Separate Annual Report 2023

73 SEPARATE FINANCIAL STATEMENTS 2023 Barbados Public Workers’ Co-operative Credit Union Limited Notes to the Separate Financial Statements March 31, 2023 (expressed in Barbados dollars) 45 13 Pension plan asset …continued g) Principal actuarial assumptions at the reporting date (expressed as weighted averages): 2023 2022 Discount rate at end of year 8.25% 8.25% Expected return on plan assets at end of year 8.25% 8.25% Future salary increases 6.75% 6.75% Future pension increases 1.75% 1.75% Future changes in NIS ceiling 4.25% 4.25% Termination of active members 0.00% - 11.25% 0.00% - 11.25% Future expenses 0.00% 0.00% At March 31, 2023, the weighted-average duration of the defined benefit obligation was 19.03 (2022: 19.79) years. h) Sensitivity analysis on projected benefit obligation: Reasonably possible changes at the reporting date to one of the relevant actuarial assumptions, holding other assumptions constant, would have affected the defined benefit obligation by the amounts shown below: Increase Decrease Discount rate (1% movement) (2,234,510) 2,914,638 Future salary growth (0.5% movement) 972,655 (883,717) As mortality continues to improve, estimates of life expectancy are expected to increase. The effect on the projected benefit obligation of an increase of one year in the life expectancy is approximately $340,033. 14 Investment in subsidiary 2023 $ 2022 $ BPW Financial Holdings Inc. - 100% 10,192,600 10,192,600 Reversal of impairment 1,307,400 – 11,500,000 10,192,600 Allied Co-operators Inc. - 100% 1,000,000 1,000,000 12,500,000 11,192,600 The Credit Union holds 115,000 shares in its 100% owned subsidiary BPWFH Inc, with a par value of $100 each, totaling $11,500,000 (2022: $10,192,000) at March 31, 2023. These shares were previously assessed for impairment and were deemed to be impaired by $1,307,400 and they were written down accordingly to $10,192,600 at March 31, 2019. Current assessments show that the carrying values are now above cost and hence they are being written back up to their original cost to reflect that the investment is no longer impaired.

RkJQdWJsaXNoZXIy MTA2MDM=