PHILIPPINE GUARANTEE CORPORATION

(formerly Trade and Investment Development Corporation of the Philippines)

STATEMENTS OF FINANCIAL POSITION
As at December 31, 2021 and 2020
(In Philippine Peso)

2020 January 1, 2020

Note 2021 (As Restated) (As Restated)

ASSETS

Current Assets
Cash and Cash Equivalents 5 1,085,673,220 1,954,288,483 2,765,890,778
Investment Securities at Amortized Cost 6 5,289,764,240 13,825,410,957 8,800,747,300
Financial Assets at Fair Value through OCI 6 4,767,615,796 1,213,766,368 6,170,197
Receivables, net 7 1,193,834,262 2,826,342,532 5,899,240,400
Inventories 8 2,129,458 1,271,171 1,555,165
Other Current Assets 13 68,217,736 58,474,348 55,087,671
12,407,234,712 19,879,553,859 17,528,691,511

Non-current Assets
Financial Assets at Fair Value through OCI 6 8,466,888,706 2,570,290,062 2,153,623,767
Investment in Sinking Fund 6 4,222,479,542 1,442,688,143 1,290,978,228
Other Non-current Investments 6 4,988,016 452,460 452,460
Receivables, net 7 4,788,023,473 5,974,806,772 7,303,139,562
Investment Property, net 9 10,395,588,489 10,069,929,758 10,191,809,497
Property and Equipment, net 10 105,099,405 94,801,804 105,285,285
Right-of-Use Assets, net 11 102,328,025 138,982,839 175,637,654
Intangible Assets, net 12 888,172,686 941,746,545 978,995,492
Deferred Tax Assets 25 1,534,389,287 961,479,364 903,872,348
Funds under Trust and/or Administration 13 15,709,631,497 12,050,805,428 11,975,081,349
Other Non-current Assets 13 56,465,663 48,930,674 49,738,929
46,274,054,789 34,294,913,849 35,128,614,571

TOTAL ASSETS 58,681,289,501 54,174,467,708 52,657,306,082

LIABILITIES AND EQUITY

Current Liabilities
Financial Liabilities 14 4,961,416,959 8,974,288,705 9,187,518,477
Lease Liability 15 34,081,864 30,947,491 23,916,403
Inter-agency Payables 16 200,512,690 222,403,043 41,769,762
Trust Liabilities 17 745,502,655 769,425,196 729,028,931
Deferred Credits/Unearned Income 18 123,576,713 125,801,322 181,242,286
Provisions 19 59,222,032 59,329,364 26,151,265
Other Payables 20 3,887,812,740 5,597,221,807 4,620,237,264
10,012,125,653 15,779,416,928 14,809,864,388

Non-current Liabilities
Financial Liabilities 14 2,614,800,213 98,871,449 182,347,743
Lease Liability 15 81,036,576 118,032,147 149,170,644
Inter-agency Payables 16 3,043,319,222 7,041,614,153 7,041,592,653
Trust Liabilities 17 15,729,844,812 12,069,415,905 11,993,442,177
Deferred Credits/Unearned Income 18 1,936,703,356 1,930,942,875 2,110,778,931
Deferred Tax Liabilities 25 285,482,546 206,320,502 174,998,139
23,691,186,725 21,465,197,031 21,652,330,287

TOTAL LIABILITIES 33,703,312,378 37,244,613,959 36,462,194,675

Equity
Government Equity 21.1 39,122,385,554 33,872,385,554 32,872,385,554
Retained Earnings (Deficit) 21.2 (13,962,357,273) (16,948,127,143) (16,632,925,804)
Cumulative Changes in Fair Value of Investments 21.3 (182,051,158) 5,595,338 (44,348,343)

TOTAL EQUITY 24,977,977,123 16,929,853,749 16,195,111,407

TOTAL LIABILITIES AND EQUITY 58,681,289,501 54,174,467,708 52,657,306,082

The Notes on pages 11 to 122 form part of these financial statements.

