Auditor’s report and

financial statements
for the year ended
31 December 2014
.!

International Centrefor DiarrhoealDisease

Research,Bangladesh(icddr,b)

Auditor's report and financial statenents

for the year ended31 December 2014
,J

CORPORATE INFORMATION

Dr. RichardW Smith,UK SyedMonjurul Islam,Bangladesh

(Chair,Boardof Trustees)

Prof, Dr. Md. SuhrabAli, Bangladesh Dr. PrakinSuchaxaya,Thailand

(GoBrepresentative) (WHOrepresentative)

Dr. NormaBinsztein,Argentina Prof,ZhongweiZhao,China

(Chair,HumanResourcesCommittee)

Prof,Zulfiqar A Bhutta,Pakistan
(Chair,Programme Committee) SeniorManagement

. Mr. MohammadMejbahuddin,Bangladesh Dr. JohnD Clemens

- (Chair,FundDevelopmentCommittee) ExecutiveDirector.icddr.b

Mr, KennethM Dye,Canada Dr. AbbasUddin Bhuiya

(Chair,Finance
& AuditCommittee) DeputyExecutiveDirector
Director,Centrefor EquityandHealthSystems

Prof.N KGanguly,India Ms. Ingrid Renaud

Chief Operating Officer

Dr. Mary ElizabethWilson,USA Dr. Md Abdus Salam

Director,ResearchAdministration

Prof, Ann-Mari Svennerholm,Sweden Dr. TahrneedAhmed

Director,Centrefor Nutrition andFoodSecurity

Dr. JeanetteV€ga, USA Ms. Christine Dennehy

Director, Human Resources(From SeptemberI , 20 14)

Dr, Maxine Anne Whittaker, Australia Dr, ShamsEl Arifee n

Director,Centrefor Child andAdolescentHealth

Mr, SanjayWijesekera,Srilanka Dr, TasnimAzirn

(UNICEFrepresentative) Director,Centrefor HIV andAIDS
,!

CORPORATE INFORMATION

SeniorManagement(Cont'd)

Dr. EmilySuzann€ Gurl€y Dr. ShahM Faruque

ActingDirector,Centrefor Communicable
Diseases Director,Centrefor Food& Waterbome
Diseases

Mr. GrahamJudd Mr. SamuelLewisRose

Director,Communications
& Development Management
Director,SupplyChainandFacilities
(FronDecember l, 2014)

Dr. FirdausiQadri Ms.AnnGauvinWalton

Director.Centrefor VaccineSciences (Till May 15,2014)
Director,HumanResources

Dr. Md. Anisur Rahman Dr. Peter Kim Streatfietd

ActingDirector,Centrefor Reproductive
Health Urbanisation
Director,Centrefor Population, and
ClimateChange(Till October3 I , 2014)

Dr. QuamrunNahar Dr. Simbarashelrvine Mandizvidza

ActingDirector,Cenffefor Population,
Urbanisation (Till October14,2014)
and Director,Finance
ClimateChange(FromAugust1,2014)

Address
68, ShaheedTajuddinAhmed Sarani,Mohakhali,Dhaka-
t212
Bangladesh

Tel:+880-2-98270
01to l0
Iax: +880-2-982709l, 9821
077,
9827101, 9827062

Email: info@icddrb.org
Web:www.icddrb.org

ExternalAuditors
RahmanRahmanHuq
(KPMGin Bangladesh)
.t
Management DiscussionandAnalysis
For th€ year endedf,l December2014

This reportis a summarydiscussion of the financialactivitiesof icddr,b(the Centre)for the fiscalyearended

December 31,2014.Thereportshouldbereadin conjunction with thefinancialstatements beginningon page8.
The Statement of FinancialPositionon page7 providesinformationaboutthe financialstatusof icddr,bas a
wholeand includestheassets andliabilitiesofthe EmployeeSeparation PaymentFund(ESPF).

Net assetsrepresentthe diJlerencebetweenassetsand liabilities.Changesin net assetsindicatewhetherthe

financialhealthis improvingor deteriorating
overtheperiod.

Table I showsa totaldecrease in net assetsofUS$ 8 million.Thedecrease in net assetis mainlycontributedby

the transferof CapitalWork in Progress - CWIP to ProperryPlanr& Equipment- PPE.As the CWIPsmostly
relatedto restrictedassets,theseCWIPSwere alreadychargedas expensesin previousyearsaccordingto
cenhe'spolicy.Ifwe ignoretheeffectof thetransfer,it canbe seenthatthereis an increaseof US$ 1.?milhon
in netassets.Currentandotherassetsincreased by US$7.4millionmainlydueto increase in invesfnentby US$
1.7 million, loan and advancesby US$ 648K and cashand cashequivalents by US$ 6.1 rnillion,whereas,
therearedecrease receivables
in accounts andinventoriesin totalUS$ t million.

Investmentsincreasedby US$ 1.7 million mainly due to increasein advanceto ESPFinvesfinents and to
suppliers,
whereasincrease
in cashandcashequivalentsofUS$ 6.1 rnillionis contributedby thesurplusduring
theyear.

ESPFincreased by US$ l.l million dueto ESPFmember'scontdbution. DeferredContributionsdecreased by

US$ 545K fiom lastyear.Accountspayableard provisionincreased by US$ 2.3 million largelydueto increase
in provisionfor goodsUS$ 648K, provisionfor servicesUS$ 3l lK, provisionfor local employeeincomelax
US$ 175K, provisionfor leave local employeesUS$ 212K, provisionfor medicalexpenses US$ 167K,
provisionfor endof seryicegrantUS$255K, localemployee separation clearingaccountUS$33lK andothen
us$201K.
T a b l el :

andOtherAssets Ss,qqg 78,04,

Asset '72,079
59,5?6
andOtherLiabilities(includingESPF) (63,152)
Assets 81,823

Assets(ignoring transfer ofCWIP) 91,559

56,667 69,443

otal Net Assets 81,823

Uruestrictednet assetsrepresentthe part of net assetswhich is usedto financeday-to-dayoperationswithout

consfiaintsestablishedby donors,or oth€r requirements.This has in$easedby US$ 4.? million mainly due to
the surplusduringthe year of US$ 4.05 million, increasein HospitalEndowmentFund(HEF) US$ 337K and
CenfieEndowment Fmd (CEF)US$ 284K.
l-

.!

