annual report 2012 / 2013 · 56 annual report 2012 / 2013 assets: note 20 march 2013 (restated) 19...
TRANSCRIPT
w w w . b p i . i r
Annual Report2012 / 2013
w w w . b p i . i r54
Annual Report2012 / 2013
w w w . b p i . i r 55
Annual Report2012 / 2013
w w w . b p i . i r56
Annual Report2012 / 2013
AS
SETS
:N
ote
20
Marc
h
20
13
(Rest
ate
d)
19
Marc
h 2
01
2LIA
BIL
ITIE
S:
Note
20
Marc
h 2
01
3(R
est
ate
d)
19
Marc
h 2
01
2
m.I
RR
m.I
RR
m.I
RR
m.I
RR
Cas
h5
1,3
90,7
94
1,3
20,9
60
Due
to C
BI
21
4,4
70,3
14
6,0
97,1
61
Due
from
CBI
628,5
44,9
93
20,8
51,5
25
Dem
and D
epos
its
22
17,4
16,2
54
8,9
75,0
71
Due
from
oth
er B
anks
and C
redit
Inst
itution
s7
51,4
87,7
27
35,6
54,9
74
Sav
ing D
epos
its
23
3,7
00,3
60
2,8
14,0
29
Part
icip
atio
n P
aper
s8
11,8
64,4
71
5,8
25,7
18
Term
Dep
osits
24
188,5
00,3
77
142,9
65,6
18
Cre
dit F
acili
ties
Gra
nte
d9
164,3
56,3
77
128,9
79,0
79
Oth
er D
epos
its
25
9,0
06,3
81
11,3
36,4
62
Acc
ounts
and N
otes
Rec
eiva
ble
10
5,7
87,1
95
4,9
37,5
94
Acc
ounts
and N
otes
Pay
able
26
3,0
11,7
57
2,0
04,1
51
Oth
er A
ccou
nts
Rec
eiva
ble
11
8,0
45,2
48
1,3
67,2
66
Oth
er A
ccou
nts
Pay
able
and P
rovi
sion
s27
25,6
90,9
15
9,1
67,9
93
Inve
nto
ries
12
4,6
01,3
10
3,5
39,9
89
Faci
litie
s Rec
eive
d28
5,9
74,0
29
1,7
90,2
85
Prep
aym
ents
and O
rder
s 13
882,7
13
264,0
00
Adva
nce
s Rec
eive
d29
690,3
21
106,2
32
Leas
e R
ecei
vable
s14
168,2
77
497,9
89
Cor
por
ate
Tax
Paya
ble
30
2,3
07,3
54
3,2
28,9
76
Inve
stm
ents
in S
ubsi
dia
ries
and
Ass
ocia
tes
15
345,2
53
627,0
07
Ret
urn
Pay
able
to
Dep
osits
31
3,5
13,2
33
2,7
53,3
29
Oth
er I
nve
stm
ents
16
5,6
11,5
55
4,5
77,9
85
Div
iden
ds
Paya
ble
32
158,1
35
287,0
77
Tangib
le F
ixed
Ass
ets
17
22,5
84,3
09
12,6
26,6
48
Prov
isio
n for
Em
plo
yees
Ret
irem
ent
Ben
efits
33
258,1
12
167,7
16
Inta
ngib
le A
sset
s18
6,2
76,7
81
6,3
83,6
84
Oth
er A
sset
s19
5,1
98,6
79
4,6
14,4
13
TO
TA
L L
IAB
ILIT
IES
264,6
97,5
42
191,6
94,1
00
Con
solid
ated
Goo
dw
ill20
142,5
54
105,9
33
SH
AR
EH
OLD
ER
S’ EQ
UIT
Y:
Note
20
Marc
h 2
01
3(R
est
ate
d)
19
Marc
h 2
01
2
Shar
e Cap
ital
34
30,0
00,0
00
27,2
58,0
00
Sta
tuto
ry R
eser
ve35
5,6
18,0
30
3,6
31,0
45
Dis
cret
ionar
y Res
erve
36
1,8
72,6
76
1,2
10,3
48
Ret
ained
Ear
nin
gs
9,5
13,3
79
4,7
51,0
77
Unre
aliz
ed G
ain/(
Loss
) (
3,0
01)
(1,5
00)
TO
TA
L S
HA
REH
OLD
ER
S’ EQ
UIT
Y
(Pare
nt)
47,0
01,0
84
36,8
48,9
70
MIN
ORIT
Y I
NTEREST
37
5,5
89,6
10
3,6
31,6
94
TO
TA
L S
HA
REH
OLD
ER
S’ EQ
UIT
Y52,5
90,6
94
40,4
80,6
64
TO
TA
L A
SS
ETS
317,2
88,2
36
232,1
74,7
64
TO
TA
L L
IAB
ILIT
IES
AN
D
SH
AR
EH
OLD
ER
S’ EQ
UIT
Y317,2
88,2
36
232,1
74,7
64
OFF-B
ALA
NC
E S
HEET I
TEM
S:
OFF-B
ALA
NC
E S
HEET I
TEM
S:
Com
mitm
ents
for
L/C
s55-1
45,0
32,6
54
50,5
53,7
57
Com
mitm
ents
for
L/C
s55-1
45,0
32,6
54
50,5
53,7
57
Com
mitm
ents
for
L/G
s55-2
28,8
21,3
22
25,0
39,9
92
Com
mitm
ents
for
L/G
s55-2
28,8
21,3
22
25,0
39,9
92
Oth
er C
omm
itm
ents
55-3
12,8
10,6
24
1,1
20,8
59
Oth
er C
omm
itm
ents
55-3
12,8
10,6
24
1,1
20,8
59
Man
aged
Funds
55-4
745
744
Man
aged
Funds
55-4
745
744
BA
NK
PA
SAR
GA
D (
PLC
.)C
ON
SO
LID
AT
ED
STA
TE
ME
NT
OF
FIN
AN
CIA
L P
OS
ITIO
N A
T M
AR
CH
20
, 2
01
3
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r 57
Annual Report2012 / 2013
INCOME: Note 2013/2012 (Restated) 2012/2011
m.IRR m.IRR
Incom on Credit Facilities Granted 38 30,000,929 22,614,373 Incom on Investment and Deposits 39 7,539,284 5,457,540 Sales and Services Income 40 10,031,614 11,642,664 Commission Income 41 4,975,775 2,428,808 Foreign Exchange Transactions - Net Gain 42 8,572 517,184 Other Income 43 833,369 397,954 Total Income 53,389,543 43,058,523 Expenses: Depositor’s Share of Joint Income 44 (24,554,316) (18,839,712)Cost of Goods and Services Sold 46 (8,617,353) (10,707,306)Personnel Expense 47 (1,621,462) (1,176,788)General and Administrative Expense 48 (1,197,683) (938,635)Doubtful Debts Expense 49 (1,689,547) (780,832)Finance Cost 50 (1,061,078) (442,353)Net Other Income (Expense) 51 (22,194) (218,123)Total Expense (38,763,633) (33,103,749)Profit Before Tax 14,625,910 9,954,774 Tax (1,068,099) (412,739)Net Profit 13,557,811 9,542,035 Minority Interest (1,337,109) (501,240)
Earning per Share (Based on Number of Shares Outstanding at Balance Sheet Date)
Earning per Share-IRR. 407.36 331.67 Number of Shares Outstanding at Balance Sheet Date (Million Shares) 30,000 27,258 Earning Per Share-IRR. (Based on Weighted Average Number of Shares Outstanding During the Year after Tax)
Earning per Share-IRR. 428.65 346.66
Weighted Average Number of Shares Outstanding During the Year (Million Shares) 28,510 26,080
Movements of Consolidated Retained Earnings
Net Profit 13,557,811 9,542,035 Retained Earnings at the Beginning of the Year 8,209,665 5,592,128 Prior Periods Adjustments (2,842,834) (3,714,405)Retained Earnings Available for Allocation 18,924,642 11,419,758 Less: Profit Allocation Declared Dividends (6,310,796) (4,162,831)Statutory Reserve (1,986,985) (1,398,293)Discretionary Reserve (662,329) (491,803)Capital Raise (16,200) - Total Profit Allocated During the Year (8,976,310) (6,052,927)Retained Earnings at the End of the Year 9,948,332 5,366,831 Minority Interest in Retained Earnings 434,953 615,754
BANK PASARGAD (P.L.C)
COMPREHENSIVE CONSOLIDATED STATEMENT OF INCOME FOR YEAR ENDED MARCH 20, 2013
2013/2012 (Restated) 2012/2011
m.IRR m.IRR
Net Profit 13,557,811 9,542,035 Unrealized Loss (3,056) (1,500)Comprehensive Prof 13,554,755 9,540,535 Prior Periods Adjustments (2,842,834) (3,720,462)Total Recognized Comprehensive Profit (from Last Year Report)
10,711,921 5,820,073
Minority Interest 1,306,582 461,807
BANK PASARGAD (PLC.)CONSOLIDATED STATEMENT OF INCOME FOR FINANCIAL YEAR ENDED MAECH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r58
Annual Report2012 / 2013
Note 20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
OPERATING ACTIVITIES:
Net Cash In-flow (Out-flow) from Operating Activities 52 20,849,925 22,808,763
RETURN ON INVESTMENTS AND SERVICING OF FINANCE:
Dividends Received 193,400 168,211
Dividends Paid (4,241,063) (224,840)
Finance Cost (337,564) (868,070)
Net Cash In-flow (Out-flow) from Return on Investments and Servicing of Finance (4,385,227) (924,699)
TAXATION:
Corporate Taxes Paid (1,989,721) (337,355)
INVESTING ACTIVITIES:
Proceeds from Sale (Payments for Acquisition) of Investments & Participations (584,049) (8,862,501)
Payments for Purchase of Tangible Fixed Assets (12,065,342) (5,332,794)
Proceeds from Sale (Payment for Acquisition) of Investments 1,927,299 907,799
Payments for Acquisition of Intangible Assets (5,483) (304,101)
Proceeds from Sale of Fixed Assets 1,820,750 102,560
Net Cash In-flow (Out-flow) from Investing Activities (8,906,825) (13,489,037)
Net Cash In-flow (Out-flow) before Financing Activities 5,568,152 8,057,672
FINANCING ACTIVITIES:
Receipts from Capital Raise 579,202 921,562
Receipt of Facilities 4,521,308 6,990,841
Net Cash In-flow (Out-flow) from Financing Activities 5,100,510 7,912,403
Foreign Currency Fluctuations 8,572 517,027
Net Increase (Decrease) in Cash 10,677,234 16,487,102
Cash at the Beginning of the Year 18,352,534 1,865,432
Cash at the End of the Year 29,029,768 18,352,534
BANK PASARGAD (PLC.)CONSOLIDATED STATEMENT OF CASH FLOW FOR THE FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r 59
Annual Report2012 / 2013
AS
SETS
:N
ote
20
Marc
h
20
13
(Rest
ate
d)
19
Marc
h 2
01
2LIA
BIL
ITIE
S:
Note
20
Marc
h 2
01
3(R
est
ate
d)
19
Marc
h 2
01
2
m.I
RR
m.I
RR
m.I
RR
m.I
RR
Cas
h5
758,0
98
1,1
11,2
80
Due
to C
BI
21
4,4
70,3
14
6,0
97,1
61
Due
from
CBI
6 2
8,5
44,9
93
20,
851,
525
Dem
and D
epos
its
22
17,4
18,5
58
8,9
85,6
93
Due
from
Oth
er B
anks
and C
redit F
inan
cial
Inst
itution
s
7 5
1,4
87,7
27
35,
654,
974
Sav
ing D
epos
its
23
3,7
13,8
87
2,8
47,4
63
Part
icip
atio
n P
aper
s8
11,8
64,4
71
5,8
25,7
18
Term
Dep
osits
24
194,3
70,3
04
144,4
61,5
48
Cre
dit F
acili
ties
Gra
nte
d9
174,7
89,2
26
137
,326
,879
O
ther
Dep
osits
25
10,0
19,4
85
12,0
64,4
43
Oth
er A
ccou
nts
Rec
eiva
ble
11
6,2
53,9
24
1,6
99,0
59
Oth
er A
ccou
nts
Pay
able
and P
rovi
sion
s27
13,0
80,2
47
2,7
90,4
99
Inve
stm
ents
15, 16
11,9
27,0
19
11,
264,
646
Cor
por
ate
Tax
Prov
isio
n30
2,0
42,5
71
3,1
20,9
35
Tangib
le F
ixed
Ass
ets
17
6,8
00,0
29
4,2
50,7
86
Ret
urn
on D
epos
its
Paya
ble
31
3,5
13,4
42
2,7
53,3
29
Inta
ngib
le A
sset
s18
2,0
14,2
66
1,5
35,8
09
Div
iden
ds
Paya
ble
32
146,0
35
152,2
17
Oth
er A
sset
s19
2,6
23,8
73
2,2
87,7
70
Prov
isio
n for
Em
plo
yees
Ret
irem
ent
33
179,0
48
118,6
60
TO
TA
L L
IAB
ILIT
IES
248,9
53,8
91
183,3
91,9
48
SH
AR
EH
OLD
ER
S’ EQ
UIT
Y:
Note
20
Marc
h 2
01
3(R
est
ate
d)
19
Marc
h 2
01
2
Shar
e Cap
ital
34
30,0
00,0
00
27,2
58,0
00
Sta
tuto
ry R
eser
ve35
5,6
18,0
30
3,6
31,0
45
Dis
cret
ionar
y Res
erve
36
1,8
72,6
76
1,2
10,3
48
Ret
ained
Ear
nin
gs
10,6
19,0
29
6,3
17,1
05
TO
TA
L S
HA
REH
OLD
ER
S’ EQ
UIT
Y 4
8,1
09,7
35
38,4
16,4
98
TO
TA
L A
SS
ETS
297,0
63,6
26
221
,808
,446
TO
TA
L L
IAB
ILIT
IES
AN
D S
HA
REH
OLD
ER
S’
EQ
UIT
Y
297,0
63,6
26
221,8
08,4
46
OFF-B
ALA
NC
E S
HEET
ITEM
S:
OFF-B
ALA
NC
E S
HEET I
TEM
S:
Com
mitm
ents
for
L/C
s55-1
43,7
86,6
54
50,5
53,7
57
Com
mitm
ents
for
L/C
s55-1
43,7
86,6
54
50,5
53,7
57
Com
mitm
ents
for
L/G
s 55-2
28,2
16,5
66
25,0
39,9
92
Com
mitm
ents
for
L/G
s 55-2
28,2
16,5
66
25,0
39,9
92
Oth
er C
omm
itm
ents
55-3
12,3
76,5
94
1,1
20,8
59
Oth
er C
omm
itm
ents
55-3
12,3
76,5
94
1,1
20,8
59
Man
aged
Funds
55-4
745
744
Man
aged
Funds
55-4
745
744
BA
NK
PA
SAR
GA
D (
PLC
.)ST
AT
EMEN
T O
F FI
NA
NC
IAL
PO
SIT
ION
AT
MA
RC
H 2
0, 2
013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r60
Annual Report2012 / 2013
Note 2013/2012 (Restated) 2012/2011
m.IRR m.IRR
JOINT INCOME:
Income on Credit Facilities Granted 38 32,063,460 24,137,335
Income on Investments and Deposits 39 7,092,945 5,088,007
Gross Joint Income 39,156,405 29,225,342
On-Account Payment to Depositors 44 (24,882,089) (19,078,331)
Bank’s Share of Joint Income 14,274,316 10,147,011
Non-Joint Income
Income on Investments and Deposits 39 31,721 61,245
Commission Income 41 4,843,655 2,335,786
Foreign Exchange Transaction Gain (Loss) 42 8,572 517,184
Other Income 43 402,703 231,391
5,286,651 3,145,606
TOTAL INCOME 19,560,967 13,292,617
EXPENSE
General and Administrative Expense 47-48 (2,731,396) (2,154,758)
Doubtful Debts Expense 49 (1,847,631) (775,944)
Fee and 50 (792,800) (202,095)
TOTAL EXPENSE (5,371,827) (3,132,797)
Profit before Tax 14,189,140 10,159,820
Tax (942,572) (323,741)
Net Profit 13,246,568 9,836,079
Earning Per Share Information
Earning Per Share-IRR. (Based on Number of Shares Outstanding at Balance
Sheet Date Million Shares) 441.55 360.85
Number of Shares Outstanding at Balance Sheet Date 30,000 27,258
Earning per Share-IRR. (Based on Weighted Average Number of Shares
Outstanding During the Year) 464.62 377.15
Weighted Average Number of Shares Outstanding During the Year Million Shares 28,510 26,080
Movements of Retained Earnings
Net Profit 13,246,568 9,836,079
Retained Earnings at the Beginning of the Year 9,114,299 5,525,117
Prior Periods Adjustments (Mainly Prior Years) (2,797,194) (2,909,086)
Earnings Available for Allocation 19,563,673 12,452,110
Less: Profit Allocation
Declared Dividends (6,279,130) (4,167,790)
Statutory Reserve (1,986,985) (1,475,412)
Discretionary Reserve (662,329) (491,803)
Capital Raise (16,200)
Approved Payable Profit (8,944,644) (6,135,005)
Retained Earnings 10,619,029 6,317,105
BANK PASARGAD (PLC.)STATEMENT OF INCOME FOR THE FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r 61
Annual Report2012 / 2013
Note 20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
OPERATING ACTIVITIES:
Net Cash In-flow (Out-flow) from Operating Activities 53 18,526,628 12,985,026
RETURN ON INVESTMENTS AND SERVICING OF FINANCE:
Dividends Received 690,020 513,300
Dividends Paid (4,138,713) (14,315)
Net Cash In-flow (Out-flow) from Return on Investments and Servicing of Finance
(3,448,693) 498,985
TAXATION:
Corporate Taxes Paid (2,020,936) (267,887)
INVESTING ACTIVITIES:
Payments for Acquisition of Investments (593,044) (2,086,466)
Payments for Purchase of Fixed Assets (2,747,574) (1,887,256)
Payments for Acquisition of Intangible Assets (494,780) (225,947)
Proceeds from Sale of Investments 444,845 11,905
Activities (3,390,553) (4,187,764)
Net Cash In-Flow (out-Flow) Before Financing Activities 9,666,444 9,028,360
FINANCING ACTIVITIES:
Receipts from Subscription of Share Capital 579,202 921,562
Net Cash In-flow (Out-flow) from Financing Activities 10,245,646 9,949,922
Foreign Currency Fluctuations 8,572 517,183
Net Increase (Decrease) in Cash 10,254,218 10,467,105
Cash at the Beginning of the Year 18,142,854 7,675,750
Cash at the End of the Year 28,397,072 18,142,855
Non-Cash Transactions 54 4,596,140 8,056,438
BANK PASARGAD (PLC.)STATEMENT OF CASH FLOW FOR THE FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r62
Annual Report2012 / 2013
Group Bank
2013/2012 2012/2011 2013/2012 2012/2011
Number of Employees
Number of Employees
Number of Employees
Number of Employees
Headquarters 518 476 518 476
Tehran Branches 1,816 1,702 1,816 1,702
Other Cities Branches 1,057 1,054 1,057 1,054
Employees in Training 5 19 5 19
Affiliate Companies 3,324 2,457 - -
Total 6,720 5,708 3,396 3,251
1-4- Branches:The Bank’s number of branches were as follows at the year End:
Bank
2013/2012 2012/2011
Tehran Branches 192 192
Other Cities’ Branches 103 102
Free Zone Branches 2 2
Total 297 296
1- BANK’S ACTIVITIES
1-1- Background:Bank Pasargad was established in accordance with the establishment law of private banks of Iran, and was registered under No-254300 with the Tehran Companies Registrar Office on September 4, 2005. The Central Bank of the Islamic Republic of Iran (CBI) issued The Banking Operation License No-2849 on September 13, 2005. The head office is located at: No. 430, Mirdamad Blvd., Tehran 19697-74511, Iran
1-2- Activities: Bank Pasargad offers all kinds of banking products and services; core business includes commercial, retail, and wholesale banking. All banking activities are performed in accordance and in compliance with the regulatory laws, set by CBI.
