5 million, respectively. in March and 2009 are excluded from tuition fees earned for the year and presented as part of the deferred income account in the consolidated statement of financial position.
COSTS AND OPERATING EXPENSES Costs and operating expenses consists of
FINANCE INCOME
EMPLOYEES’ HEALTH, WELFARE AND RETIREMENT FUND The Group maintains a funded and contributory retirement plan, which is a defined
Contributions to this fund are in accordance with the defined contribution determined by the pension council, which is the sum of the employees and the group. Employees' contribution is 5% of base salary, while Group contribution is equal to 20% of employees' base salary.
INCOME TAXES
The FRC is subject to MCIT, which is calculated at 2% of gross income as defined in the tax regulations. 9504 went into effect and gave corporate taxpayers the ability to claim an itemized deduction or OSD equal to 40% of gross income, which only applies to FRC.
RELATED PARTY TRANSACTIONS
EQUITY
In 2010, the Group appropriated P1.0 billion for the acquisition of properties and investments and wrote off P300.0 million related to facility expansion. In 2011, the Group canceled appropriation for expansion of facilities and purchase of equipment amounting to P379.3 million and appropriated an amount of P557.9 million for expansion and purchase of facilities and contingencies.
EARNINGS PER SHARE
COMMITMENTS AND CONTINGENCIES 1 Purchase of Condominium Unit
The management of the group and the legal advisor believe that any liabilities that could arise from the outcome of these cases will not significantly affect the financial position and results of the group's operations. There are also other possible events that may occur in the ordinary course of business and are not recognized in the consolidated financial statements of the Group.
RISK MANAGEMENT OBJECTIVES AND POLICIES
The group's exposure to credit risk on its other receivables from debtors and related parties is managed through close account monitoring and setting limits. The Group's exposure to price risk arises from its investments in shares and debt securities, which are classified as AFS investments in the consolidated statement of financial position.
CATEGORIES AND FAIR VALUES OF FINANCIAL ASSETS AND LIABILITIES
The level within which the financial asset or liability is classified is determined based on the lowest level of material inputs to the fair value measurement.
CAPITAL MANAGEMENT OBJECTIVES, POLICIES AND PROCEDURES
With a 6-story building in the heart of the Ayala Business District, FEU Makati offers undergraduate and professional courses. Our students continue to excel in leadership, academic and sporting competitions; two of our students won the 2011 Ayala Young Leaders Congress and another was rated as one of the Ten Outstanding Students of the Philippines for NCR.