7
PHILIPPINE GUARANTEE CORPORATION
(formerly Trade and Investment Development Corporation of the Philippines)
STATEMENTS OF COMPREHENSIVE INCOME
For the Years Ended December 31, 2021 and 2020
(In Philippine Peso)

2020
Note 2021 (As Restated)

REVENUE
Service and Business Income 23.1 3,376,202,277 2,482,824,828
Gains 23.2 42,741,096 23,414,716
Other Non-operating Income 23.3 1,130,551,914 934,892
4,549,495,287 2,507,174,436

EXPENSES
Personnel Services 24.1 220,935,782 278,623,902
Maintenance and Other Operating Expenses 24.2 355,611,642 400,217,753
Financial Expenses 24.3 324,362,460 463,853,255
Non-cash Expenses 24.4 1,449,015,954 1,072,018,415
2,349,925,838 2,214,713,325

PROFIT BEFORE TAX 2,199,569,449 292,461,111

Income Tax Expense (Benefit) 25 559,743,908 (74,118,556)

NET INCOME 1,639,825,541 366,579,667

Other Comprehensive Income (Loss), Net of Tax 21.3 (187,646,496) 49,943,681

TOTAL COMPREHENSIVE INCOME 1,452,179,045 416,523,348

The Notes on pages 11 to 122 form part of these financial statements.

8
PHILIPPINE GUARANTEE CORPORATION
(formerly Trade and Investment Development Corporation of the Philippines)
STATEMENTS OF CHANGES IN EQUITY
For the Years Ended December 31, 2021 and 2020
(In Philippine Peso)

Cumulative
Retained Earnings (Deficit)
Changes in Fair
Government Surplus Value of
Equity Unappropriated Reserves Investments
(Note 21.1) (Note 21.2) (Note 21.2) (Note 21.3) Total

BALANCE AT JANUARY 1, 2021 33,872,385,554 (16,948,127,143) - 5,595,338 16,929,853,749

CHANGES IN EQUITY FOR 2021

Add (Deduct):
Additional Capital from National Government 5,250,000,000 - - - 5,250,000,000
Comprehensive Income (Loss) for the Year - 1,639,825,542 - (187,646,496) 1,452,179,046
Dividends Due to the National Government - (505,902,486) - - (505,902,486)
Other Adjustments:
Reversal of CYs 2020, 2019 and 2018 Dividends Payable - 2,195,273,197 - - 2,195,273,197
Additional Impairment on Investment Property - (343,426,383) - - (343,426,383)

BALANCE AT DECEMBER 31, 2021 39,122,385,554 (13,962,357,273) - (182,051,158) 24,977,977,123

BALANCE AT JANUARY 1, 2020, AS REPORTED 26,873,203,417 (8,278,700,271) 263,943,897 (44,348,343) 18,814,098,700

ADJUSTMENTS:
Add (Deduct):
Reclassification of IGLF Funds to Government Equity 5,999,182,137 (5,735,238,240) (263,943,897) - -
Prior Period Errors
Adjustment of Recorded Impairment on Investment Property - (1,003,479,037) - - (1,003,479,037)
Reversal of Deferred Tax on Due to SBMA - (789,165,378) - - (789,165,378)
Amortization of Reclassified Leasehold Rights - (645,012,865) - - (645,012,865)
Erroneous Capitalization of Investment Property-related Expenses - (237,803,977) - - (237,803,977)
Recognition of Discount on Sales Contract Receivable - 150,701,076 - - 150,701,076
Others - (94,227,112) - - (94,227,112)
BALANCE AT JANUARY 1, 2020, AS RESTATED 32,872,385,554 (16,632,925,804) - (44,348,343) 16,195,111,407

CHANGES IN EQUITY FOR 2020

Add (Deduct):
Additional Capital from National Government 1,000,000,000 - - - 1,000,000,000
Comprehensive Income for the Year - 366,579,667 - 49,943,681 416,523,348
Dividends Due to the National Government - (780,787,197) - - (780,787,197)
Other Adjustments:
Expiration of Net Operating Loss Carryover - (17,831,237) - - (17,831,237)
Others - 116,837,428 - - 116,837,428

BALANCE AT DECEMBER 31, 2020 33,872,385,554 (16,948,127,143) - 5,595,338 16,929,853,749

The Notes on pages 11 to 122 form part of these financial statements.