1-3- Number of employees:Number of employees working for the Bank and the Group were as follows at year End:
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r 63
Annual Report2012 / 2013
2- BASIS FOR PREPARATION OF FINANCIAL STATEMENTS
The Bank’s financial statements are prepared on a historical cost basis; revenues and expenses are recorded on accrual basis and in certain circumstances current values are used as well.
3- BASIS FOR CONSOLIDATION
3-1- Consolidated financial statements have been prepared based on summation of financial statements of the bank and its relevant subsidiaries after elimination of the effects of intercompany transactions and profit or losses thereto.3-2- As for subsidiaries acquired during the year, results of operations of such subsidiaries are reflected in the consolidated financial statements from date of acquisition of full-effective control and for subsidiaries sold during the year, results of operation up to date of sold would be duly reflected in the consolidation.3-3- Fiscal year of two subsidiaries namely, Pasargad Arian Construction Co. and Pasargad Mass-Construction Development Co., end in November; however, their financial statements have been consolidated with those of the Bank in the same bases using interim information with required postbalance sheet date adjustments.
4- SIGNIFICANT ACCOUNTING POLICIES
4-1- Inventories:Inventories of raw material and goods are valued at “lower of cost and net sale value” of each item. If net realizable value is less than the cost, required provisions are reflected in the accounts. Cost of inventories are calculated using weighted average method.
4-2- Investments:In Group Consolidated Account In Parent Company Account
LONG-TERM INVESTMENTS
Valuation:
Investments in Subsidiaries Eligible for Consolidation
Consolidation Method Cost method (less provision for permanent decrease in value of investment)
Long-term Investment in Affiliates Equity Method Cost method (less provision for permanent decrease in value of investment)
Other Long-Term Investments Cost Method Cost method (less provision for permanent decrease in value of investment)
SHORT-TERM INVESTMENTS
Marketable Investment Lower of cost or net realizable value investment portfolio
Lower of cost or NRV value of portfolio
Other Short-term Investments Lower of cost or NRV for each investment item
Lower of cost or NRV value of each investment item
Revenue Recognition:
Investment in Subsidiaries Eligible for Consolidation Upon approval of dividend by investee’s AGM (up to authorization of financial statements)
Investment in Associate Equity Method Upon approval of dividend by investee’s AGM (up to authorization of financial statements)
Other Long- term & Short-term Investments
Cost Method Upon approval of dividend by investee’s AGM (up to the balance sheet date)
Pasargad Financial Group:The group of companies related to Bank Pasargad are categorized as “Pasargad Financial Group” irrespective of subsidiary or associate of the Bank.
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r64
Annual Report2012 / 2013
4-3- Recognition of Revenue in the Parent CompanyIn accordance with paragraph 62 of the Bank Pasargad Article of Association, income from banking activities and financial facilities granted, is recorded on accrual basis. Income from banking services is realized when received. Income from investment in subsidiaries and affiliated companies is realized when declared by the investee (up to the date of authorization of financial statements). Differences arising from fluctuation in exchange rates, are recorded as revenue or loss of the period incurred. 4-4- Income from Installments Sales in Subsidiaries Income from installment sales in subsidiaries is recognized in installments. Installments’ include the principal investment plus return and, in some cases, an insurance premium.
4-5- Revenue on Lease Arrangements Revenue from capital lease arrangements is realized in installments, based on rental payments. Lease payments include investment in principal and returns earned. 4-6- Recognition of Late Payment Penalty Income In subsidiaries, late payment charges are calculated on the basis of rates stipulated in leasing contracts. However, to comply with the principle of conservatism, additional penalty charges are realized when received. 4-7- Revenues arising from lease arrangements in subsidiaries Leased properties are reflected at cost less accumulated depreciation. Depreciation is calculated on the basis of the lease net investment (in installment payments of lease) as per the related contract from the date of first installment payment using the following methods:
A- Future value of investment is calculated on the basis of the rate stipulated in the lease agreement starting from date of payment up to the first installment as “Capital”. B- Using the rate stipulated in the lease agreement, the implied return on capital is calculated at the inception of lease is calculated and any remaining differences will the depreciated along with installments.C- Investment in the beginning of each installment comprises lease capital less any depreciation calculated up to that date. D- Total depreciation expense comprises sum of annual deprecation of the assets. Maintenance and repair expenses, if any, shall be borne by the lessee.
4-8- Recognition of Projects Income (Subsidiaries) In accordance with accounting standard No.29 income from construction projects is calculated on the basis of projects’ percentage of completion. Construction costs include all expenditures related directly or indirectly to the project or allocated to it. Revenue is realized when sales are finalized, at least 20 percent of the price is received, construction activities are started and net proceeds from the project are reasonably measured . 4-9- Revenues from Insurance Contracts (Subsidiaries )
• Income from non-life insurance policies: Considering reserves provided for losses and unearned premium, net insurance premiums for non-life insurance are realized as income from insurance policies over the policy period and over loss acceptance period (for Re-insurance Agreements).• Income from life insurance policies: • Revenue from life insurance policies is realized when received and after deducting of policies returned.Reserves for contingent insurance losses are provided in the accounts, in accordance with the by-laws prescribed by the “High Council of Insurance” and the modifications thereto as well as other obligations imposed on insurance companies.
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r 65
Annual Report2012 / 2013
4-10- Fixed Assets
4-10-1- Tangible fixed assets are recorded at historical cost. Expenditures enhancing useful life, capacity or quality of such assets are capitalized and depreciated. General repair and maintenance charges are recorded as expense when incurred.
4-10-2- Fixed assets are depreciated in accordance with the rules stipulated in Article 151 of the Direct Taxation Act, using the following rates and methods.
4-10-3- Fixed assets acquired during the month are depreciated starting from the following month. In cases which assets are not deployed after its readiness due to working halt or other reasons, depreciation is calculated on 30 % above mentioned rate.
4-11- Intangible Assets In accordance with regulations set by CBI, no amortization is assumed for lease-hold premium paid for branch sites, offices, and land by the Bank. Software are amortized over three years using the straight-line method. No amortization is calculated for other intangible assets. 4-12- Realization of Income from Credit Facilities, Fines and CommissionsIn accordance with banking regulations, income from banking activities and credit facilities granted are recorded on accrual basis are as follows:
Fixed Assets Dep. Rate Dep. Method
Buildings 7%, 8%, 10% Reducing balance
Installations 20% Reducing balance
Motor Vehicles 25 % & 30% Reducing balance
Computer Hardware 3 Years Straight line
Communication Equipment 10 Years Straight line
Furniture & Fixtures 10 Years Straight line
ATM POS Machines 3 Years Straight line
Type of Income Basis for Recognition of Income
Income from facilities grantedBased on time period, balance of facilities granted and minimum expected
income
Late payment chargesBased on time period, amount of delayed payments and charge rates
foreseen in the contract on accrual basis
Commission on L/Gs When L/G is issued
Other banking services commissions When services are rendered
4-13- Basis for Calculating the Depositors’ Share of the Bank’s Joint Income:In accordance with the usury-free banking law and related regulations, income arising from facilities granted, income from investment in stocks and income from participation papers are considered as “Joint Income”; it is divided on the basis of investment capital contributed (by depositors and the Bank).
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r66
Annual Report2012 / 2013
4-14- Classification of Granted Facilities:Financial facilities are classified based on rules established by the Money and Credit Council of CBI and on the basis of time delayed payment, financial status of customer and customer’s industry, with the following categories:
Current:Maximum 2 months over-due; customer is in good financial position and industry has acceptable prospectOver-due:2 to 6 month over-due; customer is in good financial position and industry has limited growthBad Debt:6 to 18 months over-due; customer is not in good financial position and industry faces major limitationsDoubtful Debt:More than 18 months over-due; customer does not have an acceptable financial position
4-15- Provision for Doubtful Accounts: Allowance is provided for doubtful accounts, based on the Money and Credit Council of CBI, as follows:
• General provision, equal to 1.5 percent of facilities balance except overdue, deferred and doubtful accounts in which allowance for special impairment loss is provided.• Over due category 10% • Bad Debt category 20% • Doubtful debt category (based on customers capabilities) 50% to 100% • Doubtful debt category more than five years over-due 100%
4-16- Provision for Termination PayA provision, equivalent to one month salary for each full year of service, is provided in the accounts to cover employees’ termination pay.
4-17- Financial Expenses Financial expenses are recognized as expense in the period incurred, except charges directly related to acquiring an asset.
4-18- Foreign Exchange Transaction Monetary assets and liabilities in foreign currencies are converted into IRR Reference exchange rate prevailing at balance sheet date; any differences arising from exchange rate fluctuations are recorded as Foreign Exchange Translation gain or loss of the period.
4-19- Goodwill in Consolidated Financial Statements Goodwill arising from application of the purchase method in preparing consolidated financial statements is amortized over a 20 year period.
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r 67
Annual Report2012 / 2013
Group Bank
Note 20 march 2013 (Restated)
19 March 2012 20 March 2013
(Restated)19 March 2012
m.IRR m.IRR m.IRR m.IRR
Cash in Hand 5-1 640,996 748,959 637,172 746,054
Notes in Foreign Currencies 226,343 407,230 120,926 365,226
Other 500,431 159,931 - -
Petty Cash 23,024 4,840 - -
Total Cash 1,390,794 1,320,960 758,098 1,111,280
20 March 2013 (Restated) 19 March 2013
Reserve Requirement
Ratio %m.IRR
Reserve Requirement
Ratio %m.IRR
Short-term Deposits 15.5 9,874,534 15.5 7,172,918
Demand Deposits 17 4,030,830 17 1,757,206
Saving Deposits 10 46,983 10 31,956
Two to Three Years Term Deposits 11 1,665,206 11 1,133,234
Four Years Term Deposits 10 16,649 10 27,745
Five Years Term Deposits 10 7,966,275 10 6,805,336
L/G Deposits 17 339,392 17 263,957
L/C Advances 17 25,551 17 21,986
Free-zone Deposits 10 229,502 10 234,247
Total 24,194,922 17,448,585
Note 20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Statutory Deposit 6-1 24,194,922 17,448,585
Statutory Deposit Reward 208,320 169,395
Foreign Currency Demand Deposits with CBI 2,689,669 1,781,463
Other 6-2 1,452,082 1,452,082
Total 28,544,993 20,851,525
6-1- Statutory deposit with CBI is computed on the basis of Paragraph (3) of Article 14 of the Monetary and Banking Law of Iran, and in accordance with the provisions imposed by the Money and Credit Council, as follows:
6-2- The amount of m.IRR 1,452,082 was withdrawn from Bank Pasargad’s account by CBI on March 5, 2012 in accordance with CBI director’s order. The Bank has sent five letters to CBI on March 6, May 26, October 4,2012 and March 14, 2013.
5-1- Cash is counted at the end of the year. Cash is insured against theft and fire by Pasargad Insurance Co.
