WI income

7 responses to “WI income”

1. Ewan Duffy | Tuesday 11 December 2012 at 20:32 |

   I was wondering how they got €5m in other income. Then I realised that it was my failure to convince the C&AG to adopt the British model of reporting FRS17, leading them to come up with this asinine “Net Deferred Funding for Pensions” line, that gives rise to WI’s other “income”. I shall shut up now.

2. bjg | Tuesday 11 December 2012 at 20:34 |

   No, please don’t. You might actually understand the financial stuff; I just look for obvious bits, a bit like an RTE radio presenter. bjg

3. Ewan Duffy | Wednesday 12 December 2012 at 14:39 |

   IMHO, the inclusion of this line in “Other income” is misleading as it is only deferred income if some other entity is recording an entry in their accounts as a cost, which we know they aren’t as central government works on a cash and not an accruals basis. In addition, it makes the comparison of actual income year on year difficult and – I would go so far as to say – meaningless.

   A better presentation would be to separate out this fictional income into a line of its own, representing the estimated cost to the State of providing defined benefit pensions to its current and former staff.

4. bjg | Wednesday 12 December 2012 at 14:44 |

   It raises two issues (if I’m keeping up properly): first, the effect on the rest of the figures and, second, the certainty of employees’ receiving pensions. bjg

5. Ewan Duffy | Wednesday 12 December 2012 at 15:40 |

   Agreed. If I were cynical, I’d suggest that the figure is put in there deliberately to divert attention from the actual other income. As for your second observation, one of the worries I have as someone who is due a pension from another NCSSB (as I mentioned in a previous post) is that the State may welch on it. Whilst I have no guarantees with my current employer provided defined contribution pension, at least I know there is a fund – separate to my employer – with both my and their contributions in it.

6. Ewan Duffy | Wednesday 12 December 2012 at 15:52 |

   Looking at the movement in each subheading, I have the following comments:

   Licences – more than doubled. What are the licences issued for?
   Property related. What is these? Rental income?
   Operating income. Lock fees?
   Interest receiveable. This worries me. In the present market, there is very little interest paid to corporate customers of financial institutions. That WI have seen interest jump to 12k from 1k would suggest that they are hoarding cash. Given the financial predicament that both the Irish and UK governments are in, this should not be tolerated. Such cash belongs in the respective Treasury functions of the respective central governments.
   Other Income: uncategorised other income represents 27% of the total. More granularity here (to use that politician’s word) would be nice.

7. bjg | Wednesday 12 December 2012 at 16:15 |

   The licences MAY include the items listed here and here.

   I am in the process of finding out more about WI’s rental income: I can tell you so far that it leases a total of 233 properties: some land, some buildings, some both. It has disposed of some in recent times [more later] for fairly small amounts.

   I imagine that operating income is mostly lock fees, but I’ll try to check that in a post-Christmas set of queries to WI. NB I don’t know where the income from the new permits will be included.

   I have no information about the interest or the “other income”.

   bjg

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