ManagementDiscussionand Analysis(Continued,)
For the vearended3l December 2014

Table2:
CHANGESIN NET ASSETS

2014 z0l3

65,t64 63,476
8,351
73,515

52,675
16,501
286

Table 2 showsthat total revenueincreased US$ 6.3 million duringthe year,of this amountUS$ 6.4 million
increased Aom restrictedprojectsandUS$ 142K decreased grants.However,an amountof
from unrestricted
US$ 3.6 million in restlictedincome,relatedto grantof leasehold lands,hasbeennettedoff with amortization
expenses in the statementof activities.Total expenses increasedby US$ 5.6 million, includingamorizationof
leasehold land,comparedto lastyear,whereasprogramcostincreased by US$ 5.5 million. This increasein
expenses is mainlydueto increases in local salary,consultancy, andmaterials,rent& communication,
supplies
training disseminationand staff development,hospital patientcost.Managementand administrationexpenses
wentup by US$ l63K dueto increases travel& vehiclehire charges,
in local salary,consultancy, suppliesand
materials,rent, communication and utilities and cleaning and securities.
A surplus of US$ 4.05 million was
recordedin 2014 which is US$ 666K higherthan that ofthe previousyear.The surplus will allow icddr,bto
buildcashreserves.

BudgetaryHighlights

The surplusofUS$ 4.05million for 2014is well aboveby US$ 3.6millioncomparedto theforecaslsurplusof
US$458K. This wasmadepossibleby improvedbudgetarycontroloverexpenditures andclosermonitoringof
salaryallocationto projects.Certainactivitieswerealsodelayed,SavingsofUS$ 3.6 million weremadefrom
US$ 8K in intemationalsalary,US$ 5K in legaland professional
US$ 1.4rnillion in consultancy, fees,US$
3K in suppliesand materials,US$ 2K in mandatorycommittee,nainingand dissemination US$ 2K, other
expenditureUS$ 2K and so on, Thesesavingswerereducedby an underrecoveryof indirectcostof US$
385K and other receiptsof US$ 492K. Management will continueto take stepsto identifyareasof possible
improvementandcost controlby monitoring performanceon a monthlybasis-
 ManagementDiscussionand Analysis(Continued.)
For the yearended31 December 2014

Table3:
OTHER PER.FORMANCEINDICATORS

2014 2013
Staff 4,391 +ffi I rrriry*r number
of staff
International derreases
despiteiocrease
in
staff 4'7 4g I
I vorumeor Duoeet.
Total numberof staff 4,438 4,554 )

Indlect CostRatio
I
34.00% 37.18o/o I Efficiencymeasures:
Target
J indirectcostrate< 25Yo

Ratio 1,26 1.?4

-^^. I Liquidjtylndicarors
65%
Totalcurrentliabilities

Table 3 is a numberof performance indicators.The workforcedecreased by 116.This is dueto decrease in

nationalstaffof I 15andIntemationalstaffof l- Out ofthe nationalstaff104is fixed termand11 is conffactual.
Mostofthe contractemployees werehired for specificprojects.As of December31, 2014,the total scientific
staffwas218.

Indirectcostsrepresentthe expenses that are not readilyidentifiedwith a particulargrant,contract,project

functionor activity,but are necessary for the generalopemtionsof the organisation. An indirectcost rat€
represents
the ratio betweenthe total indirectcostsandbenefitingdirectcosts.The ratiohasreducedby 3% in
2014compared to lastyear.

The currentmtio reflectsicddr,b'sability to pay its shortterm obligations.It has marginallyincreased but
ideallyshouldbe improvefrom the presentlevel. A significantportionof lhe Centre'sliabilitiesrelatesro
contributions
receivedin advancefrom donors.A substantial proportionofconnibutionsin advance to available
cashbalancescouldincrease theCentre'sexposueto liquidityrisk.
InternationalCentrefor DiarrhoealI)isease
Research,Bangladesh(icddr,b)

Auditor's report and financialstatements

for the year ended31 December2014
 R a h m a nR a h m a nH u q Telephone+880 {2)988 64502
ChartsredAccountant6 Fax +880{2)9886449
I N/ohakhali
C/A{l lth & 12thFloors) E-mai dhaka@kpmg corn
Df,aka1212 lnlernet wwwkpnrg.cora/bd
Bangadesh

Independent Auditor'sReport
to the Board of Trust€esof
Int€rnatiooalCentrefor DiarrhoealDisease Research, (icddr,b)
Bangladesh

We haveauditedthe accompanying furancialstatements Centrefor DianhoealDiseaseResearch,

of Intemational
Bangladesh (icddr,b),which comprisethe slatement of fmancial positionasat 31 December2014,andstatemeni
of activities,statementof changesin firnds and statementof cashflows for the year then ended,and a surnrnary
ofsignificantaccounting policiesandotherexplanatory information.

Management'sresponsibilityfor the financialstatements

Management andfair presentation
for the preparation
is responsible of thesefmancialstatements in accordance
with the Accounting Policies of icddr,b as set out in Note 3 and for such intemal control as managemenl
determinesis necessaryto enablethepreparation offinancialstatementsthatarefreefrom materialmisstatement,
whetherdueto fraudor error.

Auditor'sresponsibility
Our responsibilityis to expressan opinionon thesefinancialstatements basedon our audit.We conducted our
audit in accordance with InternationalStandards on Auditing (lSA). Thosestandards requirethat we comply
with ethicalrequirements and plan and performthe audit to obtainreasonableassurance aboutwhetherthe
financialstatements arefiee from materialmisstatement.

An audit involvesperformingprocedures to obtainaudit evidenceaboutthe amountsand disclosures in the

financialstatements. The proceduresselected depend on ourjudgment, includingthe assessment of the risks of
material misslatementof the financial statements,whether due to f:aud or error. In making those risk
assessments, we considerinternalcontrolrelevantto theentity'spreparation andfair presentationofthe financial
statements in orderto designauditprocedures tiat are appropriate in the circumstances,but not for thepurpose
of expressing an opinionon theeffectivenessofthe entity'sintemalcontrol.An auditalsoincludesevaluating the
appropriateness of accounting policies used and the reasonableness of accounting estimates made by
management, aswell asevaluatingtheoverall presentation ofthe financial statements.

to providea basisfor our audit

We believethatthe auditevidencewe haveobtainedis sufficientandappropriate
opinion.