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
5- CASHBalance of cash includes:
6- DUE FROM CBIAmounts due from CBI includes the following items receivable by the parent company.
w w w . b p i . i r68
Annual Report2012 / 2013
Note 20 March 2013 (Restated) 19 March 2013
m.IRR m.IRR
Deposits with Local Banks (IRR.) 7-1 15,894,068 14,451,630
Long Term Deposits with Foreign Banks (foreign currencies) 7-2 2,275,523 1,195,827
Demand Deposits with Banks (Foreign Currencies) 7-2 27,630,710 17,016,764
Cheque in Clearing House 5,687,426 2,990,753
Total 51,487,727 35,654,974
7-1- Deposits with local banks (IRR)
20 March 2013 - m.IRR 19 March 2013 - m.IRR
Demand Deposits
Term Deposits
TotalDemand Deposits
Term Deposits
Total
Ghavamin Bank - - - - 15,001 15,001
Mehr Finance and Credit Institute - 2,217,585 2,217,585 - 2,387,275 2,387,275
Samen Finance and Credit Institute - 133,095 133,095 - 1,525,891 1,525,891
Mellat Bank 218 596,017 596,235 171 1,202,535 1,202,706
Sina Bank - 900,202 900,202 - 1,200,003 1,200,003
Melli Bank 2,835 201,914 204,749 1,912 80,294 82,206
Saderat Bank 3,253 4,198,016 4,201,269 5,553 2,079,212 2,084,765
Tejarat Bank 1,435 2,292,829 2,294,264 5,886 1,935,301 1,941,187
Sarmayeh Bank - 903,509 903,509 - 303,619 303,619
Tose'eh Finance and Credit Institute - - - - 400,000 400,000
Keshavarzi Bank - 55,120 55,120 - 155,082 155,082
Sepah Bank 255 983,672 983,927 1,034 435,498 436,532
Maskan Bank 63 92,425 92,488 - 38,631 38,631
Bank of Industry and Mine - 9,480 9,480 - 8,843 8,843
Refah Kargaran Bank 5 132,567 132,572 - 565,608 565,608
Tose'eh Ta'avon Bank - 455 455 - - -
Shahr Bank - 849,465 849,465 - 17,463 17,463
Tourism Bank - 1,150,000 1,150,000 - 1,150,000 1,150,000
Karsazan Ayandeh Credit Union - 18,393 18,393 - 135,817 135,817
Samen-Alhojaj Credit Union - 59,373 59,373 - - -
Molalmovahedin Credit Union - - - - 300,000 300,000
Bank Day - 826,328 826,328 - 500,000 500,000
Eghtesad Novin Bank - 10,673 10,673 - - -
Ansar Bank - 254,680 254,680 - - -
Other 200 6 206 254 747 1,001
Total 8,264 15,885,804 15,894,068 14,810 14,436,820 14,451,630
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
7- DUE FROM OTHER BANKS AND FINANCIAL INSTITUTIONS
The balance of this account includes the following items, receivable by the parent company.
w w w . b p i . i r 69
Annual Report2012 / 2013
7-2-
For
eign
Exc
hang
e Dep
osits
, seg
rega
ted
base
d on
type
of c
urre
ncy,
dep
osit
and
bank
(loc
al o
r for
eign
), w
ere a
s fol
low
s at b
alan
ce sh
eet d
ate:
US
DEU
RG
BP
JPY
AED
CH
FS
EK
TR
YC
NY
KR
WR
UB
INR
Tota
l
Invest
men
tsU
S D
ollar
m.I
RR
Eu
rom
.IR
RU
K P
ou
nd
m.I
RR
Japan
ese
Y
en
m.I
RR
UA
E D
irh
am
m.I
RR
Sw
iss
Fra
nc
m.I
RR
Sw
edis
h
Kro
na
m.I
RR
Tu
rkis
h L
ira
m.I
RR
Ch
inese
Yu
an
m.I
RR
Sou
th K
ore
an
W
on
m.I
RR
Ru
ssia
n
Ru
ble
m.I
RR
In
dia
n R
upee
m.I
RR
Base
d o
n
Exch
an
ge
Refe
ren
ce
Rate
s (m
.IR
R)
Base
d o
n B
an
k's
B
ooks
(m.I
RR
)
Dem
and
Dep
osits
(For
eign
Cur
renc
ies)
:
Dem
and
Dep
osits
with L
ocal
Ban
ks
(For
eign
Curr
enci
es)
37,8
27,3
20
463,7
63
18,6
32,6
53
294,7
12
90,1
21
1,6
68
4,0
31,0
66,0
91
555,8
08
3,6
79,6
14
12,2
75
-
-
-
-
-
-
-
-
615,5
84,1
24
6,7
70
883,4
82,8
65
363,2
21
1,6
98,2
17
1,6
98,2
17
Dem
and
Dep
osits
with
Fore
ign
Ban
ks
(For
eign
Curr
enci
es)
348
4
434,2
53,4
53
9,5
99,1
05
1,0
05,8
40
18,6
20
276,4
01,5
38
35,7
80
145,3
81,8
65
484,9
94
7,0
97
92
588,7
85
1,1
18
80,5
73,3
03
608,0
56
2,3
23,0
89,0
46
6,0
07,5
99
114,8
01,4
15,2
92
2,5
23,2
65
-
-
23,4
23,7
06,5
74
6,6
53,8
60
25,9
32,4
93
25,9
32,4
93
Tota
l D
eman
d
Dep
osits
with B
anks
(F
orei
gn
Curr
enci
es)
37,8
27,6
68
463,7
67
452,8
86,1
06
9,8
93,8
17
1,0
95,9
61
20,2
88
4,3
07,4
67,6
29
591,5
88
149,0
61,4
79
497,2
69
7,0
97
92
588,7
85
1,1
18
80,5
73,3
03
608,0
56
2,3
23,0
89,0
46
6,0
07,5
99
115,4
16,9
99,4
16
2,5
30,0
35
883,4
82,8
65
363,2
21
23,4
23,7
06,5
74
6,6
53,8
60
27,6
30,7
10
27,6
30,7
10
Term
D
epos
its:
Long-t
erm
D
epos
its
with
Fore
ign
Ban
ks
(For
eign
Curr
enci
es)
-
-
52,5
00,0
00
830,3
93
-
-
-
-
130,0
00,0
00
433,6
80
-
-
-
-
150,0
00,0
00
1,0
11,4
50
-
-
-
-
-
-
-
2,2
75,5
23
2,2
75,5
23
Tota
l Lo
ng-t
erm
D
epos
its
-
-
52,5
00,0
00
830,3
93
-
-
-
-
130,0
00,0
00
433,6
80
-
-
-
-
150,0
00,0
00
1,0
11,4
50
-
-
-
-
-
-
-
-
2,2
75,5
23
2,2
75,5
23
Tota
l 3
7,8
27,6
68
463,7
67
505,3
86,1
06
10,7
24,2
10
1,0
95,9
61
20,2
88
4,3
07,4
67,6
29
591,5
88
279,0
61,4
79
930,9
49
7,0
97
92
588,7
85
1,1
18
230,5
73,3
03
1,6
19,5
06
2,3
23,0
89,0
46
6,0
07,5
99
115,4
16,9
99,4
16
2,5
30,0
35
883,4
82,8
65
363,2
21
23,4
23,7
06,5
74
6,6
53,8
60
29,9
06,2
33
29,9
06,2
33
BA
NK
PA
SAR
GA
D (
PLC
.)N
OT
ES T
O C
ON
SOLI
DA
TED
FIN
AN
CIA
L ST
AT
EMEN
TS
FIN
AN
CIA
L Y
EAR
EN
DED
MA
RC
H 2
0, 2
013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r70
Annual Report2012 / 2013
9- CREDIT FACILITIES GRANTED
9-1- Facilities granted were as follows at balance sheet date:
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Participation Papers Purchased from Other Banks 2,621,286 3,210,350
Participation Papers of Development Plans 7,871,835 347,450
Other Paper 1,371,350 2,267,918
Total 11,864,471 5,825,718
20 March 2013
Issue DateRepayment
Date
Provisional rate of return (Percentage)
Nominal Amount (m.IRR)
Ministry of Energy 3/10/2009 2/12/2016 20 2,008,760
Siah Bisheh Dam and Pumping Energy Plant 24/7/2010 7/24/2014 20 40,000
Deposit Certificate 20/2/2012 2/18/2014 20 1,371,350
Mashhad Municipality 20/2/2010 3/6/2015 20 1,628,640
Government Civil Plans 11/22/2009 8/22/2016 20 2,992,705
Government Civil Plans 3/10/2010 5/5/2013 8 790,850
South Pars Gas Expansion 6/11/2010 10/6/2016 20 992,646
CBI 13/10/2012 12/16/2013 20 839,520
Iranian Offshore Oil Company (IOOC) 7/1/2013 1/7/2017 20 1,200,000
Total 11,864,471
Group Bank
20 March 2013 (Restated)19 March 2012 20 March 2013 (Restated)
19 March 2012
m.IRR m.IRR m.IRR m.IRR
Total facilities 172,537,974 135,271,269 183,076,898 143,750,803
Less: Deferred income (1,396,487) (1,196,628) (1,344,478) (1,328,362)
General Provision for Doubtful Debts (4,992,863) (3,212,612) (5,150,947) (3,212,612)
Special Provision for Doubtful Debts (1,792,247) (1,882,950) (1,792,247) (1,882,950)
Total 164,356,377 128,979,079 174,789,226 137,326,879
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
8- PARTICIPATION PAPERS
The balance of this account includes the following items receivable by the parent company:
w w w . b p i . i r 71
Annual Report2012 / 2013
9-1-1- Balance of bank facilities granted includes the following at balance sheet date:
9-1-3- The balance of facilities granted, categorized based on maturity date and rate of return, is as follows:
9-1-2- The following facilities, categorized in conformity with directives of the Money and Credit Council of CBI as follows:
20 March 2013
m.IRR
Current 172,552,538
Over-due Debt 2,207,606
Bad Debt 4,549,011
Doubtful Debt 3,767,743
Total 183,076,898
Less: Deferred Income (1,344,478)
Provision for Doubtful Accounts (General) (5,150,947)
Provision for Doubtful Accounts (Special) (1,792,247)
Total 174,789,226
20 March 2013 19 March 2012
BalanceDeferred interest
Provision for bad debt Net Balance (Net)
m.IRR m.IRR m.IRR m.IRR
Credit Facilities (IRR) 172,057,152 (1,344,478) (6,522,178) 164,190,496 128,258,523
Qarz-ol-hassaneh(interest-free loan) 2,428,848 (92,795) 2,336,053 2,860,407
Debtors-L/Cs 8,071,589 (308,380) 7,763,209 5,722,503
Debtors-L/Gs 519,309 (19,841) 499,468 485,446
Total 183,076,898 (1,344,478) (6,943,194) 174,789,226 137,326,879
20 March 2013
Higher than
24% 21-24 % 18-21 % 15-18 % 12-15 %
12% and
lower Total
m.IRR m.IRR m.IRR m.IRR m.IRR m.IRR m.IRR
Over-due Debt 7,252,078 3,003,897 - 329 161 267,896 10,524,361
20/3/2014 96,575,897 18,917,654 10,779,778 433,671 738,534 25,723,553 153,169,087
19/3/2015 6,236,951 1,897,392 18,218 590,671 77,741 49,237 8,870,210
20/3/2016 3,157,766 353,769 349,626 54,193 163,754 9,864 4,088,972
After 20/3/2016 1,591,541 1,019,748 627,623 136,755 225,079 2,823,522 6,424,268
114,814,233 25,192,460 11,775,245 1,215,619 1,205,269 28,874,072 183,076,898
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r72
Annual Report2012 / 2013
9-1-4- The balance of facilities granted by the Bank, categorized based on collateral, is as follows:
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Facilities Granted for Pledged Land and Building 32,353,553 59,354,514
Facilities Granted for Pledged Shares of Stock 3,405,638 6,620,383
Facilities Granted for Pledged Checks 147,261,713 77,722,228
Facilities Granted for Pledged Participation Papers 55,994 53,678
Total 183,076,898 143,750,803
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r 73
Annual Report2012 / 2013
9-1-
5- T
urn
of F
acili
ties G
rant
ed:
Tu
rn o
f fac
ilitie
s gra
nted
by
the p
aren
t (in
the f
ram
ewor
k of
Isla
mic
ban
king
cont
ract
s) w
ere a
s fol
low
s dur
ing
the y
ear:
Faci
liti
es
Pri
nci
pal A
mou
nts
Inco
me f
rom
Faci
liti
es
Bala
nce
Mach
20
12
Gra
nte
dR
ece
ived
Marc
h
20
13
Mach
2
01
2G
ran
ted
Rece
ived
Marc
h
20
13
Mach
20
12
Marc
h 2
01
3
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
Inst
allm
ent
Sal
es
Con
trac
ts 2
,819,1
44
802,0
48
(1,0
73,5
88)
2,5
47,6
04
(849,5
94)
(217,8
76)
54,1
21
(1,0
13,3
49)
1,9
69,5
50
1,5
34,2
55
Ju'a
lah
3,2
71,7
63
10,7
21,8
02
(11,7
90,3
35)
2,2
03,2
30
(444,5
32)
(762,0
10)
885,5
94
(320,9
50)
2,8
27,2
31
1,8
82,2
80
Leas
e ar
rangem
ents
4,7
08
1,4
98
(2,3
50)
3,8
56
(605)
-
315
(290)
4,1
03
3,5
66
Qar
d A
l-H
asan
ah 2
,966,4
83
12,1
07,5
74
(12,6
45,2
09)
2,4
28,8
48
-
-
-
-
2,9
66,4
83
2,4
28,8
48
Mudar
abah
19,9
14,6
45
106,3
49,1
84
(105,9
49,0
86)
20,3
14,7
44
-
-
-
-
19,9
14,6
45
20,3
14,7
44
Zem
an 5
03,4
59
2,6
83,3
75
(2,6
67,5
24)
519,3
09
-
-
-
-
503,4
59
519,3
09
Mush
arak
ah 1
07,4
33,6
45
558,1
90,5
16
(518,6
93,6
68)
146,9
30,4
94
-
-
-
-
107,4
33,6
45
146,9
30,4
94
Fact
orin
g 9
02,1
15
419,2
89
(1,3
21,4
04)
-
(33,6
31)
-
33,6
31
-
868,4
84
-
Mura
bah
ah -
7
1,3
21
(14,0
97)
57,2
24
-
(10,8
28)
1,3
08
(9,8
89)
-
47,3
35
L/C's
5,9
34,8
41
398,1
43,4
28
(396,0
06,6
80)
8,0
71,5
89
-
-
-
-
5,9
34,8
41
8,0
71,5
89
Tota
l 1
43,7
50,8
03
1,0
89,4
90,0
35
(1,0
50,1
63,9
41)
183,0
76,8
98
(1,3
28,3
62)
(990,7
14)
974,9
69
(1,3
44,4
78)
142,4
22,4
41
181,7
32,4
20
BA
NK
PA
SAR
GA
D (
PLC
.)N
OT
ES T
O C
ON
SOLI
DA
TED
FIN
AN
CIA
L ST
AT
EMEN
TS
FIN
AN
CIA
L Y
EAR
EN
DED
MA
RC
H 2
0, 2
013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r74
Annual Report2012 / 2013
Group
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Trade Accounts and Notes 1,999,769 2,162,655
Receivables from Insured and Representatives 224,494 229,034
Insurers’ Share of Technical Reserves 997,601 566,630
Receivables from Insurers and Reinsurers 119,806 47,239
Receivable from Subsidiaries 312,796 211,146
Dividends Receivable 21,943 6,395
Receivable from Others 2,110,786 1,714,495
Total 5,787,195 4,937,594
Bank
20 March 2013 (Restated) 19 March 2013
m.IRR m.IRR
Saman Sakht Arian Co. 85,337 -
Modaberan Sakht Arian 23,373 -
Other Firms and Real Persons 62,823 8,293
Income on Participation Papers and Deposits 581,042 176,230
Dividend Income from Listed Companies 111,685 18,810
Daily Return Paid on Participation Papers 2,508,610 -
Other Legal Entities and Companies 1,731,066 1,043,247
Total 5,103,936 1,246,580
11-1- Balance of other accounts receivable for the bank are as follows:
Group Bank
Note 20 March 2013 (Restated)19 March 2013 20 March 2013 (Restated)
19 March 2013
m.IRR m.IRR m.IRR m.IRR
Other Accounts Receivable 11-1 7,473,113 1,056,318 5,103,936 1,246,580
Notes Receivable 255,018 219,832 177,942 186,377
Other Temporary Receivables 317,117 91,116 972,046 266,102
Total 8,045,248 1,367,266 6,253,924 1,699,059
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
10- ACCOUNTS AND NOTES RECEIVABLE
Balance of this account is the amounts receivable by subsidiaries as follows:
11- OTHER ACCOUNTS AND NOTES RECEIVABLE
Balance of this account is comprised of the following:
w w w . b p i . i r 75
Annual Report2012 / 2013
Group
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Inventory of Properties and Building Projects 4,150,498 3,261,027
Inventory of Goods and Parts 351,586 226,108
Inventory of Cards 9,611 13,142
Our Goods on Consignment 89,615 39,712
Total 4,601,310 3,539,989
Group
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Foreign orders purchase 72,708 1,051
Prepayment for purchase of goods and services 411,346 79,666
Sumptuary prepayment 2,386 459
Other prepayment 396,273 182,824
Total 882,713 264,000
Group
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Investment in Capital Leases at the Beginning of the Year 1,632,899 1,680,013
Additions During the Year 35,487 430,747
Reductions During the Year (500,849) (477,861)
Net Investment in Capital Leases 1,167,537 1,632,899
Capital Lease Payments Received, Beginning of the Year (1,134,910) (1,051,640)
Capital Lease Payments Received During the Year (352,828) (557,567)
Reduction of Capital Leases for Contracts Fully Paid 488,478 474,297
Capital Lease Amortization (999,260) (1,134,910)
Capital Leases at the End of the Year 168,277 497,989
* Inventories are insured against fire, flood, and earthquake loss.
