Indicate the total market value of voting shares held by unrelated companies of the registrant. Validations of this institutional effort include CHED's designation of (a) the IE Teacher Education Programs as a Center of Excellence and (b) the IABF Bachelor of Science in Business Administration Program as a Center for Development. Far Eastern University is a member of the ASEAN Universities Network - Quality Assurance (AUN-QA) and the Association for the Advancement of Collegiate Schools of Business (AACSB).
Student fees at the following institutes contributed significantly (10% and more) to the university's revenue:.
FEU INSTITUTE OF TECHNOLOGY
Although incorporated in 1992, East Asia Computer Center, Inc. EACCI, it started doing business only in 2014 under the name and style FEU Institute of Technology (or "FIT" or "FEU Tech").
FEU DILIMAN
FEU ALABANG, INC
FAR EASTERN COLLEGE SILANG, INC
FEU HIGH SCHOOL, INC
ROOSEVELT COLLEGE, INC
The BOT has overall responsibility for establishing and overseeing the Group's risk management framework. Nevertheless, the analysis above is considered to be representative of the Group's foreign exchange risk. None of the Group's financial assets are also secured by collateral or other credit enhancements; except for cash and cash equivalents as described above.
None of the Group's financial assets are secured by collateral or other credit enhancements, except for the following cash and cash equivalents.
Legal Proceedings
Submission of Matters to a Vote of Security Holders
OPERATIONAL AND FINANCIAL INFORMATION
Market for Registrants Common Equity and Related Stockholders Matters
Management’s Discussion and Analysis or Plan of Operation
- Test of Liquidity
- Test of Solvency
- Test of Profitability
- Product/Service Standards
- Market Acceptability
Below is a four-year table showing the sufficiency of the Group's net income compared to the total cash dividend declared and paid. As shown in Table 5, the total consolidated shareholders' equity as of May 31, 2018 constitutes 68.6% of the Group's total consolidated assets. In the following years, the student population of FEU schools is expected to normalize gradually.
Below is the trend for the university's first semester enrollment over the past five years.
Financial Statements
Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
CONTROL AND COMPENSATION Item 9. Trustees and Executive Officers
Other Business Connections: Board Member, FERN Realty Corporation and FEU Alabang, Inc.; Trustee, Nicanor Reyes Educational Foundation, Inc.; Treasurer and Trustee, FEU Educational Foundation, Inc.; corporate secretary and governor of the Nicanor Reyes Memorial Foundation; Member of the Executive Committee of Far Eastern University, Inc.; Other Business Connections: Currently member of the Board of Directors/Trustees of the following companies: Nicanor Reyes Educational Foundation, Inc., FEU Educational Foundation, Inc., East Asia Educational Foundation, Inc., East Asia Computer Center, Inc. , Lyceum of Batangas, Lyceum of Laguna, SM (Shoemart) Foundation, Inc., Asia Pacific Technology Educational Foundation, FERN Realty Corporation, Far Eastern College Silang, Inc., FEU High School, Inc., FEU Alabang, Inc., Asia Pacific College, Roosevelt College, Inc. Other business affiliations: Chairman and CEO, ALFM Mutual Funds Group and Independent Director, Generika/Actimed Group, East Asia Computer Center, Inc., FERN Realty Corporation and Far Eastern College Silang, Inc.
She is also an independent director of Manila Water Company and Integrated Micro-Electronics, Inc., both publicly traded companies. Quasha Memorial, Brent International School of Manila and Brent International School Subic, Inc., and AIM Scientific Research Foundation, Inc.; Chairman, Brent International School Baguio, Inc., Brent Schools, Inc., Willis Towers Watson Insurance Brokers Philippines, Inc.
Theodore of Tarsus Hospital in Sagada, Inc.; Independent Director, China Bank Savings, Inc., Planter's Development Bank, SEAOIL Philippines, Inc., CBC Capital Corporation, Inc. Tinio, 53, Filipino: Senior Vice President AcademicAffairs, Far Eastern University, Inc. (June 2011 to present) Business, Far Eastern University, Inc. President, Amon Trading Corporation; Board member of FERN Realty Corporation, East Asia Computer Center, Inc., Far Eastern College Silang, Inc., East Asia Educational Foundation, Inc., FEU Educational Foundation, Inc., Nicanor Reyes Memorial Foundation, Nicanor Reyes Educational Foundation, Inc. , FEU Alabang, Inc., FEU High School, Inc., Urban Program for Livelihood Finance and Training, and Roosevelt College, Inc. Member of the executive committees of many of the organizations where he serves as a director.
