Notes to Consolidated Financial Statements
- 52 11. AFS Investments Unquoted Clubs’ preferred shares: ABICI TCCAMPI AMCI Quoted Wack Wack
2013
2012
P18,534,000,000 P =22,839,969,525 = 4,121,000,000 5,335,200,000 1,909,364,390 1,909,364,390 18,000,000 17,500,000 =24,582,364,390 P =30,102,033,915 P
The rollforward analysis of the account as of December 31 is as follows: Balance at beginning of year Fair value adjustments Additional subscriptions Sale of AFS investments Balance at end of year
Current Noncurrent
2012 2013 P10,747,425,000 P =24,582,364,390 = 6,435,465,048 10,505,234,671 3,776,767,542 – (447,062,823) (915,795,523) =24,582,364,390 P =30,102,033,915 P 2012 2013 =1,166,318,831 P =785,555,507 P 29,316,478,408 23,416,045,559 P24,582,364,390 P =30,102,033,915 =
The preferred shares held by the Group are not required to gain control of the Clubs and are intended to be disposed of over time to third parties, the proceeds of which will be used to raise funding for the construction of the club facilities which AMPI, ABIRC and AMC committed to deliver to TCCAMPI, ABICI and AMCI, respectively. The preferred shareholders are entitled to name one nominee per share to become a member and avail of the amenities and facilities of the Clubs. They are not entitled to vote and be voted for in all meetings of the shareholders of the Clubs. The preferred shares have preference over the issuer’s common shares in the distribution of assets in case of dissolution and liquidation. Liability Related to Acquisition of AFS Investments The cost of the Group’s investments in the preferred shares of TCCAMPI, ABICI and AMCI includes the cash consideration and the cost of the obligation to deliver as incurred and to complete the Clubs’ facilities (see Note 3). a. ABICI On February 10, 2011, ALPHA, ABIRC and ABICI entered into a Development Agreement (DA) for the development and construction of a resort club (the “Island Club”). It is agreed that ABIRC will develop and construct the Island Club with ALPHA extending any financing required for the completion of the Island Club and its amenities in exchange for the ABICI shares.
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