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
12- INVENTORIES
Balance of this account includes inventories held by subsidiaries as follows:
14- CAPITAL LEASES
The amount reflected as lease on the balance sheet is comprised of capital leases of Machinery Leasing Co. (subsidiary of the Bank).
13- PREPAYMENTS AND ORDERS
Balance of this account represents orders and prepayments by the subsidiaries are as follows:
w w w . b p i . i r76
Annual Report2012 / 2013
Group Bank
20 March
2013
(Restated)19 March
2012
20 March
2013
(Restated)19 March
2012
m.IRR m.IRR m.IRR m.IRR
Pasargad Insurance Co. - - 126,000 126,000
Mabnaye Khavar Miyaneh Co. - - 695,012 616,099
Bank Pasargad E-Payment Co. - - 60,000 60,000
Bank Pasargad Brokerage Co. - - 34,300 24,500
Pasargad Aryan ICT Co. - - 98,980 49,000
Tamin Atiyeh Co. 65 6,316 - -
Pasargad Investment Financial Services Co. - - - 20
Bank Pasargad Machinery and Equipment Leasing Co. - - 28,915 18,115
MIDHCO - - 1,655,398 1,041,117
Pasargad Mass Construction Development Co. - - - 2,500
Pasargad Energy Development Co. 47,200 253,520 - 126,520
Saman Sakht Aryan Co. - - 4,099,400 4,099,400
Pasargad Arzesh Afarinan Co. - - 1,959,905 1,959,905
Modaberane Sakht Aryan Co. - - 1,590,000 1,590,000
Pasargad Leasing Co. - - 335,000 335,000
Hashtom Urban Construction Co. - - - 201,000
Iranian Rahbord Sarmayeh Co. - 98 - -
Pasargad Noandish Technology Development Co. - 2,000 - -
Pasargad International Energy Co. 1,000 1,000 - -
Pasargad Exchange Co. - - 56,000 35,000
Arian Engineering System Construction Management Co. - 98,610 - 18,810
Iranian Reinsurance Co. 221,167 190,489 41,400 41,400
Iran Cultural Heritage & Touring Investment Co. 18,999 20,000 - -
Pey Pisheh Co. 1,850 1,850 - -
Ayande Negar Commercial Co. 2 2 - -
Pasargad Andisheh Negar Trade Development Co. 2 2 - -
Pasargad Tadbirgaran 2 2 - -
Pasargad Group Trade Development Co. 18,480 18,480 - -
Pasargad Pars Heritage Co. 4,270 2,660 - -
Pasargad Technology Innovation Co. - 3,375 - -
Pasargad Research and Management & Human Capital
Development Institute - 12,700 20,400 12,400
Arzesh Pardaz Aryan Investment Consulting Co. - 4,180 - 2,200
Banking Research and Studies Institute 2,200 2,200 - -
Pardis Shakhes Data Processing Co. 16 16 - -
Sepehr Energy Dynamic Development Co. - 9,507 - -
Aryan Pasargad Mutual Fund 30,000 - 30,000 -
Total 345,253 627,007 10,830,710 10,358,986
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
15- INVESTMENTS IN SUBSIDIARIES AND ASSOCIATES
Long-term investments include the following:
w w w . b p i . i r 77
Annual Report2012 / 2013
15-1- Consolidated subsidiaries and affiliates are as follows:
Percentage of Ownership
Country Group Bank Main Activity
Saman Sakht Aryan Co. Iran 99.97 99.90 Civil works
Pasargad Arzesh Afarinan Co. Iran 98.00 98.00 Economical, technical, financial and credit services
Modaberane Sakht Aryan Co. Iran 99.79 45.00 Participation and investment in construction material production companies
Pasargad Leasing Co. Iran 68.47 67.00 Building leasing
Hashtom Urban Construction Co. Iran 83.95 0.00 Civil works
Bank Pasargad E-Payment Co. Iran 66.86 60.00 Electronic banking services
Bank Pasargad Brokerage Co. Iran 62.72 49.00 Stock market brokerage
Pasargad Investment Financial Services Co. Iran 58.78 0.00 Valuation services
Pasargad Aryan ICT Co. Iran 49.00 49.00 IT and communications
Mabnaye Khavar Miyaneh Co. Iran 62.89 43.84 Investment and mining
Pasargad Mass Construction Development Co. Iran 59.71 0.00 Investment in building projects
Bank Pasargad Machinery and Equipment Leasing Co. Iran 70.03 18.00 Industrial machinery leasing
Iranian Modaberan Tejarat Iranian Co. Iran 97.99 0.00 Economical, technical, financial and credit services
Aryan Pasargad Construction Management Co. Iran 68.08 0.00 Civil works
Pasargad Aryan Technical Support Co. Iran 95.06 0.00 Technical support services
Nazm Avaran Shayesteh Co. Iran 97.99 0.00 Economical, technical, financial and credit services
Pasargad Exchange Co. Iran 84.70 70.00 Currency exchange
MIDHCO Iran 49.56 19.68 Investment in companies, civil works, and building factories
Pasargad Poyan Energy Industrial Development Co. Iran 64.48 - Power production projects
Pasargad Taban Energy Industrial Development Co. Iran 55.14 - Consulting advisory in power plant projects
Iranian Rahbord Sarmayeh Co. Iran 61.63 - Investment in construction and trade projects
Pasargad Research and Management & Human Capital Development Institute
Iran 55 40 Technical and educational consultation
Iranian Saman Tejarat Tadbir Co. Iran 99.97 - Production & purchase & sale& import &export trading commodity
Pasargad Insurance Co. Iran 25.22 20 Insurance services
1- Subsidiaries consolidated comprise Datamkish Co., Qeshm Pasargad Aryan Co., Fanavar Kara Danesh Pajohan Co., and Attic Intelligent Technology Development Co., Mandegar Persian Afzar Co., Rashed System Electronic Co., Pasargad Technology Innovation Co., Derik Iranian Development Co., Datis Aryan Qeshm Co.
2- Subsidiaries consolidated include Iranian Mana Industries Renovation and construction Development Co., Middle East Shining Sun Co., Zarand Iranian Steel Co., Sirjan Steel Co., Middle East Industrial standard Engineering Co., Ferosilis Gharb Pars Co., Abyek Mana Construction Development, Karavaran Industry , Pabdana Coal Processing Co, Samangan Transportation Iranian Co, Middle East Shining Sun Brokerage.
3- Although Group’s interest in Pasargad Insurance is less than 50%, due to the parent Co.’s control, the said company is also consolidated; There are no other companies requiring equity method for accounting in investment.
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r78
Annual Report2012 / 2013
Group Bank
20 March 2013
19 March 2012
20 March 2013
19 March 2012
m.IRR m.IRR m.IRR m.IRR
Investment in Listed Companies 4,354,308 3,101,285 991,666 926,005
Provision for Loss on Value of Investments - (42,307) - (42,307)
Participation and Investment in Properties and
Projects 435,367 334,358 - -
Participation Papers and Deposit Certificates 259,917 338,924 - -
Investment in Non-listed Companies 542,493 626,330 104,643 21,962
Other Participations 19,470 219,395 - -
Total 5,611,555 4,577,985 1,096,309 905,660
16-1- INVESTMENTS BY THE PARENTDirect investment by the Bank in subsidiaries and associate companies as well as investments in shares of listed stocks were as follows:
Note 20 March 2013 (Restated)19 March 2012
m.IRR m.IRR
Direct Investment in Financial Group Companies 15 10,830,710 10,358,986
Other Investments 16 1,096,309 905,660
Total 11,927,019 11,264,646
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
16- OTHER INVESTMENTS
Other investments by the bank and the group are comprised of the following:
w w w . b p i . i r 79
Annual Report2012 / 2013
CO
ST
AC
CU
MU
LA
TED
DEP
REC
IATIO
NB
OO
K V
ALU
E
20
Marc
h
20
13
Addit
ion
s
Fix
ed
A
ssets
S
old
Mo
vem
en
ts &
A
dju
stm
en
ts2
0 M
arc
h
20
13
19
Marc
h
20
12
Dep.
Ch
arg
es
of
the
Year
Acc
. D
ep.
of
Fix
ed
A
ssets
S
old
Oth
er
Adju
stm
en
ts1
9 M
arc
h
20
12
20
Marc
h
20
13
(Rest
ate
d)
19 M
arc
h
2012
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
Land
1,2
97,7
08
325,6
51
(8,2
04)
73,4
13
1,6
88,5
68
-
-
-
-
-
1,6
88,5
68
1,2
97,7
09
Build
ings
1,0
28,5
69
243,0
48
(129,3
00)
103,6
89
1,2
46,0
06
200,4
52
82,0
49
(20,2
75)
-
262,2
26
978,8
07
802,5
47
Veh
icle
s 5
2,6
74
15,2
58
(125)
(718)
67,0
89
28,2
94
9,8
73
(76)
(544)
37,5
47
29,5
42
24,4
50
Inve
stm
ents
45,0
97
10,9
03
-
(12,3
79)
43,6
21
40,1
46
3,7
68
-
-
43,9
14
4,6
80
4,9
52
Com
pute
r H
ardw
are
765,5
41
261,7
39
(42)
1,9
00
1,0
29,1
38
490,1
83
135,4
85
-
(991)
624,6
77
404,4
61
291,7
89
Offi
ce F
urn
iture
an
d F
ixtu
res
111,9
56
88,7
79
(2,3
58)
(1,3
75)
197,0
02
106,8
68
46,0
55
(1,2
87)
(4,2
57)
147,3
79
49,6
23
196,1
29
Equip
men
t 1
2,9
12
7,4
47
(2,7
94)
(78)
17,4
87
6,8
63
1,9
85
-
(2,3
59)
6,4
89
10,9
98
4,9
46
Inst
alla
tion
s 3
,300
2,9
42
-
-
6,2
42
1,1
98
384
-
-
1,5
82
4,6
60
1,0
64,2
04
Ass
ets
on
Con
signm
ent
10,0
13
393
-
-
10,4
06
4,3
29
814
-
-
5,1
43
5,2
63
5,6
84
Mac
hin
ery
and
Equip
men
t 1
44,5
43
148,8
16
(11,7
65)
10,3
98
291,9
92
39,2
06
27,2
69
(8,2
23)
(14)
58,2
38
233,7
54
106,3
93
3,4
72,3
13
1,1
04,9
76
(154,5
88)
174,8
50
4,5
97,5
51
917,5
39
307,6
82
(29,8
61)
(8,1
65)
1,1
87,1
95
3,4
10,3
56
3,7
98,8
03
Ass
ets
Under
Con
stru
ctio
n a
nd
Prep
aym
ents
9,8
29,5
62
11,9
49,4
48
(1,6
75,2
72)
(929,7
85)
19,1
73,9
53
-
-
-
-
-
19,1
73,9
53
8,8
27,8
45
Tota
l 13,3
01,8
75
13,0
54,4
24
(1,8
29,8
60)
(754,9
35)
23,7
71,5
04
917,5
39
307,6
82
(29,8
61)
(8,1
65)
1,1
87,1
95
22,5
84,3
09
12,6
26,6
48
Tangib
le fi
xed a
sset
s ar
e fu
lly insu
red a
gai
nst
ear
thquak
e, fi
re, an
d fl
ood.
BA
NK
PA
SAR
GA
D (
PLC
.)N
OT
ES T
O C
ON
SOLI
DA
TED
FIN
AN
CIA
L ST
AT
EMEN
TS
FIN
AN
CIA
L Y
EAR
EN
DED
MA
RC
H 2
0, 2
013
REPORT OF THE INDEPENDENT AUDITOR
17
- TA
NG
IBLE F
IXED
AS
SETS
17-1
- Mov
emen
t of F
ixed
Ass
ets a
nd a
ccum
ulat
ed d
epre
ciat
ion
of th
e Gro
up w
ere a
s fol
low
s:
w w w . b p i . i r80
Annual Report2012 / 2013
CO
ST
AC
CU
MU
LA
TED
DEP
REC
IATIO
NB
OO
K V
ALU
E
19
Marc
h
20
12
Addit
ion
s
Fix
ed
A
ssets
S
old
Movem
en
ts
&
Adju
stm
en
ts2
0 M
arc
h
20
13
19
Marc
h
20
12
Dep.
Ch
arg
es
of
the Y
ear
Acc
. D
ep.
of
Fix
ed
A
ssets
Sold
Oth
er
Adju
stm
en
ts
20
M
arc
h
20
13
20
M
arc
h
20
13
19
Marc
h
20
12
NO
TE
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
m.I
RR
A-F
ixed
Ass
ets
:
17-2
-1
Land
17-2
-1-1
865,2
10
98,2
17
-
(3,7
50)
950,6
77
-
-
-
-
-
950,6
77
865,2
10
Leas
ehol
d I
mpro
vem
ents
1
7-2
-1-3
45,0
97
10,9
03
-
(12,3
79)
43,6
21
40,1
46
3,7
68
-
(4,9
73)
38,9
41
4,6
80
4,9
51
Build
ings
17-2
-1-2
590,1
76
54,4
05
-
(6)
644,5
75
150,9
56
42,4
65
-
4,9
73
198,3
94
446,1
81
439,2
20
TOTA
L 1
,491,4
83
163,5
25
-
(16,1
35)
1,6
38,8
73
191,1
02
46,2
33
-
-
237,3
35
1,4
01,5
38
1,3
00,3
81
B-M
ovab
le A
ssets
:
17-2
-2
Com
pute
r H
ardw
are
17-2
-2-1
668,8
11
197,5
34
-
(1,2
79)
865,0
66
468,6
27
110,5
62
-
(950)
578,2
39
286,8
27
200,1
84
Veh
icle
s
17-2
-2-2
18,1
08
7,5
71
-
(668)
25,0
11
7,8
18
4,2
20
-
(531)
11,5
07
13,5
04
10,2
90
Furn
iture
and F
ixtu
res
17-2
-2-3
242,5
99
53,2
57
-
(5,3
39)
290,5
17
91,9
25
37,3
16
-
(4,2
43)
124,9
98
165,5
19
150,6
74
Tota
l M
ovab
le A
sset
s 9
29,5
18
258,3
62
-
(7,2
86)
1,1
80,5
94
568,3
70
152,0
98
-
(5,7
24)
714,7
44
465,8
50
361,1
48
Tota
l 2
,421,0
01
421,8
87
-
(23,4
21)
2,8
19,4
67
759,4
72
198,3
31
-
(5,7
24)
952,0
79
1,8
67,3
88
1,6
61,5
29
Ass
ets
Under
Con
stru
ctio
n
17-2
-3-1
475,0
32
403,9
50
-
(462,0
26)
416,9
56
--
--
- 4
16,9
56
475,0
32
Prop
erty
Acq
uis
itio
n
Prep
aym
ents
17-2
-3-2
1,7
04,2
48
3,2
10,3
99
-
(572,1
68)
4,3
42,4
79
--
--
-4,3
42,4
79
1,7
04,2
48
Proj
ect
and R
econ
stru
ctio
n
Prep
aym
ents
17-2
-3-3
409,9
77
202,7
61
-
(439,5
32)
173,2
06
--
--
- 1
73,2
06
409,9
77
Tota
l 2
,589,2
57
3,8
17,1
10
-
(1,4
73,7
26)
4,9
32,6
41
--
--
-4,9
32,6
41
2,5
89,2
57
Gra
nd T
otal
5,0
10,2
58
4,2
38,9
97
-
(1,4
97,1
47)
7,7
52,1
08
759,4
72
198,3
31
-
(5,7
24)
952,0
79
6,8
00,0
29
4,2
50,7
86
All
fixe
d a
sset
s ar
e under
full
insu
rance
cov
erag
e.