She obtained a Masters in Public Administration from the John F. Kennedy School of Government at Harvard University, USA. Serapio, 60, Filipino: Vice President for Human Resource Development, Far Eastern University, Inc. October 2015 to date) Development, Far Eastern University, Inc. Other corporate affiliations: Accredited Fellow in People Management by the Association of Societies in People Management of the People Management Association of the Philippines, and a Certified Executive Coach of AIMS International. 62, Philippines: Corporate Secretary and Vice President for Compliance, Far Eastern University, Inc. February 2017 to date) Compliance, Far Eastern University, Inc. Other corporate affiliations: Corporate Secretary of East Asia Computer Center, Inc. doing business under the trade name FEU Institute of Technology, and FEU Diliman), East Asia Educational Foundation, Inc., FEU Alabang, Inc., FEU High School, Inc., Nicanor Reyes Educational Foundation, Inc. also known as FEU-FERN College), and UP Law 80 Foundation, Inc.
Rosanna Esguerra-Salcedo, 54, Filipino: Treasurer, Far Eastern University, Inc
He graduated with a BS Mechanical Engineering in 2009, BS Electrical Engineering in 1999 and Electrical Technology, in 1994 from the Rizal Technological University. The term of office of a Trustee is one (1) year or until his/her successor is elected and qualified. The members of the Board of Trustees of the Corporation are elected at the Annual Shareholders' Meeting to hold office until the next succeeding annual meeting, or until such time as their respective successors are elected and qualified.
Officers are appointed or elected annually by the Board of Directors at its organizational meeting, and each holds office until the next meeting of the Board in the following year or until a successor is elected, appointed and qualified. Everyone is expected to work together as a team to achieve the corporation's goals.
Executive Compensation
No information is available regarding all outstanding warrants or options held by members of the Board of Directors and corporate officers.
Security Ownership of Certain Beneficial Owners and Management
The outstanding balance of these transactions, which is P2.0 million, P3.0 million and P2.7 million respectively as of May and 2016, is presented as part of Non-trade advances to related parties under the Trade and other receivables account the consolidated annual accounts. Outstanding receivables arising from this transaction amounted to P8.0 million as of May 31, 2016 (nil as of May 31, 2017) and are presented as part of the management fee receivable under the Trade and other receivables account in the consolidated balance sheet . Total rental income earned by EAEF's University and EACCI, presented as part of Rentals under Revenue in the Consolidated Income Statement, was P2.8 million and P6.7 million for the periods ended May 31, 2017 and 2016, respectively.
Unpaid receivables arising from the transaction amounted to P2.9 million, P3.3 million and P17.0 million in May and 2016, respectively, and are shown in the consolidated statement of financial position as rent receivables in the Trade and other receivables account. The unpaid receivables from this transaction amount to P8.4 million, P7.0 million and P4.1 million as of May 2016, respectively, and are shown as part of rent receivables in the Trade and other receivables account in the consolidated statements of financial position. Rental income earned from this transaction was PSP 1.4 million and PSP 1.5 million for the years ended May 31, 2018 and 2017, respectively, and is presented as part of Rent under Revenue in the consolidated statements of operations.
The Group recognized unearned rental income in accordance with PAS 17 from FERN College in the amount of P0.1 million and P0.9 million as of May 31, 2017 and 2016 (nil in 2018), respectively, and are presented as part of deferred income . account in the consolidated statements of financial position. The outstanding account receivable from this transaction amounted to P1.0 million and P29.4 million as of May 31, 2017 and 2016, respectively, and is recorded as part of non-trade related party advances in trade and other receivables in the consolidation. statements of financial position. The outstanding balance from this transaction amounted to P16.5 million as of May 31, 2016, and is presented as part of other payables in the trade account and other payables in the consolidated statement of financial position.
Accordingly, outstanding receivables amounting to P4.9 million, P9.2 million and P7.9 million in May and 2016, respectively, are presented as part of non-trading advances to related parties under trade and other receivables in the statements consolidated statement of financial position. The excess payable over non-controlling interest amounted to P1.5 million in May and 2016 and is presented as part of other payables to related parties under the trade and other payable account in the consolidated statements of financial position.