Opinion
In our opinion,the financialstatementspresentfairly, in all materialrespects, the furancialpositionof icddr,bas
at 3l December 2014, andof its performance
financial and its cashflows for the yearthenendedin accordance
with theAccountingPoliciessetout in Note3.

Basisof accounting
Withoutmodifoingour opinion,we draw attentionto Note 3 to the financialstatements, which describesthe
basisof accounting.The financialstatements areprepared to assisticddr,bto complywith the financialreporting
provisionsreferredto above.As a result,the financialstatementsmaynot be suitablefor anotherpurpose.

2 June2015
Dhaka,
qJ-*-'f^/'*4
7Plr
b

To 330i3rr71070.1 7 rl99f
Frt 3 3 r1 3 1 r 2 5 2 C 7 9 5
r02 Aodbao ciA l3rd Fr.oa Ei . l .\ia!.lOrfns..r
1(Pr,'lG nlemarior'). a swEs edry fre ner ,$i! rrlmll.nni.d
 InternationalCentrefor DiarrhoealDiseaseResearch,Bangladesh(icddr,b)

Statement of firanciat position

Amount in US$
Note 3l Dec2014 3l Dec2013
Assets
Property,plant andequipment 4 56,442,475 59,202,7
57
Capitalwork in progress 5 2,971,688 12,707,851
Assetsin fansit l11,870 168,853
Investments 35,429,953 33,684,035
Total non-currentassets 94,955,986 105,763,496

Inventories 7 39s,879 643,857

Accountsreceivables 8 13,4s
1,807 14,293,800
Loansandadvances 9 3,783,'125 3,135,203
Cashandcashequivalents l0 3?,387,626 26,284,967
Total current assets 50,018,387 44 1r? R??

Total assets 144,914'313 150,121,323

Non-currentliability
Payableto membersofESPF 1l. t 23,343,431 22,202,032

Deferredcontributions t2 25,'146,965 26,291,759

Accountspayableandprovisions l3 14.061.110 l,734,539
Total current liabilities 39,808,095 38,026,298

Total liabilities 63,rs1,526 60,228,330

Funds
Hospitalendowmentfund t4 5,8t9,929 5,482,659
Centreendowment fund IJ 5,827,876 5,543,391
Collateralfund to 2,004,000 2,004,000
Operatingfi.rnd t7 | | ,503,739 1 4tS 461
CWIPreservefund 18 2,610,598 1.1,889,583
10 sl 006 70{ (7 {51 Rq9
Revaluation reseryeon land
Totalfunds 81,822,84'7 89,892,993

Total fundsand liabilities t44,974,313 150,121,323

Thenoteson pages I I to 38 are qn integralpart of theseJindncialstatements.

EXeCUnVe LllleCIOI

As per oul reportofsamedate.

Qt,*,fu,*,U,g /
2 June2015
Dhaka, A'd*'
R"// RahmanRahmanHuq
Chartersd
Accountants'
 International Centre for Diarrhoeal Diseas€Research,Bangladesh(icddr,b)

Statementof actiYities
for the year ended31 December

Amount in US$
2014
2013
Restricted Unrestricted Total
Revenue
Contributions 20 s2,r29,0t8 13,034,858 65,163,876 63,476,312
Defenedincomeon Ieasehold
land 2l 3,55't.194 - 3,55'1,194
Other revenue 22 680,671 4,113,423 4,',794,094 3,?65,783
Total reYenue 56,366,883 11,148,2a1 13,515,164 67,242,095

Expenditure
Salariesandbenefits- local 20,t58,776 8,624,9'7'l 28,783,7 53 25,394,9r6
Salariesandbenefits- intemational 4,',722,544 t,999,),76 6,721,720 6,228,8-04
Salariesandbenefits- emeritusstaff 88,627 88,627
Consultancyfee 970,713 1,403,740 ) \74 441 1,713,638
Travelandvehiclehire charges 2,889,394 781,401 3,670,795 3,279,14r
Suppliesandmaterials 6,817,024 2,822,378 9,639,402 7,620,292
Repairandmaintenanc€ 334,626 301,961 636,587 674,541
Legal andprofessional fee 15,126 7',1,422 92,548 478,992
Rent,aommuniQation andutilities 1,108,393 695,982 1,804,375 r,503,386
Printingandpublications 3'16,233 266,298 582,531 593,294
Collaborativ€partnershipcost 5,998,5,11 5,998,541 t0,86't,152
Training,dissemination andstaff development 1,188,587 137,066 t,325,653 946.860
Doubtfuldebtexpenses _ 129,091 1?9,091 139.644
ITD chargesandrecoveries(net) 738,302 ('138,302)
Hospitalpatientexpenses 474,457 (28,756) 445.701 20'1.423
Cleaningandsecuritycharges 269,171 440,201 709,3't2 536,378
Indirectcostcharges 4,746,300 (4,746,300)
Depreciationandamortisaxion 5,431,856 629,759 6 , 0 6 1 , 6 1 5 2,509,653
Otherexpenditures 23 66,453 90,870 | 57 111 857,246
Mandatorycommitteemeetingexpens€s 24 50.914 189.359 240^273 303,879
SuFtotal 56J86,03? 13$76,3X3 69,462,360 63,855,239

Net surplus(delicit) ----44r:g_ -_-$gdql- ---li86rq5q-

_____g2lto-
Functionalexpetrses
summary
Program 27 52,675,463 47,133,705
Management andadministration 27 16,501,065 16,338,012
Fundraising 27 285.832 383.522
Total ___qq!8q_
__-!24eff9_

Thenoteson pages 1I to 38 are an integral part ofthesefnancial slalenents.

ofTrustees

As per our repoftofsame date.

