Investor Presentaiton
32 Charlottetown Airport | 2013 Annual Report
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Net assets internally restricted for future requirements
Effective December 31, 2013, the Board authorized the transfer of $2,700,000 (2012 - $3,500,000) from
unrestricted net assets to internally restricted net assets. The internal restrictions set by the Board allow
transfers from this fund only for authorized purposes including the purchase of capital assets.
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Grants in lieu of property taxes
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The Province of Prince Edward Island and the City of Charlottetown provide the Authority annually with
grants in lieu of property taxes. The granted amount of $474,239 for the year ended December 31, 2013
(2012 - $386,509) is included as revenue in these financial statements.
Severance pay obligation
Employees are entitled to severance pay under the terms of a collective agreement and management
contracts. The severance pay obligation is accrued by the Authority commencing with an individual's
employment.
Pension plan
Charlottetown Airport Authority Inc. is a member of the Canadian Airport Authorities and Canadian Port
Authorities Pension Plan (the "Plan"), a multiple employer pension plan. The Plan includes both a defined
benefit portion ("Superannuation Plan") and a defined contribution portion ("Defined Contribution Plan").
Employees who were previously employed by Transport Canada automatically became members of the
Superannuation Plan on March 1, 1999 when control of the Charlottetown airport was transferred to
Charlottetown Airport Authority Inc. The Superannuation Plan was closed to new members subsequent
to that date, and all other employees of the Authority are members of the Defined Contribution Plan.
Eligible employees contribute to the Superannuation Plan each year at the rate of 7.5% of earnings up to
$3,500, 4.0% of earnings between $3,500 and $51,100 and 7.5% of earnings above $51,100. The Authority
is required to make annual contributions to the Superannuation Plan as advised by the actuaries.
Employees who are members of the Defined Contribution Plan contribute up to 6% of earnings, while the
Authority matches 100% of employees' contributions. Pension expense for the Defined Contribution Plan
was $66,937 for 2013 (2012 - $62,003).View entire presentation