9
PHILIPPINE GUARANTEE CORPORATION
(formerly Trade and Investment Development Corporation of the Philippines)
STATEMENTS OF CASH FLOWS
For the Years Ended December 31, 2021 and 2020
(In Philippine Peso)

2020
Note 2021 (As Restated)

CASH FLOWS FROM OPERATING ACTIVITIES

Cash Inflows
Collection of Income/Revenue 2,312,321,942 1,829,908,032
Collection of Receivables 2,010,047,480 712,178,718
Receipt of Inter-agency Fund Transfers 910,100,401 506,156,832
Trust Receipts 79,992,753 151,745,815
Other Receipts 973,901 13,133,451
Total Cash Inflows 5,313,436,477 3,213,122,848

Cash Outflows
Payment of Expenses 1,409,189,434 828,883,086
Remittance of Personnel Benefit Contributions 138,771,904 155,645,401
Prepayments 18,940,012 22,400,919
Refund of Deposits 803,961 3,289,356
Purchase of Inventories 5,391,660 2,100,022
Other Disbursements 540,352,205 363,750,657
Total Cash Outflows 2,113,449,176 1,376,069,441

Net Cash Provided by Operating Activities 3,199,987,301 1,837,053,407

CASH FLOWS FROM INVESTING ACTIVITIES

Cash Inflows
Proceeds from Matured Investments/Redemption of Long-term Investments 17,099,328,869 9,771,386,608
Receipt of Interest Earned 76,622,518 -
Proceeds from Sale/ Disposal of Investment Property 9,652,302 -
Proceeds from Sale/Disposal of Property, Plant and Equipment 505,250 -
Total Cash Inflows 17,186,108,939 9,771,386,608

Cash Outflows
Purchase of Investments 21,038,447,558 15,082,712,523
Purchase/Construction of Property, Plant and Equipment 18,548,270 211,500
Purchase of Intangible Assets 76,160 -
Total Cash Outflows 21,057,071,988 15,082,924,023

Net Cash Used in Investing Activities (3,870,963,049) (5,311,537,415)

CASH FLOWS FROM FINANCING ACTIVITIES

Cash Inflows
Contribution from National Government 5,250,000,000 3,472,502,778

Cash Outflows
Payment of Long-term Liabilities 4,043,633,331 776,688,956
Payment of Interest on Loans and Other Financial Charges 1,406,736,563 38,502,918
Redemption of Bonds Issued - 2,384,857
Total Cash Outflows 5,450,369,894 817,576,731

Net Cash Provided by (Used in) Financing Activities (200,369,894) 2,654,926,047

NET DECREASE IN CASH AND CASH EQUIVALENTS (871,345,642) (819,557,961)

Effects of Exchange Rate Changes on Cash and Cash Equivalents 2,730,379 7,955,666
CASH AND CASH EQUIVALENTS, JANUARY 1 5 1,954,288,483 2,765,890,778

CASH AND CASH EQUIVALENTS, DECEMBER 31 5 1,085,673,220 1,954,288,483

The Notes on pages 11 to 122 form part of these financial statements.

