Acer 2007 Annual Report Download - page 92

Download and view the complete annual report

Please find page 92 of the 2007 Acer annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 117

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117

89
(14) Short-term borrowings
December 31, 2006 December 31, 2007
NT$ NT$ US$
Commercial paper 100,000 - -
Bank loans 7,529,178 5,372,109 165,627
7,629,178 5,372,109 165,627
Refer to note 6 for a description of pledged assets related to these borrowings.
(15) Long-term debt
December 31, 2006 December 31, 2007
NT$ NT$ US$
Citibank syndicated loan - 16,500,000 508,710
Other bank loans 197,004 308,242 9,503
Less: current installments (28,377) (17,366) (535)
168,627 16,790,876 517,678
The Company entered into a syndicated loan agreement with Citibank, the managing bank of
the syndicated loan, on October 11, 2007, and the terms were as follows:
Type of Loan Creditor Credit Line Term NT$
Unsecured loan Citibank and other
banks
(1) Term tranche of NT$16.5
billion; three-year limit
during which revolving
credits disallowed.
(1) From October 11, 2007, through
October 11, 2010. Repayable
in 4 semi-annual installments
starting from April, 2009.
16,500,000
(2) Revolving tranche of
NT$3.3 billion;
three-year limit.
(2) One-time repayment in full in
October 2010.
-
16,500,000
The interest rate of the above-mentioned syndicated loan was 3.02% in 2007. According to the
loan agreement, the Company is required to maintain certain financial ratios based on annual
and semi-annual audited financial statements. If the Company fails to meet any of the
financial ratios, the managing bank will request in writing that the Company take action to
improve within 30 days. No breach of contract will be tenable if the financial ratios are met
within 30 days. The Company complied with the aforementioned debt covenants in 2007.
Refer to note 6 for a description of pledged assets related to these loans.
(16) Retirement plans
The following table sets forth the benefit obligation and accrued pension liabilities related to
the Consolidated Companies’ defined benefit retirement plans:
2006
Plan assets in excess
of accumulated
benefit obligation
Accumulated benefit
obligation in excess
of plan assets
NT$ NT$
Benefit obligation:
Vested benefit obligation - (94,729)
Nonvested benefit obligation (4,836) (492,658)
Accumulated benefit obligation (4,836) (587,387)
Projected compensation increases (1,392) (345,779)
Projected benefit obligation (6,228) (933,166)
Plan assets at fair value 7,878 428,072