IFRS 9 新準則，新挑戰 - airc.org.tw

1 IFRS 9.. 2014 7 23 . 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 1. entity. All rights reserved.. 1 IFRS 9 . 2 . 3 . 4 . 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 2. entity. All rights reserved. 2008 . 1. 2. 3. 4.. 2000 2005 .. 1%.. 2000 2003 2005 2006 2008.. 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 3.

2 Entity. All rights reserved. 2008 .. 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 4. entity. All rights reserved. 2008 . 2008 ABX . 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 5. entity. All rights reserved. IFRS 9 . IAS39: IFRS 9 . (Incurred loss model) (Expected Loss Model).. Prospective cliff effect 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 6.

3 Entity. All rights reserved. IFRS 9 - 3 .. IFRS. 9.. 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 7. entity. All rights reserved. IFRS 9 .. + .. IFRS 9 . 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 8. entity. All rights reserved. IFRS 9 . IAS 39 .. Fair value . option OCI.. option .. OCI(FVTOCI) (FVTPL). 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 9.

4 Entity. All rights reserved.. 1 IFRS 9 . 2 . 3 . 4 . 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 10. entity. All rights reserved. IFRS 9 .. ? ? .. ? .. 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 11. entity. All rights reserved. Unlisted Stock . Fair Value Type Characteristics Valuation Approaches Hierarchy 1.

5 Apply latest transacted price Yes Level II. 2. Apply the binding offer price 1. If IPO price is available (confirmed), it Issuer stage: Level II. could be directly adopted IPO Candidate, stable and Representable expansion 2. DCF model Level III. 3rd party price is 3. Market approach Unlisted available within Stock a short period of time No 1. DCF model Issuer stage: 2. NAV - capital intensive companies Level III. early 3. Market approach 1. 3rd party valuation Issuer stage: 2. The latest NAV and NAV should be Level III. surveillance derived base on the market value or the liquidation value 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 12.

6 Entity. All rights reserved. Emerging Stock . Valuation Approaches Fair Value Type Characteristics Hierarchy Yes (*decision criteria) Market closing price Level I. Traded in 1. Apply latest transacted price Emerging Yes Level II. an active 2. Apply the binding offer price Stock Representable 3rd party market No price is available within a short period of time No Treated as unlisted stocks Level III. Potential valuation policy Emerging Stock - traded in an active market * Emerging stock with monthly volume turnover rate above the benchmark xth percentile of the past x months average monthly volume turnover rate of all Taiwan Stock Exchange (TWSE) or GreTai Securities Market (GTSM) listed stocks as of the Valuation Date ( x% of the monthly volume turnover rate of all TWSE/GTSM listed stocks are greater than the benchmark).

7 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 13. entity. All rights reserved. Emerging Stock .. 30 .. 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 14. entity. All rights reserved. Level III .. - . - - . - - - . - . - . - . - - . - . - - . - - . - - - . 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 15.

8 Entity. All rights reserved. Level III DCF.. - .. - .. - .. (WACC) - . - . - . - . - . - . 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 16. entity. All rights reserved. Level III DCF .. (WACC). rwacc rD (1-t) D/(D+E) rE E/(D+E).. (CAPM). 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 17. entity. All rights reserved.

9 Level III DCF . Assumptions & Cross Parameters Description Sources Check Discount rate (WACC) Rf = risk free rate Bloomberg CoCo WACC = Ke * [E/(D Long term sovereign bond yield obtained based on the currency of the + E)] + Kd * (1-T) * cash flows [D/(D + E)]. (beta) Bloomberg Ke = Rf + * (Rm - Unlever monthly adjusted beta for the comparable companies and then Rf) + (cost of relever to target's or industry's capital structure equity, based on CAPM) 2 years weekly or 5 years monthly (Rm-Rf) = equity risk premium Aswath Damodaran Refer to total risk premium by countries (based on Aswath Damodaran).

10 = size premium Ibbotson SBBI. Valuation based on 2011 Yearbook Yearbook Kd = cost of debt Bloomberg Either company's current cost of borrowing (financial statements) or Target's bank quote financials Bank quote T = tax rate Target Company's corporate tax rate (statutory). D/E ratio Bloomberg D/E ratio of comparable companies 2014 KPMG, a Taiwan partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative ("KPMG International"), a Swiss 18. entity. All rights reserved. Level III Market Approach.