Annual Report 2015
75
For the year ended September 30, 2015. Expressed in thousands of Trinidad and Tobago dollars ($’000) except where otherwise stated
Notes to theConsolidatedFinancial Statements
1 CORPORATE INFORMATION
Republic Bank Limited (the ‘Parent’) is incorporated in the Republic of Trinidad and Tobago and was continued under the provision of
the Companies Act, 1995 on March 23, 1998. Its registered office is located at Republic House, 9-17 Park Street, Port of Spain.
The Republic Bank Group (the ‘Group’) is a financial services group comprising 15 subsidiaries and three associated companies. The
Group is engaged in a wide range of banking, financial and related activities in the Caricom region and Ghana. A full listing of the
Group’s subsidiary companies is detailed in Note 30 while associate companies are listed in Note 6. Republic Bank Limited is the
ultimate Parent of the Group and is listed on the Trinidad and Tobago Stock Exchange.
Until October 31, 2012, the CL Financial Group held through its various subsidiaries, 51.4% of the shares of Republic Bank Limited, of
which Colonial Life Insurance Company (Trinidad) Limited (CLICO) and CLICO Investment Bank Limited (CIB) combined, held 51.1%.
CLICO Investment Bank Limited, (CIB), which owned together with its subsidiary First Company Limited, 18.3% of the shareholding
of Republic Bank Limited, was on October 17, 2011 ordered by the High Court to be wound up and the Deposit Insurance Company
appointed liquidator. Accordingly, this 18.3% shareholding is under the control of the Deposit Insurance Company.
On November 1, 2012, 24.8% of Republic Bank Limited formerly owned by Colonial Life Insurance Company (Trinidad) Limited
(CLICO) was transferred into an investment fund launched by the Government of the Republic of Trinidad and Tobago and called
the CLICO Investment Fund (‘the Fund’). The Trustee of the Fund is the CLICO Trust Corporation Limited which holds the 24.8%
shareholding in Republic Bank Limited in trust solely for the benefit of subscribing Unit holders of the Fund. The Fund is, as a
consequence, the largest shareholder in Republic Bank Limited.
Effective November 1, 2012, the CL Financial Group is no longer considered a related party of Republic Bank Limited.
2 SIGNIFICANT ACCOUNTING POLICIES
The principal accounting policies applied in the preparation of these consolidated financial statements are set out below. These
policies have been consistently applied across the Group.
2.1 Basis of preparation
The financial statements of the Group are prepared in accordance with International Financial Reporting Standards (IFRS), and
are stated in Trinidad and Tobago Dollars. These consolidated financial statements have been prepared on a historical cost basis,
except for the measurement at fair value of investment securities classified as available-for-sale and at fair value through profit or
loss. The preparation of consolidated financial statements in conformity with IFRS requires management to make estimates and
assumptions. Actual results could differ from those estimates. Significant accounting judgements and estimates in applying the
Group’s accounting policies have been described in Note 3.
2.2 Basis of consolidation
The consolidated financial statements comprise the financial statements of Republic Bank Limited and its subsidiaries as at
September 30, each year. The financial statements of subsidiaries are prepared for the same reporting year as the parent company
except for HFC Bank (Ghana) Limited and Republic Bank (Suriname) N.V. which used July 31, using consistent accounting policies.
When necessary, adjustments are made to the financial statements of subsidiaries to bring their accounting policies in line with
the Group’s accounting policies. All intercompany balances and transactions, including unrealised profits arising from intra-group
transactions have been eliminated in full. Unrealised losses are eliminated unless costs cannot be recovered.