@W Auditor
Dhaka,2 June2015 RahmanRahmanHua
7P// Chartered
Accountants'
 Internationil Centrefor DiarrhoealDiseese Bangladesh(icddr,b)
Research,

Statementofchangesin funds
Ior the year ended3l Decenber

Arnountin uss
" Collateral Operatins
.
endowm€nt :
endowment
'---- -.--- - . '^ -:- -" CwlP
-
reserveon
reserve Total
Total
: ;-
: ; fund ruoo " reserveruno
IUnO ll|nd l|nd

Balanceasof I Januar!2013asreported 4,795,259 4,694,'t45 2,004,000 3,934,012 |,947,428 27,375,444

Additiondu ng theperiod - 14,354 57,553,899 57,568,2s3
Dooationreceived 26,5t2 50- 26,562
Fundraisingexpensesduring the year (14,s2?\ (14,522)
Incomeduringthe year 146,017 93,131 ^':: 243,624
Realisedgain during the year 102,331 124,23r 226,562
Unrealisedgain during the year 427,057 631,228 1,058,285
Snrplus/(deficit)
for fie year2013 3,386,856 3,386,856
Transfermadedudng the year 5 (4,470\ 4,470 (72,t99) (72,194>
Adjuslmentmadedudng the year 94.123 94,123
Bala[ceasit 3l Drcembcr2013 --9.:1!2{!2- !.54J.39t 2'004,000 ?,419.46t I1.889.58J 5?.55J,899 89,892,993

Donationrcceived t7,479 t7,479

Fundsmisingexpenses durilg theyear (3,910) (3,930)
127,089
hcome during the year
Realisedgain during th€ year
Unrealisedgain during the year
192,137
4,495
86,686
216,349
(18,s50)
12,148

_
133li
t rq,osst
Suplus/(deficit)for theyear2014 - 4,052,804 4,052,804
Transfermadeduring the year (12,34t, t2,348 (9,218,985)(3,557,194)(12,7'76,1791
Adjustmentmadeduring the year 19,t26 - - 19,t26
Balance asat Jl Decembcr 2014 5.E19.929 53??,876 2.004.000 | r.503.7J9 2,670,598 SJ,996,705 E1,t22.847

Thenoteson pages I I to 38 are an inlegral part oJthesefnancial statehents.

ffi
 InternationalCentr€for DiarrhoealDiseaseResearch,
Bangladesh(icddr,b)

Statementofcash flows
for theyearended31 December

Amountin US$
2014 2013
Cashflows from operatingactivities

Surplusfor theyear 4,052,804 3,386,856

Adjustrnentsto reconcilenetcashfromoperatingactivities:
Depreciation andamortisation 6,061,6t4 2,606,218
Interestincome (295,s88) Q05,072)
Transferfrom defenedincome (3,557,194)
Othernon-cash expenditure r55,926

Changes in:
Accountsreceivables 913,229 (s,526,027)
Loansandadvances (64'7,922) 713,055
lnventories 248,028 (t6,439)
Deferredcontributions (s44;194) (I,938,106)
Accountspayableandprovisions 3,467,990 2,057,785
Net cashflows from operatingactivities 9,854,093 r,078,270

Cashflows from investingactivities

Investments (1,092,682) (1,319,040)
Capitalexpenditure (2,883,104) (1,956,508)
Interestr€ceived 224,352 172,429
Net cashusedin investingactivities (3,7s1,434) (3,103,119)

Net increase/(decrease)
in cashand cashequivatents 6,102,6s9 (2,024,849)

Cashand cashequivaletrtsat I January 26,284,967 28,309,816

Closingcashand cashequivalents 32,387,626 26,284,967

The notes on pages 1 I to 38 are an integral part ofthesefinanciql stqtements.

10
 InternationalC€ntrefor DiarrhoealDiseaseResearch,
Bangladesh(icddr,b)
Notesto tbe financialstat€ments
for thevearended31 December 2014

Reportingentity

The IntemationalCentrefor DiarrhoealDiseaseResearch,Bargladesh(hereinafterrefened to as "icddr,b" or

"Centre")was establishedin 1978 by an Ordinanceof the Govemmentof The People'sRepublic of
Bangladesh. The mainobjectivewasto providefor theestablishment cenhein Bangladesh
of an international
with multinationalscientificcollaborationand financialcontributionsfor conducting research
in dianhoeal
diseasesand dfuectlyrelatedsubjectsof nuffition,fertility ard othermaftersancillarythereto,with special
relevanceto developingcountries.The activitiesof theCentreare firndedmainlyby variousGovemments and
intemationalorganisations.

Basisof preparation

of compliance
Statement

The financialstatements are preparedin accordance with generallyacceptedaccountingprinciplesunless

wherethosedifler from accountingpoliciesstatedbelow.Theseaccountingpoliciesareappliedconsistently
to
all presented
periods exceptwherenotedotherwise.

,', Basisof measurement

The financial statementsare prepared on the historical cost conventionfollowing the accrualbasis of
accountingunlessexpresslystatedotherwiseand in the mannerasprescribedard approvedby the Boardof
Trustees.

2.3 Functionaland presentation

currency

The accompanying fmancialstatementsof the Centreare presentedin US Dollars,which is the Centre's

functionalcurrencyand figuresareroundedoffto the nearestDollar, unlessotherwiseindicated.

2.4 Useofestimatesandjudgements

The preparationof hnancialstatements requiresmanagement to makejudgments,estimates andassumptions

that affectthe applicationof accountingpoliciesandthe reportedamountsof assets,liabilities,incomeand
expenses. Actualresultsmaydiffer fiom theseestimates.

Estimatesandunderlyingassumptions arereviewedon anongoingbasis.Revisionsto accountingestimates

are
recognisedin the period in which the estimatesarerevisedandin anyfuture periodsaffected.

In particular,information about significantaxeasof estimationuncertaintyand critical judgmentsin applying

accountingpolicies that have the most significant effect on the amountrecognisedin the financial statements
arestatedin the followinsnotes:

Note4 Depreciation ofproperty,plantandequipment

Note8 Provisionfor doubtful contributions
Note26 Contineentliabilities

Reportingp€riod

Thelmancialstatementsperiodof theCentrecoverspe od of t 2 monthsfrom I Januaryto 3l December

2014
andis followedconsistently.

11

ffi
 InternationalCentrefor Diarlhoeal Diseas€Research,
Bangladesb(icddr,b)
Notesto the tinancialstat€ments
for the vear ended31 December2014

Significantaccountingpolicies

Theaccounting
policiessetout belowhavebeenappliedconsistently
to all periodspresented
in thesefinancial
statements.