17-2
- Mov
emen
ts o
f Fix
ed A
sset
s and
pro
visio
n fo
r dep
reci
atio
n of
the
Bank
dur
ing
the
year
wer
e as
follo
ws:
BA
NK
PA
SAR
GA
D (
PLC
.)N
OT
ES T
O C
ON
SOLI
DA
TED
FIN
AN
CIA
L ST
AT
EMEN
TS
FIN
AN
CIA
L Y
EAR
EN
DED
MA
RC
H 2
0, 2
013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r 81
Annual Report2012 / 2013
17-2-1- Fixed assets are categorized as follows:
Note 20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Land 17-2-1-1 950,677 856,210
Buildings 17-2-1-2 644,575 590,176
Leasehold Improvements 17-2-1-3 43,621 45,097
Total 1,638,873 1,491,483
Note 20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Computer equipment 17-2-1-1 865,066 668,811
Vehicles 17-2-1-2 25,011 18,108
Furniture and Fixtures 17-2-1-3 290,517 242,599
Total 1,180,594 929,518
17-2-1-1- Million IRR 94,467 increase in land relates to acquisition of Estakhr Av.,Yasooj, Apadana and Ahvaz lands.17-2-1-2- MillionIRR 54,399 increase in buildings relates to the Estakhr Av.,Yasooj, Apadana Ahvaz and Ardebil buildings.17-2-1-3- Million IRR 1,476 relate to decrease of Leasehold Improvements in Ahvaz, Jomhori,Shiraz,Mashhad and Sardar Jangal.
17-2-2- Movable Assets are categorized as follows:
17-2-2-1- Million IRR 196,255 increase relates to purchase of Computer Equipments.17-2-2-2- Million IRR 6,903 increase relates to purchase of Vehicles .17-2-2-3- Million IRR 47,918 increase relates to purchase of Desk, Chair, Refrigerator, and other office equipment.
17-2-3- Detail of assets under construction and prepayments are as follows:
Note March 20, 2013 (Restated) 19 March 2012
m.IRR m.IRR
Assets under Construction 17-2-3-1 416,956 475,032
Prepayment for Acquisition of Properties 17-2-3-2 4,342,479 1,704,248
Prepayment for Projects and Reconstructions 17-2-3-3 173,206 409,977
Total 4,932,641 2,589,257
17-2-3-1- Million IRR 58,076 decrease relate to transfer of Bank’s projects in the process of completion to fixed assets account. 17-2-3-2- Million IRR 2,638,231 increase relate to acquisition of new property.17-2-3-3- Million IRR 236,771 relate to payments made to contractors for renovating and constructing of Bank’s projects.
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r82
Annual Report2012 / 2013
17-3- Ratio of Bank’s assets’ book value to shareholders’ equity is as follows:Bank
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Assets’ Book Value 6,800,029 4,250,786
Intangible assets 2,014,266 1,535,809
Confiscated Collateral Assets 671,279 232,216
Total 9,485,574 6,018,811
Shareholders’ Equity 48,109,735 38,416,498
Less: Retained Earnings (10,619,029) (6,317,105)
Total 37,490,706 32,099,393
Assets’ Book Value to Shareholders’ Equity Ratio 25.3% 18.8%
Group Bank
20 March 2013 (Restated) 19 March 2012 20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR m.IRR m.IRR
Goodwill Premiums 5,656,935 6,198,607 1,976,014 1,491,028
Computer Software 164,493 29,479 18,077 26,833
License 455,353 155,598 20,175 17,948
Total 6,276,781 6,383,684 2,014,266 1,535,809
Investment
Group Bank
20 March 2013
(Restated)19 March 2012
20 March 2013
(Restated)19 March 2012
m.IRR m.IRR m.IRR m.IRR
Long-term Notes Receivable 464,232 46,312 - -
Deposits on Leased Premises 23,473 35,095 22,443 35,095
Confiscated collateral Assets 1,828,411 1,355,835 1,776,929 1,355,835
Net Properties 1,448,458 1,656,399 - -
Prepaid Lease 9,589 10,416 9,589 10,416
Stamps 6,997 5,174 6,997 5,174
Prepaid Expenses 201,220 212,391 238,497 213,391
Long-term Portion of Employees Loans 66,237 71,511 - -
Net of Software 6,948 7,992 - -
Financial Charges Related to Acquisition of Property 422,975 135,216 - -
Gold Coin Inventory 2,845 5,313 2,845 5,313
Customer’s Long Term Payables 37,197 400,401 - -
Other 680,097 672,358 566,573 662,546
Total 5,198,679 4,614,413 2,623,873 2,287,770
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
19- OTHER ASSETS
Balance of this account includes:
18- INTANGIBLE ASSETS
Balance of this account includes the following:
w w w . b p i . i r 83
Annual Report2012 / 2013
Group Bank
20 March 2013(Restated)
19 March 201220 March 2013
(Restated)19 March 2012
m.IRR m.IRR m.IRR m.IRR
Bank Cheques Issued 8,955,978 4,984,460 8,955,978 4,984,460
Current Account Deposited 8,168,053 3,868,139 8,170,357 3,878,761
Bank Draft 290,586 122,095 290,586 122,095
Unused Managed Funds 1,637 377 1,637 377
Total 17,416,254 8,975,071 17,418,558 8,985,693
Group
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Balance at the Beginning of the Year 113,257 31,480
Goodwill Acquired During the Year 50,871 85,185
Goodwill Adjustments - (3,408)
Less: Amortization
Accumulated Amortization at the Beginning of the Year (7,324) (2,975)
Amortization for the Current Year (14,250) (4,519)
Amortization Adjustments 170
Accumulated Amortization at the End of the Year (21,574) (7,324)
Balance at the End of the Year 142,554 105,933
Note 2013 2012
m.IRR m.IRR
Term Deposits (Foreign Currencies) 2-1 3,841,673 4,827,471
Inter-bank Balance 162,311 769,173
Deposit with CBI 466,330 500,517
Total 4,470,314 6,097,161
21-1- Foreign exchange term deposits with the central Bank include one month and six month deposits.
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
21- DUE TO CBI
Amounts due to CBI represent the Bank’s liability as follows:
22- DEMAND DEPOSITS
Balance of this account is as follows:
20- CONSOLIDATION GOODWILL
Goodwill calculated for consolidation had the following changes during the year:
w w w . b p i . i r84
Annual Report2012 / 2013
Group Bank
20 March 2013
(Restated)19 March 2012 20 March 2013 2012
Total Total IRR Deposits Foreign Currency Total Total
m.IRR m.IRR m.IRR m.IRR m.IRR m.IRR
Saving Deposits 3,700,360 2,814,029 1,267,090 2,446,797 3,713,887 2,847,463
Total 3,700,360 2,814,029 1,267,090 2,446,797 3,713,887 2,847,463
Group Bank
20 March 2013 (Restated)
19 March 2012 20 March 2013 (Restated)19 March 2012
Note IRR Deposits
Foreign Currency Total Total
m.IRR m.IRR m.IRR m.IRR m.IRR m.IRR
Short-term deposits 65,439,236 44,508,190 69,584,503 - 69,584,503 45,031,843
Special short-term deposits 24-1 3,131,734 2,297,287 988,588 2,143,146 3,131,734 2,297,287
Long-Term Investment
Deposits24-2 119,929,407 96,160,141 119,236,954 2,417,113 121,654,067 97,132,418
Total 188,500,377 142,965,618 189,810,045 4,560,259 194,370,304 144,461,548
Group Bank
20 March 2013 (Restated)
19 March 2012 20 March 2013 (Restated)19 March 2012
IRR Deposits Foreign Currency Total Total
m.IRR m.IRR m.IRR m.IRR m.IRR m.IRR
One month deposits 13,986 554,963 - 13,986 13,986 554,963
Three month deposits 1,863,489 276,265 599,726 1,263,763 1,863,489 276,265
Four month deposits 300 300 300 - 300 300
Six month deposits 1,142,589 1,390,883 277,623 864,966 1,142,589 1,390,883
Nine month deposits 111,370 74,876 110,939 431 111,370 74,876
Total 3,131,734 2,297,287 988,588 2,143,146 3,131,734 2,297,287
24-1- Short-term deposits are as the follows:
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
24- TERM DEPOSITS
The balance of this account includes the following:
23- SAVING DEPOSITS
Balance of this account includes:
w w w . b p i . i r 85
Annual Report2012 / 2013
Group Bank
20 March 2013 (Restated)
19 March 2012 20 March 2013 (Restated)19 March 2012
Total Total IRR Deposits Foreign Currency Total Total
m.IRR m.IRR m.IRR m.IRR m.IRR m.IRR
One-year deposits 7,007,623 8,022,875 4,942,051 2,413,309 7,355,360 8,212,029
Two-year deposits 219,972 366,078 240,768 3,804 244,572 390,878
Three-year deposits 326,060 473,033 326,060 - 326,060 473,033
Four-year deposits 191,946 314,081 191,946 - 191,946 314,081
Five-year deposits 95,485,976 76,479,234 96,838,299 - 96,838,299 77,237,557
General certificate of deposits
16,697,830 10,504,840 16,697,830 - 16,697,830 10,504,840
Total 119,929,407 96,160,141 119,236,954 2,417,113 121,654,067 97,132,418
Group Bank
20 March 2013 (Restated)
19 March 2012 20 March 2013 (Restated)19 March 2012
Total Total IRR Deposits Foreign Currency Total Total
m.IRR m.IRR m.IRR m.IRR m.IRR m.IRR
Cash Deposits for L/Gs 1,167,542 968,511 2,082,029 98,617 2,180,646 1,696,492
Advances Received on L/Cs 7,777,627 10,128,052 175,237 7,602,390 7,777,627 10,128,052
Other 61,212 239,899 - 61,212 61,212 239,899
Total 9,006,381 11,336,462 2,257,266 7,762,219 10,019,485 12,064,443
24-2- Term deposits are reflected in the following table:
Group
20 March 2013 (Restated)19 March 2012
m.IRR m.IRR
Accounts Payable 1,633,133 1,909,618
Notes Payable 1,378,624 94,533
Total 3,011,757 2,004,151
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
25- OTHER DEPOSITS
Balance of this account are as follow:
26- ACCOUNTS AND NOTES PAYABLE
Balance of this account is as follow:
w w w . b p i . i r86
Annual Report2012 / 2013
Group Bank
20 March 2013
(Restated)19 March 2012
20 March 2013
(Restated)19 March 2012
m.IRR m.IRR m.IRR m.IRR
Participation Papers Issued by Subsidiaries 3,539,172 3,998,668 - -
Other Creditors 3,018,483 607,242 1,202,783 511,357
Temporary Creditors - Individuals 16,723 737,111 16,723 710,630
Issued Checks Held by Individuals 258,413 664,818 186,441 624,195
Insurance Premiums' Provision 2,246,552 1,102,872 - -
Other Accounts Payable 3,113,566 246,523 - -
Special Deposit Card Creditors 506,664 299,633 506,664 299,633
Deferred Damage Provision 393,990 222,874 - -
Good Performance Retention 561,147 263,524 34,831 29,496
Withheld Tax 162,838 76,896 12,372 10,508
Temporary Creditors-Branches' Virtual Card Deposit 7,224 60,470 7,224 60,470
Provision for Payable Expenses 219,295 81,322 - -
Other Technical Reserves 122,472 62,801 - -
Social Security Organization 62,825 32,358 9,583 7,787
Temporary Creditors Subscribers' Bill Payments 9,785 - 9,785 -
Prospective Years' Insurance Premiums 15,201 14,764 - -
Other documents Payable 342,287 159,438 - -
Income on Certificate of Deposit 244,694 85,613 244,694 85,613
Foreign Currency Temporary Creditors 133,687 2,203 133,687 2,203
CBI Participation Papers - Principal and Income 2,626,646 - 2,626,646 -
Exchange Account Creditors - 194,126 - 194,126
Files Under Negotiation - 173,500 - 173,500
Temporary Creditors-Draft documents 8,088,814 - 8,088,814 -
Income Advances Received on Inter-bank Deposit - 80,981 - 80,981
Other Provisions 437 256 - -
Total 25,690,915 9,167,993 13,080,247 2,790,499
Group
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Facilities Received 6,337,090 2,238,551
Deferred Income (543,331) (448,266)
Deferred Fine 180,270 -
Total 5,974,029 1,790,285
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
28- FACILITIES RECEIVED
Balance of this account is comprised of received made by subsidiaries as follows:
27- OTHER ACCOUNT PAYABLE AND PROVISIONS
Balance of this account comprises of the following:
w w w . b p i . i r 87
Annual Report2012 / 2013
Group
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Advances Received by Subsidiaries 29 150
Advances Received by Other Companies 690,292 106,082
Total 690,321 106,232
Based on the audited financial statements of subsidiaries, there are no underfunding or other tax issues at these companies.
Group Bank
20 March 2013(Restated)
19 March 2012 20 March 2013(Restated)
19 March 2012
m.IRR m.IRR m.IRR m.IRR
Balance at the Beginning of the Year 3,228,976 381,566 3,120,935 380,003
Tax Provisions till 22/3/2010 77,056 2,862,684 - 2,797,194
Performance Tax During Period 1,068,099 412,739 942,572 323,741
Taxes Paid During the Year (2,032,060) (401,214) (2,020,936) (380,003)
Prepaid Taxes (34,717) (26,799) - -
Total 2,307,354 3,228,976 2,042,571 3,120,935
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
29- ADVANCES RECEIVED
Balance of this account is comprised of advances received by subsidiaries as follows:
30- CORPORATE TAXES PROVISION
Balance of this account includes the following:
w w w . b p i . i r88
Annual Report2012 / 2013
30-1
- Ban
k co
rpor
ate
taxa
tion
posi
tion
is a
s fol
low
s:
30-1
-1- T
axes
and
pen
altie
s ass
esse
d by
aut
horit
ies f
or y
ear 2
008
has b
een
paid
dur
ing
the
curr
ent p
erio
d in
the
amou
nt o
f m.IR
R 5
22,7
94 re
spec
tivel
y.