10
PHILIPPINE GUARANTEE CORPORATION
(formerly Trade and Investment Development Corporation of the Philippines) Teresa Tuibeo:
STATEMENTS OF CHANGES IN EQUITY Please identify what SPF account this pertains to.
For the Years Ended December 31, 2021 and 2020 Why is this here also? Is this a PPA? RON: See revised.
(In Philippine Peso)

Teresa Tuibeo:
Teresa Tuibeo:
Cumulative This column can be
Retained Earnings (Deficit) Other Adjustment: RON: See revised.
deleted since there is no
Changes in Fair
data here.
Government Surplus Value of
Equity Unappropriated Reserves Investments
(Note 21.1) (Note 21.2) (Note 21.2) (Note 21.3) Total Teresa Tuibeo:
Please enclose in parenthesis the word
"loss". RON: See revised.
BALANCE AT JANUARY 1, 2021 33,872,385,554 (16,948,127,143) - 5,595,338 16,929,853,749
Almairah:
CHANGES IN EQUITY FOR 2021 680 per SCE
Add (Deduct):
Additional Capital from National Government 5,250,000,000 - - - 5,250,000,000 Also, shouldn't this be under Changes in Equity for 2020 and not
under adjustments?
Comprehensive Income/loss for the Year - 1,639,825,542 - (187,646,496) 1,452,179,046
Dividends Due to the National Government - (505,902,486) - - (505,902,486) TRT: Please check. This amount I think should be presented in the
CY 2020 comprehensive income, per SCI.
Reversal of Dividends Payable set in 2018 pursuant to EO 131 - 2,195,273,197 - - 2,195,273,197
Other Adjustments: - RON: See revised.
Impairment Loss - (343,426,383) - - (343,426,383)
BALANCE AT DECEMBER 31, 2021 39,122,385,554 (13,962,357,273) - (182,051,158) 24,977,977,123
Teresa Tuibeo: Teresa Tuibeo:
BALANCE AT JANUARY 1, 2020, AS REPORTED 26,873,203,417 (8,278,700,271) 263,943,897 (44,348,343) 18,814,098,700 Per SFP, isn't it Isn't it P32,872,385,554 per
(P16,632,925,804)? SFP?

ADJUSTMENTS: RON: See revised. RON: See revised.

Add (Deduct):
Additional Capital from National Government 1,000,000,000 - - - 1,000,000,000 Ter
Teresa Tuibeo:
Comprehensive Income for the Year - 487,029,893 - 49,943,681 536,973,574 Isn'
Please delete the word
SFP
Dividends Due to the National Government - (780,787,197) - - (780,787,197) "loss". RON: See
revised.
Other Adjustments: Teresa Tuibeo: RON
Expiration of Net Operating Loss Carryover - (17,831,237) - - (17,831,237) None in the 3rd Column
of SFP? RON: See
Others - 23,153,291 - - 23,153,291 revised. Teresa
BALANCE AT JANUARY 1, 2020, AS RESTATED 27,873,203,417 (8,567,135,521) 263,943,897 5,595,338 19,575,607,131 Isn't it
SFP 20
CHANGES IN EQUITY FOR 2020
RON:
Add (Deduct):
Comprehensive Income/loss for the Year - 366,579,667 - - 366,579,667
Reclassification of government equity from IGLF 5,999,182,137 (5,735,238,240) (263,943,897) - -
Other Adjustments:
Pior Period Adjustment - (3,012,333,049) - - (3,012,333,049)
BALANCE AT DECEMBER 31, 2020 33,872,385,554 (16,948,127,143) - 5,595,338 16,929,853,749

Almairah S. Awar:
The Notes on pages 9 to 119 form part of these financial statements. Page is set at 8, shouldn't it be 7? RON:
To be updated based on length of
Teresa Tuibeo: IAR. Last year, it was more than the
Almairah: Teresa
Please delete the word "loss". RON: Teresa Tuibeo: usual number of pages.
Amounts not tally with that in SFP 3rd Tuibeo:
See revised. How is this amount arrived at?
column Other
RON: See revised.
Adjustmen
RON: See revised. Sorry. What was t: 8
attached here and submitted to OCD
was the old version. RON: See
revised.