20. Net finance expenses (continued) Borrowing costs were capitalized to qualifying assets using the weighted average cost of debt of 3.7% during the period (2016 – 3.7%).
21. Other losses
12 Months
15 Months
Ended March
Ended March
(millions)
31, 2017
31, 2016
Loss on impairment of assets Gain on insurance proceeds Net loss on disposal of assets
$ (6)
$ (29)
4
3
(1)
(7)
$
(3)
$ (33)
The insurance proceeds recognized in other losses are related to a cavern wellhead fire that occurred in the latter part of 2014. The insurance proceeds received during the period are a reimbursement for assets lost and costs incurred in previous reporting periods. Subsequent to year end, the Corporation received a $2 million commitment from the insurer to settle the remainder of the outstanding claim. 22. Related party transactions Balances and transactions between SaskEnergy and its wholly owned subsidiaries, which are related parties of SaskEnergy, have been eliminated upon consolidation and are not disclosed in this note. Details of transactions between the Corporation and other related parties are disclosed below. a. Transactions with key management personnel Key management personnel include directors and executive officers. The compensation paid to key management for employee services was as follows: 12 Months 15 Months Ended Ended March March (millions) 31, 2017 31, 2016
Short-term benefits
$
4
$
4
b. Other related party transactions As a Crown corporation, the Corporation is ultimately controlled by the Government of Saskatchewan. Included in the consolidated financial statements are transactions with various Saskatchewan Crown corporations, ministries, agencies, boards and commissions related to the Corporation by virtue of common control by the Government of Saskatchewan and non-Crown corporations and enterprises subject to joint control and significant influence by the Government of Saskatchewan (collectively referred to as related parties). Government-related entities are exempt from providing disclosure about individual related party transactions, other than the transactions with key management personnel disclosed above. Instead, government-related entities are required to disclose the types and extent of individually or collectively significant transactions with related parties. In determining individually significant transactions, the Corporation considers the size, type and terms of the transaction. There were no other individually or collectively significant transactions with related parties for the period. All other transactions with related parties were routine operating transactions that were settled at prevailing market prices under normal trade terms.
69
2016-17 ANNUAL REPORT SASKENERGY
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