30-1
-2- B
ased
on
the
final
tax
notic
e re
ceiv
ed fo
r yea
r 200
9, ta
xes a
nd p
enal
ties o
f m.IR
R 1
,177
,847
are
pai
d.
30-1
-3- B
ased
on
the
final
tax
notic
e re
ceiv
ed fo
r yea
r 201
0, ta
xes a
nd p
enal
ties o
f m.IR
R 9
55,9
77 a
re p
aid.
The
Ban
k ha
s pro
test
ed th
e sa
id a
sses
smen
ts to
the
high
taxa
tion
coun
cil.
30-1
-4- T
he B
ank
has p
rote
sted
the
tax
asse
ssm
ent f
or y
ear 2
011,
and
the
tax
file
has b
een
refe
rred
to a
taxa
tion
settl
emen
t trib
unal
and
is n
ot y
et b
een
final
ized
.
30-1
-5- A
tax
asse
ssm
ent n
otic
e fo
r the
yea
r 201
2 ha
s bee
n re
ceiv
ed b
y th
e B
ank,
how
ever
the
Ban
k ha
s sen
t a p
rote
st n
otic
e ag
ains
t the
ass
essm
ent.
30-1
-6- T
axes
for t
he y
ear e
nded
mar
ch 2
0, 2
013
wer
e ca
lcul
ated
on
self-
asse
ssed
bas
is w
ith d
ue c
onsi
dera
tion
of ta
x ex
empt
ions
.
(R
est
ate
d)
19
Marc
h 2
01
22
0 M
arc
h
20
13
Meth
od o
f A
ssess
men
t
Note
Year
Self
-Ass
ess
ed
In
com
e
Self
Ass
ess
ed
Taxable
In
com
e
Taxes
Pro
vis
ion
Pro
vis
ion
Self
-Ass
ess
ed
Tax
Ass
ess
men
t N
oti
ce
Fin
al Tax
Noti
ceP
aid
Pro
vis
ion
Pro
vis
ion
Inve
stig
atio
n o
f boo
ks-
Final
tax
not
ice
issu
ed
30-1
-1M
arch
2008
1,6
79,6
70
214,6
96
53,6
74
355,5
96
522,7
94
522,7
94
- 4
69,1
20
Inve
stig
atio
n o
f boo
ks-
Final
tax
not
ice
issu
ed
30-1
-2M
arch
2009
2,4
46,1
23
403,0
51
100,7
63
860,1
45
1,1
77,8
46
1,1
77,8
46
- 9
78,0
74
Inve
stig
atio
n o
f boo
ks-
Final
tax
not
ice
issu
ed
30-1
-3M
arch
2010
3,5
48,2
55
704,2
71
176,0
68
932,5
22
1,0
69,3
10
425,8
89
328,0
00
328,0
00
Inve
stig
atio
n o
f boo
ks-
Final
tax
not
ice
issu
ed
30-1
-4M
arch
2011
6,3
09,4
26
979,7
22
244,9
31
2,1
99,1
66
- 4
94,2
69
772,0
00
1,0
22,0
00
Inve
stig
atio
n o
f boo
ks-
asse
ssm
ent
mad
e /
obje
cted
to
30-1
-5M
arch
2012
10,1
59,8
20
1,6
18,7
05
323,7
41
2,6
41,9
51
- 3
23,7
41
- 3
23,7
41
Inve
stig
atio
n o
f boo
ks-
Final
tax
not
ice
issu
ed B
asic
of dec
lare
d p
rofit
amou
nting
30-1
-6M
arch
2013
14,1
89,1
40
4,7
12,8
60
942,5
71
--
- 9
42,5
71
-Bas
ic o
f dec
lare
d p
rofit
amou
nting
Tota
l 2
,042,5
71
3,1
20,9
35
BA
NK
PA
SAR
GA
D (
PLC
.)N
OT
ES T
O C
ON
SOLI
DA
TED
FIN
AN
CIA
L ST
AT
EMEN
TS
FIN
AN
CIA
L Y
EAR
EN
DED
MA
RC
H 2
0, 2
013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r 89
Annual Report2012 / 2013
32-1- Payments of dividends payable for the Bank in the past six years is as follows:
Bank
Balance 20 March
2013
Period’s On-account
Return
Paid During the Period
Balance 20 March
2012
m.IRR m.IRR m.IRR m.IRR
Short-term Deposits 140,361 3,916,361 3,851,426 205,296
Special Short-term Deposits 33,866 226,594 245,600 14,860
One-year Deposits 156,958 1,060,115 1,136,556 80,517
Two-year Deposits 21,192 54,750 60,947 14,995
Three Year Deposits 26,014 73,690 81,803 17,901
Four-year Deposits 102,693 55,559 135,956 22,296
Five-year Deposits 2,193,261 17,118,564 16,154,248 3,157,577
Certificates of Special Investment Deposit 78,984 2,376,456 2,455,440 -
Total 2,753,329 24,882,089 24,121,976 3,513,442
Group Bank
Note20 March
2013 (Restated) 19 March 2012 20 March
2013 (Restated) 19 March 2012
m.IRR m.IRR m.IRR m.IRR
Dividends Paid 32-1 158,135 161,896 146,035 152,217
Related Subsidiaries - 125,181 -
Total 158,135 287,077 146,035 152,217
Bank
Declared Dividends
DividendsPaid Prior to
20 March 2011Dividend Paid During 2011
Balance at 20 March 2011
DividendsPaid During the
Period
Balance at20 March
2012Fiscal Year March
m.IRR m.IRR m.IRR m.IRR m.IRR m.IRR
20-March-06 122,500 118,463 339 3,698 178 3,520
20-March-07 612,500 606,118 319 6,064 396 5,668
19-March-08 1,050,000 1,048,381 79 1,540 65 1,475
19-March-09 1,540,000 1,515,552 3,762 20,686 3,089 17,597
20-March-10 2,310,000 2,309,973 27 - -
20-March-11 4,158,000 - 4,037,771 120,229 31,781 88,448
19-March-12 6,269,340 - - - 6,240,013 29,327
Total 16,062,340 5,598,487 4,042,297 152,217 6,275,522 146,035
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
31- RETURN ON DEPOSITS PAYABLE
The balance of this account includes the following:
32- DIVIDENDS PAYABLE
Balance of this account is comprised of dividends declared but not yet paid as follows:
w w w . b p i . i r90
Annual Report2012 / 2013
Group Bank
20 March 2013 (Restated)19 March 2012 20 March 2013 (Restated)
19 March 2012
m.IRR m.IRR m.IRR m.IRR
Opening Balance 167,716 107,401 118,660 75,299
Paid During the Year (9,929) (7,891) (5,472) (1,646)
Provision Accrued During the Year 100,325 68,206 65,860 45,007
Balance at the End of the Year 258,112 167,716 179,048 118,660
Date of Increase in
Shareholders’ Equity
Increase in Capital
(Percentage)
IRR Amount of Increase in Capital
New Shareholder’s Equity Amount Source of Contribution
m.IRR m.IRR
23/10/2007 50 1,750,000 5,250,000 Receivables from shareholders and cash contributions
14/07/2008 33 1,750,000 7,000,000 Receivables from shareholders and cash contributions
09/11/2009 10 700,000 7,700,000 Receivables from shareholders
21/11/2010 200 15,400,000 23,100,000 Cash contributions
23/03/2011 18 4,158,000 27,258,000 Receivables from shareholders and cash contributions
20/03/2012 10 2,742,000 30,000,000 Receivables from shareholders and cash contributions
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
34- SHARE CAPITAL
34-1- The bank started with m.IRR 3,500,000 (3,500,000,000 shares at IRR 1,000 per share) of capital initially, and increased it to m.IRR 30,000,000 (30,000,000 shares at IRR 1,000 per share) in six steps by March 19, 2013 as follows:
33- PROVISION FOR EMPLOYEES RETIREMENT BENEFITS
Changes of account during the period were as follows:
w w w . b p i . i r 91
Annual Report2012 / 2013
34-2- Major shareholders and their respective shares at balance sheet date were as follows:
20 March 2013 (Restated) 19 March 2012
No. of shares Percentage No. of shares Percentage
Pars Aryan Investment Company 4,309,242,690 14.36 4,310,680,770 15.81
Kharazmi Investment Company 1,316,591,759 4.39 1,389,605,357 5.1
Hamyarye Kowsar 1,172,161,868 3.91 1,065,865,367 3.91
Saman Majd Investment Company 1,497,881,862 4.99 1,360,975,463 4.99
Milad Gostar Noavaran Co. 1,108,561,097 3.70 1,007,238,616 3.7
Sahab Omid Iranian Co. 688,770,388 2.30 625,816,776 2.3
Banks Pension Fund 1,024,767,925 3.42 725,423,217 2.66
Refah and Tamin Atiye Omid Institute 599,130,529 2.00 544,370,000 2
Pasargad Financial Group’s Workers Future Financial Security Investment Co. 1,477,986,086 4.93 953,319,046
3.5
Sam Group Company 1,126,073,702 3.75 1,023,150,568 3.75
Binesh Pazhooh Iranian Co. 776,379,140 2.59 705,418,088 2.59
Mr. Mohammad Hadi NikLaal Fard 762,465,439 2.54 415,741,764 1.53
Hamghadam Co. 673,926,291 2.25 612,329,430 2.25
Ms. Setareh Mansoobi 487,563,021 1.63 415,741,764 1.53
Ms. Effat Arzani 306,117,904 1.02 259,911,663 0.95
Other Shareholders (below one percent) 12,672,380,299 42.24 11,842,412,111 43.45
Total 30,000,000 ,000 100.00 27,258,000,000 100
Number of Shareholders:
19 March 2013 19 March 2012
Individuals 47,933 46,864
Corporate entities 301 295
Total 48,234 47,159
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r92
Annual Report2012 / 2013
34-3- 16,883,500 shares of the Bank have been allocated to Khatam University.
34-4- Bank’s capital adequacy ratio, which is calculated by dividing the basic capital to risk-weighted assets, must be at least 8% in accordance to CBI rules. The Bank’s adequacy ratio is as follows:
Note 2012/2013 2011/2012
m.IRR m.IRR
Paid-up Capital 34 30,000,000 27,258,000
Statutory Reserve-balance Sheet 35 5,618,030 3,631,045
Other Reserves 36 1,872,676 1,210,348
Retained Earnings 10,619,029 6,317,105
Total Shareholders’ Equity 48,109,735 38,416,498
General Provision for Doubtful Debts and Investments 5,150,947 3,212,612
Less: Amounts in Excess of 1.25 Percent of Risk Weighted Assets (2,301,833) (1,016,982)
Total Capital Adequacy 2,849,114 2,195,630
Investments in Other Banks or Credit Institutions (96,031)
Basic Capital 50,862,818 40,612,128
Total Risk-weighted Assets 34-4-1 227,929,100 175,650,435
1.25% of Risk-weighted Assets 2,849,114 2,195,630
Capital Adequacy Ratio 22.32% 23.12%
Note2013 2012
Assets Risk Co-efficient
Weighted assets Assets Risk
Co-efficientWeighted
assets
m.IRR % m.IRR m.IRR % m.IRR
Cash 5 758,098 0 - 1,111,280 0 -
Due from CBI 6 28,544,993 0 - 20,851,525 0 -
Due from Other Banks and Financial Institutions
7 51,487,727 20 10,297,545 35,654,974 20 7,130,995
Participation Papers 8 11,864,471 0 - 5,825,718 0 -
Investments 15, 16 11,927,019 100 11,927,019 11,264,646 100 11,264,646
Other Accounts Receivable 13 6,253,924 100 6,253,924 1,699,059 100 1,699,059
Loans and Facilities 9 32,353,553 50 16,176,777 30,574,985 50 15,287,493
Other Loans 9 142,435,673 100 142,435,673 106,751,894 100 106,751,894
Net Tangible and Intangible Assets 17, 18 8,814,295 100 8,814,295 5,786,595 100 5,786,595
Other Assets 19 2,623,873 100 2,623,873 2,287,770 100 2,287,770
Commitments for Contracts 55-3 12,376,594 50 6,188,297 1,120,859 50 560,430
Commitments for L/Gs 55-2 26,035,920 20 5,207,184 23,343,500 20 4,668,700
Commitments for L/Cs 55-1 36,009,027 50 18,004,514 40,425,705 50 20,212,853
Total Assets Weighted Based on Their Risk 371,485,167 227,929,100 286,698,510 175,650,435
34-4-1- Risk-weighted assets are as follows:
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r 93
Annual Report2012 / 2013
Bank
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Opening Balance 3,631,045 2,155,633
Reserves Allocated from Net Profit 1,986,985 1,475,412
Balance at the End of the Year 5,618,030 3,631,045
Bank
Note 20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Opening Balance 1,210,348 718,544
Reserve Added During the Period 36-1 662,328 491,804
Balance at the End of the Year 1,872,676 1,210,348
Group
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Share in Capital 5,021,807 2,926,398
Share in Reserves 130,036 84,778
Share in Retained Earnings 434,953 615,754
Unrealised loss (3,056) (1,499)
Assets’ Fair Market Value and Book Value Differences (for Subsidiaries) 5,870 6,263
Total 5,589,610 3,631,694
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
35- STATUTORY RESERVE
In accordance with Article 63, paragraph B of the Bank’s articles of association and relevant regulations, 15% of the Bank’s net profit, not exceeding the Bank’s capital, is allocated to statutory reserves. For subsidiaries, according to amendment to articles 140 and 238 to the commercial code dated 1968, 5% of the subsidiary’s net profit, up to 10% of shareholders’ equity, must be allocated to the statutory reserve; allocation in excess of 10% is at subsidiaries’ discretion. Statutory reserve is not transferable to capital, and at dissolution is not allocable to shareholders.
