4. Capital management (continued) The Corporation does not have share capital. However, the Corporation has received advances from CIC, which reflect an equity investment in the Corporation, to form its equity capitalization. The Corporation monitors capital on the basis of the proportion of debt in the capital structure, with a long-term target range of 58.0% to 63.0%. The purpose of this strategy is to ensure the Corporation’s debt is self-supporting and does not adversely affect the Province’s access to capital markets. The debt ratio was calculated as net debt divided by total capital at the end of the fiscal year as follows: (millions) 2017 2016 Long-term debt $ 1,019 $ 970 Short-term debt 293 299 Debt retirement funds (101) (102) Cash (1) (11) Total net debt 1,210 1,156
Equity advances Retained earnings
72
72
669
786
Total capital
$ 1,897
$ 2,068
60.9%
58.5%
The Corporation’s objectives, policies and processes for managing its capital were consistent with the prior period. The Corporation complied with all externally imposed requirements for its capital throughout the period, which include compliance with the approved borrowing limits for short-term and long-term debt, and the annual investment requirement to the debt retirement funds.
5. Trade and other receivables (millions)
2017
2016
Unbilled revenue Trade receivables Other receivables
$ 35
$ 34
62 13
63 19
110
116
Allowance for doubtful accounts
(6)
(5)
$ 104
$ 111
The following reflects an aging summary of the Corporation’s trade and other receivables. All trade and other receivables not classified as current at the end of the reporting period are considered past due. (millions) 2017 2016 Current $ 98 $ 92 30 - 59 days 7 7 60 - 89 days 5 4 Greater than 90 days 6 7 116 110 Allowance for doubtful accounts (5) (6) $ 111 $ 104
57
2016-17 ANNUAL REPORT SASKENERGY
Made with FlippingBook Ebook Creator