30
2016 ANNUAL REPORT
Gasoline and Bunker Crude, showed
a sharp decline. Whereas Premium
Gasoline and Bunker C grew by $16
million (+112,542 bbl) and �$5 million
(+113,125 bbl), respectively, Plus 91 fell
by $8 million (-84,858 bbl) and Jet A-1
fell by $6 million (-84,536 bbl).
RECOPE’s cash and cash equivalents
as at December 2016 accounted for
24.01% of the current assets and 4.59%
of the total assets (up from 4.20% in
December 2015).
Non-current assets grew by $4 million
(+1.43%) in relation to December 2015.
This $20 million (+2.04%) increase is
attributable to the technical evaluation
carried out in late 2015, and to the
capitalization of project costs, which
include the distribution tanks in El
Alto, Barranca and La Garita Terminals,
and other minor assets. The following
are among the most relevant projects
currently in progress: SAGAS, the
Atlantic Port Terminal, the Expansion of
the Storage Site in Moín. Investments
made in furtherance of joint ventures (a
contractual agreement in which RECOPE
holds ownership over 50% of the
shareholders’ equity of SORESCO, S.A.)
grew by $0.3 million (+0,65%). It is also
important to note that plant, machinery
and equipment account for 74.54% of
the non-current assets and 60.41% of
the total assets.
Total Liabilities
RECOPE’s total liabilities rose to $544
million as at December 2016, up by
$15 million (+2.81%) in relation to
December 2015.
Current liabilities as at December
2016 closed at $169 million, up by
$16 million (+10.63%) in relation
to 2015. The above occurred mainly
due to the $22 million (+21.63%)
increase in accounts payables, which
accounted for 22.54% of the current
liabilities. Concomitantly, the deferred
revenue (which accounted for 2.47%
of the liabilities) and the provisions for
services rendered fell by $3.90 million
and $0.58 million, respectively. Current
liabilities accounted for 31.18% of
the total liabilities, up from 28.97% in
relation to December 2015.
Non-current liabilities totaled $374
million, decreasing by $1 million
(0.39%) in comparison to December
2015. This was influenced by the long-
term bonds, which rose to $188 million,
up by $15 million (+7.66%) in relation to
the previous year and the long-term debt
with Corporación Andina de Fomento
(the Andean Development Corporation
- due in 2018) and Scotiabank (due
in 2020), which fell by $6 million
(-30.76%) in relation to the previous
year. Long-term liabilities accounted for
68.84% of the total liabilities.
In regard to indebtedness, RECOPE has
been known to have very little leverage
as a company. Everything used to be
financed with own funds before 2011;
funding a project with bonds was not
an option. RECOPE entered the stock
market in 2012 (widely considered to
be a positive outcome by risk rating
agencies). With these resources,
RECOPE has the necessary funds to
back the currently ongoing investment
plan.
RECOPE resorts to the services provided
by the stock exchange to extend
financing terms and cut costs, on the
basis of a tariff reduction principle in
which the cost is not recorded until the
project is completed.
In 2015, due to a considerable increase
in the CRC/USD exchange rate, the
company decided to favor colones
instead of dollars. In view of the above,
between 2015 and 2016, �$45 billion of
the A-5 Series and $10 million of the
A-6 Series were fulfilled. This left only