37-MINORITY INTEREST
Minority interest in subsidiaries is calculated as follows:
36-DISCRETIONARY RESERVE
In accordance with Article 63 of the Bank’s articles of association, 5% of the year’s net profit is allocated to discretionary reserves. Discretionary reserve belongs entirely to the parent company.
w w w . b p i . i r94
Annual Report2012 / 2013
Income From
Group Bank
2013 (Restated) 2012 2013 (Restated) 2012
m.IRR m.IRR m.IRR m.IRR
Musharaka 23,633,810 16,560,855 25,576,872 17,752,989
Installment sales 79,314 104,315 43,268 85,137
Mudaraba 5,099,697 4,389,630 5,099,737 4,409,652
Ju’alah 183,408 160,619 336,536 446,400
Financial Leases 8,846 15,170 499 4,690
Late Payment Charges 994,330 1,383,784 1,005,024 1,438,467
Murabahah 1,524 - 1,524 -
Total 30,000,929 22,614,373 32,063,460 24,137,335
Group Bank
2013 (Restated) 2012 2013 (Restated) 2012
m.IRR m.IRR m.IRR m.IRR
Income from Sales of Investments 1,645,549 910,456 1,285,532 717,364
Gain (Loss) on Change in Value of Securities 43,125 111,176 42,306 -
Income from Deposits with Iranian Banks 3,628,579 3,052,860 3,622,738 3,055,697
Income from Participation Papers 2,177,938 1,320,303 2,142,369 1,314,946
Other 12,372 691 - -
7,507,563 5,395,486 7,092,945 5,088,007
Income from Group’s Deposits Foregin Currency 31,721 62,054 31,721 61,245
Total 7,539,284 5,457,540 7,124,666 5,149,252
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
38- INCOME FROM CREDIT FACILITIES GRANTED
Income from credit facilities includes the following:
39- INCOME ON INVESTMENTS AND DEPOSITS
Income on investments during the period is reflected in the following:
w w w . b p i . i r 95
Annual Report2012 / 2013
Group Bank
2013 (Restated) 2012 2013 (Restated) 2012
m.IRR m.IRR m.IRR m.IRR
Fees and Commissions for Issuance of L/Cs 3,281,616 1,051,782 3,281,616 1,051,782
Fees and Commissions for Issuance of L/Gs 469,828 405,003 472,638 406,461
Fees and Commissions - Facilities 253,636 515,513 253,636 517,492
Fees and Commissions for Issuance of Credit Cards 302,987 332,809 166,631 233,369
Fees for Electronic Banking Services 553,665 68,271 553,665 68,271
Fees for Foreign Exchange Transactions 60,842 24,068 60,842 24,068
Other Commissions and Fees 53,201 30,222 54,627 33,203
Fees for Share Transactions - 1,140 - 1,140
Total 4,975,775 2,428,808 4,843,655 2,335,786
Group
2013 (Restated) 2012
m.IRR m.IRR
Sale of Foreign Currencies 2,885,660 7,866,117
Income from Installment Sales and Capital Leases 667,644 582,716
Sale of Computer Hardware and Software 1,603,355 594,095
Sale of Properties 849,140 475,326
Sale of Petrochemical, Oil and Steel Raw Materials and Products - 102
Sale of Cards and Technical Support 5,412 10,860
Income from Services 4,020,333 2,112,754
Income from Participation Papers 70 694
Total 10,031,614 11,642,664
Bank
2013 (Restated) 2012
m.IRR m.IRR
Gain on Foreign Exchange Translation 8,572 517,184
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
41- COMMISSION INCOME
Commissions are reflected in the following:
42- FOREIGN EXCHANGE TRANSACTIONS - NET GAIN
Net result of foreign exchange transactions during the period is reflected in Bank’s income and is as follows:
40- SALES AND SERVICES REVENUE
Balance of this account consists of sale of goods and rendering of services by subsidiaries.
w w w . b p i . i r96
Annual Report2012 / 2013
Group Bank
2013 (Restated) 2012 2013 (Restated) 2012
m.IRR m.IRR m.IRR m.IRR
Gain on Sales of Fixed Assets 20,751 - 10,811 -
Income from Collateral Assessment 2,238 2,883 3,360 4,027
Income from Collateral Insurance 13,234 11,970 13,234 12,030
Income from Review of Credit Applications 360,208 209,017 364,256 211,390
Income from Sales Growth Commission 208,020 2,219 - -
Income from Brokerage Services - 60,972 - -
Participation in Insurer's Income 13,562 11,957 - -
Rental Income 2,483 2,165 - -
Miscellaneous 212,873 96,771 11,042 3,944
Total 833,369 397,954 402,703 231,391
Group Bank
2013 (Restated) 2012 2013 (Restated) 2012
m.IRR m.IRR m.IRR m.IRR
Short-term Deposits 3,808,004 2,536,807 3,916,361 2,641,151
Special Short-term Deposits 226,594 219,982 226,594 219,982
One-year Deposits 1,050,412 1,582,794 1,060,115 1,588,969
Two-year Deposits 54,750 71,581 54,750 71,581
Three-year Deposits 73,690 89,661 73,690 89,661
Four-year Deposits 55,559 64,433 55,559 64,433
Five-year Deposits 16,908,921 13,902,992 17,118,564 14,031,092
Certificate of Deposits 2,376,386 371,462 2,376,456 371,462
Total 24,554,316 18,839,712 24,882,089 19,078,331
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
43- OTHER INCOME
Balance of this account includes the following:
44- DEPOSITOR’S PROVISIONAL SHARE OF INCOME
w w w . b p i . i r 97
Annual Report2012 / 2013
2013 (Restated) 2012
m.IRR m.IRR
Facilities Granted 156,412,916 119,070,755
Investments & Deposits with other Banks 28,799,758 29,932,462
Participation Papers 10,794,063 8,040,026
196,006,737 157,043,243
Less: Net Resources of Depositors:
Total Deposits 163,870,078 135,486,790
Statutory Deposit (19,323,640) (16,579,093)
Net Resources of Depositors 144,546,438 118,907,697
Bank’s Resources 51,460,299 38,135,546
Total Joint Income 38,948,085 29,225,342
Depositors Share of Income and Bonus on Statutory Deposits 28,915,735 22,296,561
Bank’s Fees (4,096,752) (3,387,170)
Income Payable to Depositors 24,818,983 18,909,391
Payments On-account to Depositors from Joint Income (24,882,089) (19,078,331)
Under (over) Payment to Depositors 63,106 168,940
Group
2013 (Restated) 2012
m.IRR m.IRR
Cost of Services Rendered 3,351,177 1,829,625
Cost of Foreign Currencies Sold 2,734,876 7,769,733
Cost of Computer Hardware and Software 1,449,459 595,021
Cost of Installment Sales and Capital Leases 408,353 72,009
Cost of Properties and Assets Sold 673,488 438,017
Other Costs - 2,901
Total 8,617,353 10,707,306
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
46- COST OF GOODS AND SERVICES SOLD
Balance of this account includes cost of goods sold and services rendered by the subsidiaries.
45- UNDER (OVER) ON-ACCOUNT PAYMENT TO DEPOSITORS
Depositors share of income, derived from joint resources with the Bank, is calculated on the basis of directives of CBI. Granted facilities, investments, participation papers, investment deposits and statutory deposits have been calculated based on the average of the year’s 52 weeks.
w w w . b p i . i r98
Annual Report2012 / 2013
Group Bank
2013 (Restated) 2012 2013 (Restated) 2012
m.IRR m.IRR m.IRR m.IRR
Salaries 528,806 405,215 366,480 304,335
Bonuses 287,616 221,662 244,572 192,806
Commuting Allowance 94,353 73,763 92,111 71,960
Over-time 128,720 104,665 116,952 96,521
Social Security and Insurance 125,678 97,084 101,862 81,959
Termination Allowance 81,519 56,738 65,861 45,006
Mission Assignments Allowance 20,202 15,546 17,767 13,406
Other 354,568 202,115 325,492 176,361
Total 1,621,462 1,176,788 1,331,097 982,354
Group Bank
2013 (Restated) 2012 2013 (Restated) 2012
m.IRR m.IRR m.IRR m.IRR
Depreciation 246,167 236,453 214,654 212,824
Advertisement 186,675 143,811 170,748 128,262
Rent 89,713 70,976 86,184 75,172
Pantry and Entertainment 54,754 19,606 42,734 12,660
Tele-communications 48,111 35,344 41,871 30,746
Consulting 23,643 31,717 30,364 27,753
Repair and maintenance of buildings 48,447 41,072 46,035 39,934
Office Supplies 83,548 54,239 62,957 43,832
Insurance 69,300 17,364 68,057 115,847
Other Expenses 347,325 288,053 636,695 485,374
Total 1,197,683 938,635 1,400,299 1,172,404
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
47- PERSONNEL EXPENSES
Balance of this account is comprised of the following:
48- GENERAL AND ADMINISTRATIVE EXPENSES
General & Administrative expenses during the year include the following:
w w w . b p i . i r 99
Annual Report2012 / 2013
Group Bank
Note 2013 (Restated) 2012 2013 (Restated) 2012
m.IRR m.IRR m.IRR m.IRR
General Provision for Doubtful Debts 49-1 1,780,249 774,445 1,938,333 774,445
Special Provision for Doubtful Debts 49-2 (90,702) 6,387 (90,702) 1,499
Total 1,689,547 780,832 1,847,631 775,944
49-1- General provision for Doubtful Debts for year ended 20 March 2013 was calculated as follows:
20 March 2013
m.IRR
Balance of Facilities Granted at March 20, 2013 183,076,898
Less: Balance of Facilities for which Special Provision is Provided (10,524,360)
Applicable Balance Used for Calculation of General Provision 172,552,538
General Expense for Doubtful Debts 1,938,333
20 March 2013
Past due Deferred Doubtful Total
m.IRR m.IRR m.IRR m.IRR
Balance on 20 March, 2013 (End of Period) 2,207,606 4,549,011 3,767,743 10,524,360
Less :
Special Provision for Facilities, Taking into Consideration, Collaterals and the Calculation Basis Coefficient at End Period
(141,663) (546,516) (1,104,069) (1,792,248)
Special Provision for Facilities (Beginning of the Period) 153,314 497,646 1,231,990 1,882,950
Provision for Doubtful Debts (11,651) 48,870 (127,921) (90,702)
49-2- Special provision for Doubtful Debts was calculated as follow in accordance with note 4-14:
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
49- DOUBTFUL DEBTS EXPENSE
Doubtful Debts expense Were calculated as follows:
w w w . b p i . i r100
Annual Report2012 / 2013
Group Bank
2013 (Restated) 2012 2013 (Restated) 2012
m.IRR m.IRR m.IRR m.IRR
Return Paid Foreign Exchange Deposits 265,996 153,251 265,996 153,251
Fees Paid "Inter-bank Information Transfer Network"
499,760 23,142 499,760 23,142
Banking Services fees 56,284 13,769 13,035 10,683
Fees Paid to Brokers 14,009 13,344 14,009 15,019
Finance Cost of Facilities Received from Other Banks
337,564 322,156 - -
Fees for Review of Applications 315 1,521 - -
Allocated to Qualified Projects (112,850) (84,830) - -
Total 1,061,078 442,353 792,800 202,095
Group
2013 (Restated) 2012
m.IRR m.IRR
Net Non-operating Income (Expense) 1,045,397 238,969
Net Operating Income (Expense) (150,161) (38,958)
Insurance Premiums Technical Reserve (917,430) (418,134)
Total (22,194) (218,123)
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
51- NET OTHER INCOME (EXPENSE)
Net Other Income (Expenses) are related to subsidiaries as Following:
50- FEES AND FINANCE COSTS
Balance of this account is consolidated statement of profit and loss is comprised of the following:
w w w . b p i . i r 101
Annual Report2012 / 2013
Group
2013 (Restated) 2012
m.IRR m.IRR
Profit before tax 14,625,910 9,954,774
Depreciation 383,447 243,161
Gain Reversed Impairment of Investments and Ventures (43,125) 3,458
Doubtful Debts Expenses 1,689,547 775,943
Dividends (Loss) (193,400) (19,356)
Gain/Loss on Sale of Investments (1,645,545) (13,210)
Gain/Loss on Sale of Fixed Assets (20,751) 29
Net (gain/loss) from currency exchange transactions (8,572) (517,183)
Increase in Provision for Termination of Employment 90,396 60,229
251,997 533,071
Net Increase (Decrease) in Operational liabilities
Due to Central Bank of Iran (1,626,847) 3,138,218
Demand Deposits 8,441,183 (578,159)
Saving Deposits 886,331 1,208,107
Term Deposits 45,534,759 20,945,654
Other deposits (2,330,081) 7,234,354
Provisions and other liabilities 16,525,921 707,048
Operational Advances Received 584,089 34,543
Operational Accounts Payable 1,007,606 (1,535,925)
Return Payable to Depositors 759,904 154,864
69,782,865 31,308,704
Net (Increase) Decrease in Operational assets
Due from Central Bank of Iran and Statuary Reserve (7,693,468) (4,756,897)
Due from Other Banks (5,225,353) 2,615,333
Facilities Granted to non-public sector (37,066,845) (28,823,530)
Participation Paper (6,038,753) 2,519,600
Other Assets (990,662) 15,494,313
Accounts Receivable (849,601) (4,226,003)
Prepayments and Orders (618,713) (46,836)
Capital Lease Income 329,712 130,384
Inventories (1,067,378) (406,102)
Other Accounts Receivable (4,589,786) (1,488,048)
(63,810,847) (18,987,786)
Net Cash Inflow (outflow) from Operating Activities 20,849,925 22,808,763
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
52- RECONCILIATION OF PROFIT BEFORE TAX WITH CASH-FLOW FROM OPERATING ACTIVITIES-GROUP
w w w . b p i . i r102
Annual Report2012 / 2013
Bank
2013 (Restated) 2012
m.IRR m.IRR
Profit before Tax 14,189,140 10,159,820
Depreciation 214,654 212,824
(Gain) Loss reversed impairment of investments (42,306) (5,153)
Doubtful Debts Expenses 1,847,631 775,943
Dividend Received on Investments (1,220,060) (715,622)
(Gain) Loss on Sale of investments (65,472) 3,412
Net (Gain) from Currency Exchange Transactions (8,572) (517,183)
Employee Retirement Benefits 60,388 45,006
Net Cash Inflow from Operation 786,263 (200,773)
Net Increase (Decrease) in Operating Liabilities:
Amounts due to Central Bank of Iran (1,626,847) 3,138,218
Demand Deposits 8,432,865 (578,159)
Saving Deposits 866,424 1,208,107
Term Deposits 49,908,756 20,945,799
Other Deposits (2,044,958) 7,234,354
Provisions and Other Liabilities 10,289,748 546,645
Return Payable to Depositors 760,113 154,864
66,586,101 32,649,828
Net (Increase) Decrease in Operating Assets:
Statutory Deposit and Other Due from CBI (7,963,468) (4,756,897)
Amounts due from Other Banks and Financial Institutions (5,225,353) 2,615,333
Facilities Granted and Other Amounts due from Non-Public Sector
(39,309,978) (28,509,108)
Participation Papers (6,038,753) 2,519,600
Other Assets (742,499) (1,654,836)
Other Accounts Receivable (4,024,825) 162,059
Net Increase in Operating Assets (63,034,876) (29,623,849)
Net Cash Inflow from Operating Activities 18,526,628 12,985,026
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
53- RECONCILIATION OF PROFIT BEFORE TAX WITH CASH FLOWS FROM OPERATING ACTIVITIES-BANK
w w w . b p i . i r 103
Annual Report2012 / 2013
Bank
2013 (Restated) 2012
m.IRR m.IRR
Collateral Acquisition 2,043,145 -
MIDHCO Capital Raise 385,796 -
Pasargad machinery and equipment leasing Capital Raise 10,800 -
Pasargad Bank Brokerage House Capital Raise 9,800 -
Bank Pasargad Capital Raise 2,146,599 3,236,438
Saman Sakht Aryan and Modaberan Sakht Aryan’s Capital Raise - 4,820,000
4,596,140 8,056,438
55-2- Commitments on Letters of Guarantee:
55-3- Other Commitments
Bank
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Bank Commitments on L/Cs (IRR) 1,186,527 1,021,302
Bank Commitments on L/Cs (Foreign Currencies) 42,600,127 49,532,455
Total 43,786,654 50,553,757
Bank
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Bank Commitments on L/Gs (IRR) 20,610,315 16,838,224
Bank Commitments on L/Gs (Foreign Currencies) 7,606,251 8,201,768
Total 28,216,566 25,039,992
Bank
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Commitments on Musharakah and Mudaraba 1,458,918 97,771
Commitments on Credit Cards 812,084 1,023,088
Commitments on Certificate of Deposit 10,105,592 -
Total 12,376,594 1,120,859
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
REPORT OF THE INDEPENDENT AUDITOR
54- NON-CASH TRANSACTIONS
Major non-cash transactions during the year were as follows:
55- OFF BALANCE SHEET ITEMS
Off balance sheet items of the bank consist of the following items:
55-1- Commitments on Letters of Credits:
w w w . b p i . i r104
Annual Report2012 / 2013
58- POST BALANCE SHEET DATE EVENTS
There has been no major events after balance sheet date requiring adjustments in the accounts or disclosure thereto.