EXHIBITS AND SCHEDULES
Exhibits and Reports on SEC Form 17-C (a) Exhibit
- CORPORATE INFORMATION 1 Organization and Operations
- Change in Fiscal Year
- Approval of the Financial Statements
- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
- Basis of Preparation of Financial Statements
- Adoption of New and Amended PFRS
- Separate Financial Statements and Investments in Subsidiaries and an Associate
- Financial Assets
- Prepayments and Other Assets
- Property and Equipment
- Investment Properties
- Financial Liabilities
- Offsetting Financial Instruments
- Provisions and Contingencies
- Revenue and Expense Recognition
- Leases
- Foreign Currency Transactions and Translation
- Impairment of Non-financial Assets
- Employee Benefits
- Borrowing Costs
- Income Taxes
- Related Party Transactions and Relationships
- Equity
- Earnings (Loss) Per Share
- Segment Reporting
- Events After the End of the Reporting Period
- SIGNIFICANT ACCOUNTING JUDGMENTS AND ESTIMATES
- Critical Management Judgments in Applying Accounting Policies
- Key Sources of Estimation Uncertainty
- RISK MANAGEMENT OBJECTIVES AND POLICIES
- Market Risk (a) Foreign Currency Risk
- Credit Risk
- Liquidity Risk
- CATEGORIES AND OFFSETTING OF FINANCIAL ASSETS AND FINANCIAL LIABILITIES
- Carrying Amounts and Fair Values by Category
- Offsetting of Financial Assets and Financial Liabilities
- FAIR VALUE MEASUREMENT AND DISCLOSURES 1 Fair Value Hierarchy
- Financial Instruments Measurement at Fair Value
- Financial Instruments Measured at Amortized Cost for which Fair Value is Disclosed
- Fair Value Measurement for Non-financial Assets (a) Determining Fair Value of Investment Properties
- CASH AND CASH EQUIVALENTS
- RECEIVABLES
- CROSS-CURRENCY SWAPS
- FINANCIAL ASSETS
- Available-for-sale Financial Assets
- Held-to-maturity Investments
- PREPAYMENTS AND OTHER CURRENT ASSETS
- INVESTMENTS IN SUBSIDIARIES AND AN ASSOCIATE This account consists of the following as of May 31
- Investment in RCI
- Investment in FEUAI
- Investment in FEU High
- Investment in an Associate
- INVESTMENT PROPERTIES
- PROPERTY AND EQUIPMENT
- TRADE AND OTHER PAYABLES As of May 31, this account consists of
- INTEREST-BEARING LOANS
- EDUCATIONAL REVENUES
- OPERATING EXPENSES
- FINANCE INCOME AND FINANCE COSTS 1 Finance Income
- Finance Costs
- OTHER INCOME - Net
- EMPLOYEES’ HEALTH, WELFARE AND RETIREMENT FUND 1 Salaries and Employee Benefits Expense
- Post-employment Defined Benefit (a) Characteristics of the Defined Benefit Plan
- INCOME TAXES
- RELATED PARTY TRANSACTIONS
- Dividend Income
- Noninterest-bearing Advances
- Lease of Manila Campus Premises from FRC
- Lease of Makati Campus Premises from FRC
- Lease of Certain Building Floor to FRC
- Lease of Campus Premises to FECSI
- Reimbursement of Expenses
- Sub-lease of Buildings to FEU High
- Lease of Certain Buildings to EAEF and EACCI
- Management Services
- Lease of Facilities from EACCI
- Interest-bearing Loan from FEU High
- Financial Guaranty for Subsidiaries’ Loans
- Key Management Personnel Compensation
- Retirement Fund
- EQUITY
- Capital Stock
- Retained Earnings
- EARNINGS (LOSS) PER SHARE
- EVENTS AFTER THE END OF THE REPORTING PERIOD
- COMMITMENTS AND CONTINGENCIES
- Operating Lease Commitments – University as Lessee (a) Lease Agreement with FRC
- Operating Lease Commitments – University as Lessor
- Open Legal Cases
- Others
- CAPITAL MANAGEMENT OBJECTIVES, POLICIES AND PROCEDURES The University aims to provide returns on equity to shareholders while managing
- RECONCILIATION OF LIABILITIES ARISING FROM FINANCING ACTIVITIES
- SUPPLEMENTARY INFORMATION REQUIRED BY THE BUREAU OF INTERNAL REVENUE
- CORPORATE INFORMATION 1 Background of the University
- Acquisition of New Subsidiaries
- Change in Fiscal Year
- Other Corporate Information
- Approval for Issuance of Consolidated Financial Statements
- Basis of Preparation of the Consolidated Financial Statements (a) Statement of Compliance with Philippine Financial Reporting Standards
- Adoption of Amended PFRS
The financial statements of the University from and for the year ending 31 May 2018 (including the comparative financial statements from and for the periods ending 31 May 2017 and 2016) were authorized for issue by the BOT on 28 August 2018. The financial statements of the University have been prepared in accordance with Philippine Financial Reporting Standards (PFRS). Items included in the financial statements of the University are measured using its functional currency.
Functional currency is the currency of the primary economic environment in which the university operates. Financial assets are recognized when the university becomes a party to the contractual terms of the financial instrument. Any post-year-end event that provides additional information about the university's financial position at the end of the reporting period (adjusting event) is reflected in the financial statements.
The BOT has overall responsibility for establishing and overseeing the University's risk management framework. The University's exposure to price risk arises from its investments in equity securities, which are classified as part of the AFS Financial Assets account in the statements of financial position. A description of the University's risk management objectives and policies for financial instruments is provided in Note 4.
An analysis of the movements in the accounting values ​​of the university's investments is presented below. An analysis of the movements in the carrying value of the university's HTM investments for the years ended 31 May 2018 and 2017 is presented below. No similar transaction occurred with any of the University's subsidiaries during the period ended May 31, 2016.
In fiscal year 2016, the university paid P7.0 million of the unpaid subscription price of P7.5 million. The University claimed itemized deductions for income tax purposes in all of the periods presented. There was no significant change in the University's approach to capital management during the year.
