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1. GENERAL INFORMATION
CPC Corporation, Taiwan (the "Corporation" or CPC) was established on June 1, 1946 and engages mainly in oil and gas
exploration, refining, procurement, transport, storage and marketing.
The functional currency of the Corporation is the New Taiwan dollar.
2. APPROVAL OF FINANCIAL STATEMENTS
The financial statements were approved by the Corporation's board of directors on April 15, 2016
3. APPLICATION OF NEW, AMENDED AND REVISED STANDARDS AND INTERPRETATIONS
a. Initial application of the amendments to the Regulations Governing the Preparation of Financial Reports by Securities
Issuers and the 2013 version of the International Financial Reporting Standards (IFRS), International Accounting Standards
(IAS), Interpretations of IFRS (IFRIC), and Interpretations of IAS (SIC) endorsed by the FSC.
Rule No. 1030029342 and Rule No. 1030010325 issued by the FSC on April 3, 2014, stipulated that the Corporation apply
the 2013 version of IFRS, IAS, IFRIC and SIC (collectively, the "IFRSs") endorsed by the FSC and the related amendments
to the Regulations Governing the Preparation of Financial Reports by Securities Issuers starting January 1, 2015.
Except for the following, whenever applied, the initial application of the amendments to the Regulations Governing the
Preparation of Financial Reports by Securities Issuers and the 2013 IFRSs version would not have any material impact on
the Corporation's accounting policies:
1) IFRS 12 "Disclosure of Interests in Other Entities"
IFRS 12 is a new disclosure standard and is applicable to entities that have interests in associates. Please refer to Note
15 and Table 7 for related disclosures.
2) IFRS 11 "Joint Arrangements"
IFRS 11 replaces IAS 31 "Interests in Joint Ventures" and SIC 13 "Jointly Controlled Entities - Non-monetary Contributions
by Ventures." Joint ventures are classified as joint operations or joint ventures, depending on the rights and obligations of
the parties under the arrangements. Joint ventures are accounted for using the equity method.
3) IFRS 13 "Fair Value Measurement"
IFRS 13 establishes a single source of guidance for fair value measurements. It defines fair value, establishes
a framework for measuring fair value, and requires disclosures about fair value measurements. The disclosure
requirements in IFRS 13 are more extensive, for example, quantitative and qualitative disclosures based on the three-
level fair value hierarchy currently required for financial instruments only will be extended by IFRS 13 to cover all assets
and liabilities within its scope.
The fair value measurements under IFRS 13 will be applied prospectively from January 1, 2015, please refer to Note 31.
4) Amendments to IAS 1 "Presentation of Items of Other Comprehensive Income"
The amendments to IAS 1 requires items of other comprehensive income to be grouped into those items that (1) will not
be reclassified subsequently to profit or loss; and (2) may be reclassified subsequently to profit or loss. Income taxes on
related items of other comprehensive income are grouped on the same basis. Under current IAS 1, there were no such
requirements.
The Corporation retrospectively applied the above amendments starting in 2015. Items not expected to be reclassified
to profit or loss are remeasurements of the defined benefit plans. Items expected to be reclassified to profit or loss
are the exchange differences on translating foreign operations, unrealized gain (loss) on available-for-sale financial
assets and, share of the other comprehensive income of associates and joint ventures accounted for using the equity
method. However, the application of the above amendments will not have any impact on the net profit for the year, other
comprehensive income for the year (net of income tax), and total comprehensive income for the year.
CPC CORPORATION, TAIWAN
NOTES TO FINANCIAL STATEMENTS FOR THE YEARS ENDED DECEMBER 31, 2015 AND 2014
(In Thousands of New Taiwan Dollars, Unless Stated Otherwise)
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Financial Statement