3.1 Property,plantand equipment

3.1.1 Recognitionand measurement

Itemsof property,plant andequipment(excludingland)aremeasured at cost lessaccumulated depr€ciation

andimpairmentlosses,if any.All individualitemscostingUS$500andabovearecapitalised. The costof a.n
assetcomprisesits purchaseprice and all other incidental costsincurred to bring the assetto its working
condition.Donatedfixed assetsarerecordedat fair marketvalue.

Leaseholdland includesland at Mohakhali,Dhakaand land at Matlab. The two plots of leaseholdland

measuring 4.10 and 1.62acressituatedat Mohakhali(Dhaka)andMatlabreceivedas donationsin 1980and
subsequent years from the Govemmentof the People'sRepublicof Bangladeshand private individuals
respectivelywerevaluedat US$ 53,205,295 for DhakaCampusin 2012andUS$ 165,788for Matlabin 2013.
Thesamehavebeenconsidered in the furancialstatements.
In addition,threeplotsof freeholdpurchased
land
measuring11.255acreswere revaluedat US$ 4,268,324in2013. The samehavebeenconsideredin the
financialstatements.(seeNote 19,2l)

3.1.2 Subsequent
costs

The cost of the day-to-dayservicingof prcperty,plant and equipmentis recognisedin the statement
of
activitiesasincurred.

3.1.3 Depreciationand amortisation

Depreciationfor property,plant andequipmentacquiredthroughunrestrictedgrantsis chargedto the statement

ofactivitiesfrom the monthof capitalisation
on a straight-line
basisoverthe estimated
usefullivesof items.In
caseof disposal,no depreciation is chargedin the monthof disposal.Depreciationon propertv,plant and
equipment is calculated
basedon the followingestimateduseflrllives:

Usefullife in vears
Building 20
Equipment 5
Fumiture 5
Vehicle 4

Property,plant and equipmentacquiredthroughrestrictedgants arerecordedas assetsand depreciatedat the

rateof 100%in theyearofcapitalisation.
Thedepreciation expense is chargeddircctlyto therestricted
fund.

Leasehold
landofthe Centrewill be amortised
up to 2028(extended
tenureofthe Cenhe).

72
 International Centrefor DiarrboealDis€aseResearch,Bangladesh(icddr,b)

Notesto th€ financialstat€m€nts

for the year ended3l December2014

3,1.4 Retirements
and disposals

An assetis derecognised on disposalor when no futureeconomicbenefitsare expectedfrom its use and

subsequent disposal.For disposalof locallyprocuredfixed assets
a gainor lossarisingfrom the retirement
or
disposalis determinedas the differencebetweenthe net disposalproceedsandthe carryingamountof the
asset.In caseof disposalof foreignprocuredfixed assetsthe saloproceedsamountis payableto 'National
BoardofRevenue'andcarryingamountis reportedin the statement ofactivitiesasexpenses.

Capitalwork in progress(CWIP)

Capitalwork in progressrepresentsthe cost incufredto acquireand/orconstructitems of property,plant ard

equipmentthat arenot readyfor use.CWIP is measuedat cost.

Intangibleassets

lntangibleassets
areincludedin equipment.

3,3.1 Recognition
and measurement

An intangibleassetis recognisedif it is probablethat future economicbene{itsthat are attributableto the asset

will flow to the Cenfe and the cost of the assetcan be measured reliably.An intangibleassetis measured
initially at cost.After initial recognition,it is carriedat costlessaccumulatedamortisation andaccumulated
impairment losses(if any).

3.3.2 Amortisationof intangibleassets

An intangibleassetacquiredtbroughunrestrictedgrantsis amortised
to the statement
ofactivitieson a straight-
linebasisoverthe estimatedusefullivesoffive yearsfromtheyearof capitalisation.

An intangibleassetacquted throughrestrictedgrantsis amortisedto the statementof activities at the rate of

100%in theyearofcapitalisation.

3.4 Impairment

3.4.1 Non-derivativefinancialass€ts

Financialassetsnot caffied at fair valuethroughprofit or loss,loansand receivables are assessed at each

reportingdateto determinewhetherthereis objectiveevidencethat it is impaired.A financial assetis impaired
if.objective evidenceindicatesthat a losseventhas occurredafterthe initial recognitionof the asset,andthat
the loss event had a negative effect on the estimatedfutule cash flows of that assetthat car be estimated
reliably.

3.4.2 Non-financialassets

The carryingamountofthe non-financialassets,other than inventoriesare reviewedal eachreporting dateto

determinewhetherthere is any indicationof impairment.If any such indicationexiststhen the assets'
recoverable amountsare estimated.An impairmentloss is recognisedif the carryingamountof ar asset
exceedsit estimatedrecoverableamount.

.LJ
l

InternationalCentre for DiarrhoealDiseaseResearch,Bangladesh(icddr,b)

Notesto the linancialstatements
for theyear€nded31 Decenber2014

3.4.3 Calculaticnof recoverable

amount

The recoverable amountof an assetis the greaterof its net realisable

valueandvaluein use.The estimated
future cashflows axediscountedto their prcsentvalue using a discountrcte that reflects the current market
assessment ofthe time valueofmoneyandrisk specificto the asset.

3.5 Cashandcashequivalents

Cashincludescashon handand in banks.Cashequivalents arc short-term,highly liquid investments thatare

both readily convertible to knolvn amountsof cash and so near their maturity date that they present
insignificantrisk of changesin value. Theseinvestrnentsare acquiredwith original maturitiesof tb-r€emonths
or less.

3.6 Accountsreceivable

Accountsreceivablefrom donors,employees
andothereltitiesarecarriedat net realisablevaluecalculated
as
thegrossamountlessanyallowarceprovidedfor doubtfulreceivables.

An allowancefor doubtful debts is ffeated for receivablesbelievedto be uncollectible.Uncollectible

receivables
areonly *ritten-off afterall effortsto collecthavebeenexhausted.

Receivables arerecognised
from employees whenpaymentis received.
astheyaxiseandeliminated

3.1 Leases

Leasesof propertywherea significantpoftionofthe risksandrewardsof ownershipis retainedby the lessor

areclassifiedasoperatingleases.
Pa).,rnents
madeunderoperatingl€asesarechargedto operationson a straight
linebasisovertheperiodofthe lease.