Bank
20 March 2013
m.IRR
Commitment to Pay the Remaining Cost for 28 Branches of Pasargad Bank 691,915
Commitment for Participation in 31% Shares of Iranian Reinsurance Company 18,600
Total 710,515
Group Bank
Note 2013 (Restated) 2012
Net Increase
(Decrease) 2013 Restated
2012
Net Increase
(Decrease)
m.IRR m.IRR m.IRR m.IRR m.IRR m.IRR
Cash in Hand 5 1,390,794 1,320,960 69,834 758,098 1,111,280 (353,182)
Demand Deposits with Local Banks * 7-2 1,698,217 2,660,375 (962,158) 1,698,217 2,660,375 (962,158)
Demand Deposits with Foreign Banks*
7-2 25,932,493 14,356,389 11,576,104 25,932,493 14,356,389 11,576,104
Demand Deposits with Local Banks(IRR)
7-1 8,264 14,810 (6,546) 8,264 14,810 (6,546)
Total 29,029,768 18,352,534 10,677,234 28,397,072 18,142,854 10,254,218
* Foreign Currencies
Statutory Requirements:Bank
20 March 2013
m.IRR
Allocation of at Least 10% of Allocable Profit in Accordance with Article 90 of the Commercial Law
1,059,725
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL YEAR ENDED MARCH 20, 2013
55-4 Managed funds commitments were as follows: Bank
20 March 2013 (Restated) 19 March 2012
m.IRR m.IRR
Managed Funds-unused portion 745 744
Total 745 744
REPORT OF THE INDEPENDENT AUDITOR
57- CONTINGENT LIABILITIES AND CAPITAL COMMITMENTS
The Bank has the following capital commitments at balance sheet date:
59- RETAINED EARNINGS-YEAR-END
Allocation of retained earnings, ending balance available for distribution, would be made at year-end upon decisions of the shareholder’s Annual General Meeting.
56- NET INCREASE (DECREASE) IN CASH
Net increase in cash reflected in the statement of cash flows was as follows:
w w w . b p i . i r 105
Annual Report2012 / 2013
60
- FO
REIG
N E
XC
HA
NG
E P
OS
ITIO
N
Fore
ign
exch
ange
com
mitm
ents
as w
ell a
s mon
etar
y as
sets
and
liab
ilitie
s at t
he e
nd o
f the
yea
r wer
e as
follo
ws:
Note
US
DEU
RG
BP
AED
JPY
CH
FS
EK
TR
YC
NY
KR
WR
UB
INR
Cas
h5
6,2
70,6
86.4
5
2,3
46,8
67.4
3
157,6
39.0
0
1,1
53,5
56.0
0
50,0
00.0
0
10,5
14.0
0
-2,5
60.0
0
200.0
0
--
-
Rec
eira
ble
fro
m C
BI
638,5
87,5
55.1
816,1
06,2
58.8
50.0
0336,5
80,7
15.4
2-
--
--
--
-
Rec
eiva
ble
fro
m O
ther
Ban
ks7
37,8
27,6
68.1
6
505,3
86,1
05.1
3
1,0
95,9
61.1
1
279,0
61,4
79.0
3
4,3
07,4
67,6
29.2
2
7,0
97.3
6
588,7
85.0
4
230,5
73,3
02.7
6
2,3
23,0
89,0
45.7
6
115,4
16,9
99,4
16.0
4
883,4
82,8
65.2
8
23,4
23,7
06,5
73.7
3
Not
es in F
orei
gn
Curr
enci
es8
-50,0
00,0
00.0
0
--
--
--
--
--
Fore
ign F
acili
ties
937,0
99,3
47.7
4
87,9
33,8
56.6
4
-34,0
21,1
33.6
4
2,4
84,8
33.8
0
--
235,8
29.7
1
(88,7
01,1
41.4
0)
1,9
96,6
11,8
95.9
5
--
Oth
er A
ccou
nts
Rec
eiva
ble
11
160,8
92.7
8
19,3
98,4
32.1
4
-1,1
62,8
88.3
4
56,3
54,5
63.0
0
3,7
33.0
0
-2,2
88,7
97.9
0
78,8
14,9
24.0
2
59,3
51,8
02.3
0
21,0
02,4
20.0
0
-
Due
to C
BI
21
-
(241,2
30,6
89.3
3)
-(7
,831,9
77.6
7)
--
--
--
--
Dem
and D
epos
its
23
(35,9
33,9
73.4
9)
(44,3
64,9
69.9
4)
-(4
9,0
97,4
15.0
4)
--
--
-(0
.01)
(8,1
61,8
88.0
0)
-
Sav
ing D
epos
its
24
(50,3
87,2
25.6
7)
(77,0
39,3
97.1
7)
(107,5
90.2
9)
(1,1
54,0
07.7
4)
(100,0
00.0
0)
(4,6
86.0
0)
-(6
,469.0
5)
(76,0
64,4
16.3
2)
(41,3
34,8
33,0
96.8
4)
--
Term
Dep
osits
25
(92,1
75,4
64.0
0)
(157,2
63,1
74.1
1)
(813,0
84.0
0)
(278,0
57,3
37.5
1)
-(8
,000.0
0)
--
--
--
Oth
er D
epos
its
26
(6
80,0
94.0
0)
(233,2
95,2
95.1
8)
(72,4
96.2
4)
(109,9
71,8
03.6
8)
(125,8
50,0
93.1
9)
(795,3
90.0
0)
-
(8,2
28,4
93.4
5)
(5
13,8
75,8
83.9
7)
(1
11,1
01,0
52,5
60.1
6)
(260,7
55,9
19.6
1)
(1,6
45,0
70,9
64.3
0)
Oth
er P
ayab
les
(3,5
88,1
16.7
7)
(262,6
65,2
18.7
5)
(7,5
64.3
4)
(401,8
36,5
93.7
7)
(5,0
49,4
88.5
1)
(8,5
25.2
3)
-(1
3,6
90,7
30.4
2)
(195,2
04,0
50.3
1)
(84,7
45,0
19,2
49.7
0)
(1,5
23,2
05,8
90.7
5)
(67,8
07,9
05.5
1)
Tota
l(6
2,8
18,7
23.6
2)
(334,6
87,2
24.2
9)
252,8
65.2
4
(195,9
69,3
62.9
8)
4,2
35,3
57,4
44.3
2
(795,2
56.8
7)
588,7
85.0
4
211,1
74,7
97.4
5
1,5
28,0
58,6
77.7
8
(119,7
07,9
41,7
92.4
2)
(887,6
38,4
13.0
8)
21,7
10,8
27,7
03.9
2
L/Cs
Com
mitm
ents
55-1
-1,2
42,6
10,8
59.9
1
492,9
89.0
2
1,1
75,2
35,2
40.2
2
681,7
52,1
88.7
5
3,9
76,9
50.0
0
-15,6
81,5
78.0
3
6,8
98,1
67,4
36.6
6
314,3
12,2
15,7
43.8
2
924,1
29,8
70.3
5
1,9
82,0
83,7
55.3
8
L/G
s Com
mitm
ents
55-2
9,6
57,4
77.6
1
427,8
29,9
14.3
4
-4,2
35,2
23.5
0
680,0
79,7
50.0
0
--
-306,4
63,5
61.0
0
1,3
05,1
97,7
00.0
0
--
Oth
er C
ust
omer
Com
mitm
ents
55-3
-572,8
66,1
96.6
2
-579,1
00,1
74.3
2
847,0
74,3
61.0
0
--
32,3
72,6
10.1
4
129,2
42,1
61.9
4
249,5
70,5
42,9
11.9
3
1,7
78,3
37,4
96.8
0
445,3
60,2
83.4
6
BA
NK
PA
SAR
GA
D (
PLC
.)N
OT
ES T
O C
ON
SOLI
DA
TED
FIN
AN
CIA
L ST
AT
EMEN
TS
FOR
TH
E FI
NA
NC
IAL
YEA
R E
ND
ED M
AR
CH
19,
201
2
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r106
Annual Report2012 / 2013
Related Party Relationship Transaction
AmountSettlement
Period
Collateral
Controlling
Party
Balance
Receivable
(Payable)RateType of
Guarantee
Amount
m.IRRm.IRR
MIDHCO
Shareholder
and Board
Member
Bank Pasargad’s share of
Dividends paid in 20123,100 One year 27.25%
ME Mabna Co. 728,097
Settlement at Debt 3,100 Cheques 659,100
Granting Facilities 906,898 documents 659,100
Settlement of Facilities 824,298
Mabnaye
Khavar
Miyaneh Co.
Shareholder
and Board
Member
Bank Pasargad’s share of
Dividends paid in 201178,913 25%
Pasargad Bank 31,939
Granting facilities 531,900 documents 31.9
Settlement of Facilities 900,000 Cheques 47,972
(on account) Payment
for capital raise78,913
Pasargad
Leasing Co.
Shareholder
and Board
Member
Bank Pasargad’s share of
Dividends paid in 2011100,500
Pasargad Bank 747,265
Granting facilities 870,000 One year24% and 13%
documents 806,611
Settlement of Facilities 1,018,000
Forgiveness of facility
penalties17
Settlement of debt 100,500
Bank Pasargad
Machinery and
Equipment
Leasing Co.
Shareholder
and Board
Member
Dividentes declared 10,800 Cheque 1,040,078
Arzesh Afarinan 707,000
Granting facilities 757,000 documents 434,250
(on account) Payment
for capital raise10,800
Settlement of Facilities 743,000
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED MARCH 19, 2012
REPORT OF THE INDEPENDENT AUDITOR
61 - RELATED PARTY TRANSACTIONS
A) Bank’s transactions with related parties article 129 of the commercial code
w w w . b p i . i r 107
Annual Report2012 / 2013
Related Party Relationship Transaction
AmountSettlement
Period
Collateral
Controlling
Party
Balance
Receivable
(Payable)RateType of
Guarantee
Amount
m.IRRm.IRR
Pasargad
Arzesh Afarinan
Co.
Shareholder
and Board
Member
(for the rest of) Bank
pasargad’s share of
Dividends paid in 2012
205,585
Bank Pasargad
714,120
Granting facilities 610,235 Documents 593,511
Settlement of Facilities 203,400 6 months Cheque 756,085
Forgiveness of facility
penalties191
Pasargad
Aryan ICT Co.
(FANAP)
Shareholder
and Board
Member
Bank pasargad’s share of
Dividends paid in 201273,500
Pasargad Bank 411,842
prepayment for
computer’s equipment97,128
Granting facilities 704,720 Six Months24% 13%
Cheque 548,362
Settlement of Facilities 728,220 Documents 160,529
Forgiveness of Facility
penalties512
Issued LGs 230,773
Settlement of LGs 57,956
Settlement of
prepayments 18,383
Bills issued and the
settlement of part of
debt from bills
272,510
Pasargad
Insurance Co.
Bank pasargad’s share of
Dividends paid in 201230,961
78,561settlement of On-account
payment 50,000
On account settlement 50,000
payment of part of
dividend12,384
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED MARCH 19, 2012
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r108
Annual Report2012 / 2013
Related Party Relationship Transaction
AmountSettlement
Period
Collateral
Controlling
Party
Balance
Receivable
(Payable)RateType of
Guarantee
Amount
m.IRRm.IRR
Bank Pasargad
E-Payments Co.
Shareholder
and Board
Member
Bank pasargad’s share of
Dividends paid in 20121,980 Cheque 30,000
Pasargad Bank 22,105
Granting facilities 22,040
Settlement of Facilities 2,500
On-account P.O.S 35,500
On-account Settlement 40,794 Documents 30,000
Pasargad
Exchange Co.
Shareholder
and Board
Member
Bank pasargad’s share of
Dividends paid in 201242,000
Pasargad Bank 0
Settlement of debt 45,913
Bank Pasargad
Brokerage Co.
Shareholder
and Board
Member
Bank pasargad’s share of
Dividends paid in 201213,965
Pasargad Bank 2,173
On-account capital raise 9,800
Settlement of issued
guarantees603,269
Settlement of Facilities 3,708,350
Issued LGs 607,889
Granting facilities 3,651,350
Modaberan
Sakht Aryan Co.
Shareholder
and Board
member
Settlement of Cost
of acquisition and
reconstruction of
properties
42,024 Pasargad
Bank 23,373
Settlement of Facilities 569,890
Saman Sakht
Aryan Co.
Shareholder
Board
Member
Cost of acquisition
and reconstruction of
properties
76,042 Pasargad
Bank 85,345
Settlement of Facilities 749,320
Pars Aryan
Investment Co.
Board
Member
Granting facilities 821,641 6 months
21.5%
Documents 327,009Pasargad
Bank 386,569
Settlement of facilities 1,059,924 Cheques 577,776
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED MARCH 19, 2012
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r 109
Annual Report2012 / 2013
Related Party Relationship Transaction
AmountSettlement
Period
Collateral
Controlling
Party
Balance
Receivable
(Payable)RateType of
Guarantee
Amount
m.IRRm.IRR
Pasargad
Research and
Management &
Human Capital
Development
Institute
Shareholder
and Board
Member
On-account payment 13,000
Pasargad
Bank
3,000
On-account settlement 10,000
Iranian
Reinsurance
Company
Shareholder
and Board
Member
Bank pasargad’s share of
Dividends paid in 2012
7,500 0
7,500
Pasargad Energy
Development Co.Shareholder
supplying Human Capital
164
Pasargad
International
Trade Co.
264
Providing Insurance Services
135
pre-selling of administrative apartments
66,050
Pasargad Financial Group’s Tamin Maskan Co.
Mutual Board Member
exchange of securities 97,585
(68)
selling of shares of company and staff resign
2,401
Selling of future Guarantee
2,469
selling of securities 142
Pars Aryan Investment Co.
Board Member
Current payments for Bokharest property
15,532
(10,728)Armaghan 102
exchange of securities 14,306
Iranian Reinsurance Company
Shareholder and Board Member
exchange of securities 45,440
84,347providing of insurance services and dividend
91,771
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED MARCH 19, 2012
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r110
Annual Report2012 / 2013
Related Party Relationship Transaction
AmountSettlement
Period
Collateral
Controlling
Party
Balance
Receivable
(Payable)RateType of
Guarantee
Amount
m.IRRm.IRR
Tamin Atieh Co.Mutual Board Member
Current payments for Hamila project
62
16,753
Allocation of Qarz ol hasaneh
753
Selling of future gurantee
4,548
Managed funds 6,398
selling of shares 440
dividend received 1,444
pre-selling of Mirdamad administrative apartments
1,000
Providing Insurance services
189
prepayment shares 2,979
Arian
Engineering
System
Construction
Management Co.
Board Member
payments made for construction of Imam Ali project
1,034 Pasargad
leasing13,917
rent & Installment facilities of material
597
Pasargad Pars Heritage Co.
Mutual Board Member
purchasing of administrative equipment
1,169
1,271 providing of insurance services
57
Dargah Zamen
Construction Co.
Mutual Board Member
purchasing of administrative equipment
7,000 (11.6475)
Hasin Qeshm Creative
Mutual Board Member
purchasing of Irancell transaction fee
1,950 -
purchasing of card and software
4,591
(644)
DATX
Shareholder & Mutual Board Member
on-account payment 3,965
(3,965)
ETICK Pars Shareholderselling od pre-paid card
10,479
9,498
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED MARCH 19, 2012
Consolidated subsidiaries Transaction with related Party
REPORT OF THE INDEPENDENT AUDITOR
w w w . b p i . i r 111
Annual Report2012 / 2013
Related Party Relationship Transaction
AmountSettlement
Period
Collateral
Controlling
Party
Balance
Receivable
(Payable)RateType of
Guarantee
Amount
m.IRRm.IRR
Nozhan Sanat Construction
Shareholder & Mutual Board Member
on-account payment 257
257
Qazvin Civil and construction Co.
Shareholder & Mutual Board Member
Participation in Qazvin Booali Project
18,687
(11,014)
B) Other Related Parties Arzeshpardaz Aryan Investment Consulting Co. (AAICCO)
related party
Providing of services 400
200
Mobin Investment Development Company
Mutual Board Member
Selling of shares of MIDHCO
901,480 0
3rd Millennium Hamyaran Co
Close to CEO or related to CEO
Commission payment 5,732 0
BANK PASARGAD (PLC.)NOTES TO CONSOLIDATED FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED MARCH 19, 2012
REPORT OF THE INDEPENDENT AUDITOR