Inv€ntories

Inventodes,otherthan thosepurchasedon requirementfor immediateconsumption,are valuedat invoice price

plus incidentalexpensessuchaslabour,fieight,insurance,etc.Inventories
issuedat movingweightedaverage
costto SeruiceCentresare expensed whenissued.The stockof suchitemsremainhgunconsumed with the
ServiceCenfiesat the year-endare includedin the closingstock.Provisionsare madebasedon the itemsof
slowmoving,non-moving, obsolescenceandshortshelflifeofthe inventories.

3.9 Endorvmentfunds

Endowmentfunds were createdout of specific donationsreceivedin earlier years.They are govemedby the
bye laws (referNotes 14 and l5). Contributions
respective receivedare creditedto thesefunds.Investments
arerecordedat fair marketvalue.

Incomeor gainsfrom theseinvestments net of expensesareconsideredas contributionand creditedto this

firnd,Intereston investment
is recognised
on accrualbasis.

Managementis authorisedto withdraw fimds from the EndowmentFundsup to a maximumof five percentof
the balanceof suchfundsat the endof the previousyear,with the approvalof The Boardof Trusteesof the
Centre.

t4
 InternationalCentrefor DiarrhoealDiseaseResearch,Bangladesh(icddr'b)
Notesto the financialstatements
for theyearended3l December 2014

3.10 Investments

In 2013 the accountingpolicy for endovmentfund investments was changedfrom lower of cost and fair
marketvalu€to fair marketvalue.As a resultall investmentsarenow valuedat marketvalue.

and benefits
3.1I Salaries

with the termsof

Salariesand benefitsto employeesare recognisedon an accrualbasis in accordance
employment.Thecostofbenefitsto employees groupinsurance
in theform ofmedicalreimbursement, andend
ofservicebenefitsarebasedon contractual
oblieations.

confibutionsreceivedagainstobligationtowardsend-ofterm benefitsof employees

Restricted are adjusted
againstsubsequent to the extentsuch obligationexceedactualamountpaidor payableon
projectexpenditure
of the obligation.Suchcontributionpendingadjustments
settlement are includedin 'Expensesand others'
underNote l3 'Accountspayableandprovisions'.

Rethementbenefits for intemational staff are managedby The Association of Intemational Agricultural
Research Centers(AIARC), an autonomous body providingcomprehensive payrollmanagement servicesto
various agricultural researchorganisationsworldwide. Pa),rnentsto AIARC include defined contributions
towardstheretirementbenefits.whichexonerates icddr.bofall furtherliabilitieson this account.

Obligationsfor contributionstowardsEmployeeSeparationPa)mentFund (ESPF)are recognisedas an

expensein the statement
ofactivitiesasincurred,

3.12 ProYisions

Provisions arerecognisedon the reportingdateif, as a resultof pastevents,the Centrehasa presentlegalor

constructiveobligation that can be estimatedreliably, and it is probablethat an outflow of economicbenefits
will be requiredto settletheobligation.

3.13 ReYenue
recognition

Grantsareclassifledaccordingto the tlpe of restrictionsattachedto them.

Unrestrictedgrantsare grantswhich the Centremay freely usefor its mandatedactivities.Restrictedgrantsare

grantsreceivedin supportof specifiedprojectsor activities mutuallyagreedupon by the Cenheard donors.
Revenueis recognisedto the extentof expensesactually incurred.Confiibutions(exceptthosepeflaining to
endowment fi.rnds)areconsidered
asrevenueon thefollowingbasrs:

! Uffestrictedfundsare accountedfor to the extenttheyrelateto the cuneft yearandthosep€rtainingto

furureyearsarecarriedforward.
I Reyenuesfrom project funds are recognisedon the basis of costs dtectly incurred on projects plus
overheadrecoveriesin accordance with the termsof the relatedagreementswith donors.Projectfunds
receivedduring the year but yet to be expensedare canied forward asconfiibutionsreceivedin advance.
Correspondingly,project expensesincurred but yet to be reimbursedby the donor are considercdas
contributions
receivable.
r Revenuesare alsorecognisedto the extentofpartner incomeundera firnd managem€nt
agrcement.
r for as if
Awardsreceivedfor which the Boardof Trusteeshas identifiedspecificusageare accounted
thesewereDroiectfunds.

l)

ffi
 InternfltionalCentrefor DiarrhoealDiseaseResearch,Bangladesh(icddr'b)
Notes to ihe financial statements
for the year ended3l December2014

at fair marketvalue.
receivedin kind areincludedin thefinancialstatements
Contributions
usingthetimeproportionmethodbasedon underlyinginterestcosts.
is recognised
Intereston invesfinents

r Otherrevenues whenservicesareperformed,
arerecognised

3.14 Functionalallocationof expenses

The costsof providingvariousprogramsandotheractivitiesaresummarised by their functionalclassification

in
of Activitiesandby their natual classification
in the Statement the Expenses
Functional shownin Note27
to the fmancialstatements. Accordingly,certaincostsaxe allocatedamongthe programsand suppofiing
servicesbenefitedby thecosts.

3.15 Foreigncurrency

Transactionsin currenciesother than the US dollar are recordedat the exchangerates prevailing at the
begimingof the monthin whichthe transaction takesplace,Exchange differencesarisingdudngthe yearon
settlement in otier currencies
of transactions arerecognisedin the StatementofActivitiesfor theyear,

All monetaryassetsand liabilitiesdenominated to US

in othercunenciesat reportingdateare rehanslated
dollarat theyearendexchange rates.The resultingexchangedifferences items
monetary
arisingon translating
at theendofthe reportingperiodarerecognised in theStatementofActivitiesfor theyear.

The exchangeratesused for the curency conversionare calculatedon the prevailing averageof the buying
ratesof'TelegraphicTransferClean'and'On DemandTransfer'aspublished by Standard CharteredBankand
areasfollows:
Average
monthly
exchaage Year endeKchange rate
Nameof
20t4 2014 2013
Currency
BDT BDT BDT
us$ 1.00 76.96 77.76 77.01
uKt 1.00 125.64 I19.80 t25.79
EURO1,OO r 01.17 92.77 t04.72
3.16 Contingencies

3.16.1Contirg€ntliability

A contingentliability is a possibleobligationthat arisestom past eventsand whos€existencewill be

confirmedonly by the occurrenceor non-occurenceof one or moreuncertainfuture eventsnot wholly within
thecontrolofthe entity.

A contingent A provisionis recognised

but disclosedin the financialstatements.
liability is not recognised, in
theperiodin whichtherecognitioncriteriaofprovisionis met.

_LO
 Bangladesh(icddr,b)
InternationalCentrefor DiarrhoealDiseaseResearch,

Notesto the linancialstatements

for the yearended31 December 2014

3.16.2Contingentasset

A contingentassetis a possibleassetthatarisesfrom pasteventsandwhoseexistencewill be confrmedonly

or non-occulTence
by the occurrence of oneor moreuncertainfutureeventsnot rvhollywithin the controlof
the entity.

A contingentassetis not recognised.Only when the realisationof the related economicbenefitsis virtually
certainshouldrecognitiontakeplaceprovidedthat it can be measuredreliably because,at that point, the asset
is no longercontingent.

3,17 Statement
of cashflows

Cashflow from operatingactivitiesis presented

underthe indirectmethod.

3.18 Eventsafter the reporting period

Adjusting eventsaf,eeventsafter the reportingperiod and provide additional informationabout the Cenre's
financial position at the reporting date. Sucheventsare reflectedin the financial statementswhen material.
Eventsafter the reportingperiod that are not adjustingeventsare disclosedin the notesto the financial
statementswhenmaterial,

3.19 Comparativesand reclassification

Comparativeinformationhasbeendisclosedin respectof20l4 for all numericalinformationin the fnancial

statementsand also the narrative and descriptive informationwhen it is relevant for understandingof the
cunentyea/s fnancial statements.

To facilitatecomparison,certainrelevantbalancespertainingto the previousyear have beenrearranged,

restated
or reclassified
wheneverconsiderednecessaryto conformto thecunentperiod'spresentation.

ffi

77
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 Reiearch,B|ngladesh(icddr,b)
InternationalCentrefor DiarrhoealDisease
Notesto the financi|l statem€nts
for theyearended31 December 2014

Unserviceable
fixed assets

fixcd assctsareincludedin theproperty,plant andequipment,mostofth€m wereprocuredduty fteefrom

Thefollowingunserviceabl€
oveneas:

Amount in USS
Accumulated Book
3l Dec€mber
2014
deDreciation Yalue

Buildings 22,945 14,624 8,321

Equipment 3,045,07r 3,043,051 2,014
Fumiture 88,346 88,138 208
Vehicles 335,026 1719L) 84
Total ___14!$!_ ____ll!Ugl- __J9'627_
Amountin US$
Accumulated Book
3l December
201f, value
depreciation

Buildings 31,978 3t,912 66

Equipnent 2;751,798 2;754,691 3,107
Fumiture 88,346 88,138 208
Vehicles 294,427 294,348
Total --JE2E4e-----ll!2{q2- ----!4q-
approvalis obtainedftom th€ National Boardof
Assetsacquiredduty free hasbeenauctionedand disposedof affer the necessary
Revenue.

Copitalwork in progress
Amount in LS$
2014
Restricted Unrestrictod Total

Balanceasat I January 11,889,584 81826? 12,?07,851 12,865,126

Additionduringtlrcyear 301,089 301,089 32,648
TraNferto p(operty,plant andequipm€nt (9,218,985) (818,267) (r0,037,2s2) (189,923)
Balancear at 31 Decemb€r _____4u!2_
___?:qzq,5e2_ ____?21J,688_
_-nl07E_
Investm€nts
Amountin US$
2[r4 -____20rL-
Hospital
endowment (Note6.1)
filnd investments 6.100.534 5,763,263
Centr€endowm€ntfund investment{Noie 6,2) 5.827,876 5,543,391
paymentfund invcstm€nts(Note I I .2)
Employees€paration 23,501,543 22,377,381
J5.429.953 3.3,684,035

20
 Research,
ItlternationalCentrefor DiarrhoealDisease (icddr,b)
Bangladesh

Noteslo ths financialstrt€ments

for theyearended3l Dccemb€r2014

Hospital€ndowmentfund investments
Amountin US$
2014 2013
Localinvestment 43,46'/ 36;168
Shares
duringtheyear
gain/(loss)
Unrealised ---ffi--#
Cashat bank --+ffii---tr#:|
Over$eas inveslm€nt
4,838,245 4,237,167
with TlA,4.- CREFTrust companyFSB
75,437 67,268
Add:lncomeduringtheYear
188,965 92,942
Realisedgainduringthe Year
(t4,422) 440,868
Unr€alisedgain duringthe Yeax
s,088,225 4,838,245
794,199 403,136
Timedeposits
26,357 16,916
Accruedinterestotl time deposits
5.909.381 5,258,29'l

Total investment ---6J!9811- --lr$e-

in l99l Theinvestments aremonitored by the
Theinv€stments arcrelatedto HospitalEndowment Fund(Note14)whichwascreated
moneymarket,equity mutual funds and hxed illcome mutual funds The
centre Fund Investmentcommitt€e alld arc investgdin jn with Bank Asia
local investmentis Time Deposits
ove$easiitvesfnert is managedby I IAA - CREFTrustCompany,USA andthe
ii.l .d, nluku g*t Limited andstandardcharter€dBank,Dhakaandsharesin listedcompaniesin Bangladesh.

C€ntreendowmentfund investment
Amountin USS
2014 20Il

Overseas investment 4,694,545

5,543,391
with TIAA - CREFTrust CompanyFSB - at fair marketvalue 93,137
86,686
Add: Incomeduringtlte Year 124,231
216,349
Realisedgain
Unrealisedgair(loss) duringtheyear _--ffi,n; ----3r4r:4r
nfl sso) 631.228

l<n
Donationleceived
Totalinvestment _-jg'81i- ----M1t2L
axemonitored
in 1996 The inveshnents
The ilvestmelts atelelatedto th€ Cenfe endowmentfund (Not€ 15) which wasestablished Value2014:
Committee. in
lncluded funds
these is a USAID ofUS$
contribulior 1,000,000[Market
by theCentreFundlnvestment
US$2.786,875; 2013: US$2'650,0021

Amountin US$
lnventories
2014 2013

402,831 538,?43
Supplystores 56,485
48,985
Maintenanogstores
455.230 631'820
Donatedhospitalsuppliesanddrugs --
w.w ft3P48
60,7'18 89,098
Less:Provisionfor slowmovingstock 500,091
stock -'-- 450.439 -
Provision for expiredald obsolete
srnn sSrJri-
-- 3rssr,@

6%
/</ ---- \ -"1
iI(HPr/6lEl
w
 Inlernalional C€ntre for Diarrhoeal DiseaseRes€arch,Bangladesh(icddr,b)
Notesto the fioancialstatements
for the y€arended31 December 2014

Accountsr€ceivablas
Amountin US$
2014 2013
Donors'receivables
(Note8,1)
Restricted t2,645,996 10,350,259
(Note8.2)
Unrestricted 1,054,062 4,t33,93'7
13,700,058 14,484,t96
for doubtfulcontributions
Less:Provision 352,129 223,038
13,34't,929 14,261,158
Otherr€c€ivables
Add: Aacruedintereston time deposits 103,8?8 32,642
rJ,4s1,807 14,293,800

8.1 - Restricted
Accountsreceivables
Amountin US$
2014 2013

Bangladesh - others 231,698 219,280

Bargladesh Rual Advancement (BRAC)
Committee 12,708
Centersfor Disease (CDC)- Atlanta
ControlandPrevention 1,495,201 7't1,985
GatesFoundatiol 41t,754 825,398
GlobalFundfor AIDS,TB andMalaria(GFATM) 44,491
^ :-^
Japan- JICWELSandOthers 33,939
JohnsHopkinsUnivenity(JHU) 1t2,947 1,013,693
TheNetherlands 148,331
SavetheChildrcn,USA 35,?94 162,530
Department ofForcignAffairs,TradeandDevelopment(DFATD) 525,463 329,585
TheRockefeller Foundation 39,980 39,886
UnitedKingdom- DFID r,096,442 304,653
USA. NIH 2,116,297 2,t48,037
USA- OtherSources t,133,087 1,316,908
LNICEF 123,563 154,970
'79,186
UnitedNationsPopulalionFund(UNFPA)
wHo 6t,239 52,150
USAID 2,'191,421 r,022,840
Others |,575,399 t,'t10,'t28
Totalfor proj€ctfunds 12,645,996 10J50t59

Accounts - Unrestricted
receivables
Amountin US$
2014 20lJ

UnitedKingdom- DFID 1,054,062 4,t33,937

1$s4$62 4,133,93?

Loansandadvances
Amount in US$
2014 2013
LoansandadvancEs to employees
lnvestmentloans 423,024 266,2t0
Festivaladvances 1,050,824 1,020,308
Others t0'7,456 t92,458
1,581,304 1,418,916
Advancesto suppliersandothers 2,20t,821 r,6s6,221
t,78J,t25 3,r3sJ03

22

ffi
 InternationalCentrefor DiarrhoealDisease
R€s€arch, (icddr,b)
Bangladesh
Notesto the financialstatements
for lhey€arended3l December 2014

10 Cash and cash equivalents

Amountin USS
20t4 2013

Cashin hand 12,338 1,600

Cashat banks:
TakaAccounts:
Curentaccount 3,4r'7,622 t,213,34r
Timedeposits t2,98't,920 2,356,646
US$accounts:
Curentaccount 11,878,368 16,326,444
(a)
Tine deposits r,637,828 3,135,183
EUROcunentaccount: 2,',1t5 3,094
UKf, accounts: Currentaccaunt 433,488 I,181,470
.)
Timedepositsagainstba$kcollateral(b) 01? 1I'7
_-___---:::-:-:.i:-::-
I nD? tRq
---"----=2::-:-2
32.387.626 26.784.967

(a) Timedeposits anountincludesUS$ 1,637,828for CHRFundera fundmanagement

agrcement.
(b) Timedeposits againstbankcollatemlamountofUS$ 2,004,000 underlienwith thebankto theextent
ilcludesUS$1,510,739
of theoverdrafffacility.

ll Pavrbleto membersofESPF

EmployerSepaEtionPaymcntFund (ESPI)
The Centreoperates a retirementfund calledicddr,bEmployeeSeparation Payment Fund(ESPF)for all nationalemployees.The
inv€stments
a{emaltagedunderan agreement with GsneraliGroupof UK. Duringtheyearthe Centreandstaff membgrscontribute.d
14.8%and7.4%ofthe pensionablesalaryrespectively to the fund.The amountssoaccumulated wereremiftedto GeneraliGroupon a
monthlybasisby the Cenhe.GeneraliGroupis empowered to investthefundsavailablein t€rmsofapprovedinvestmentguideline.At
theendof eachcalendaryear,the profits eamedfromtheseinveshnents aredistributedamongthe staffm€mbers'accounts.

In 2012,a.nESPF Management Committeewas established

to imprcvemanagementoversightover the fund. During 2014
maragementappointedar ext€malconsultingfirm namedMABS and J Paxtners
to explorehow the fund could be migrxed in
Bangladesh,
whichsubmittedtheirreportto ESPFManagementCommittee.

Beginning
in 201l, theCenhedecided
to incorporate
theESPFassets
andliabilitiesin its books.

However,sinceall revenueandexpenditureis alhibutableto the employees,

theoperatingresultsarenot includedin thg statementoi
activities.

Exceptasotherwisestaiedabove,the accountingpoliciesfollowedfor the aforesaidEmployeeS€paration

Pa)mentFundis asunder:

i) Investmcnts

alemeasuedat fair marketvalue.ThevalueofinvestmeDts

lnvestments attributable
to members'fundasat3l December
2014is US$
(2013:US$ 19,750,343)
18,361,498 andthesalnehasbeenconsidered
ir thefinancialstatements.

Accordingto the ESPF investmentpolicics, the fund is entitled to a minimumguararteedretum on investmentbasedon the
guaranteed interestrate or benchmarkintorostraie whish€veris higher.The benchmarkrate is the averageyield on the 5 year US
TreasuryBond on the first wo*ing day of gachmonth.Interestis creditedto the m€mbets'accountorr a quarterlybasisat the mte
confimed by th€ fund manager.The final adjushnentis madein the last quaxterofthe year.The memb€rsalso receive50p/oofthe
profit earnedorl the maturityof an investmentportfolio.Sucha profit is refenedto ascapitalproflt.

23
 InternationalCentrefor DiarrhoealDisease (icddr,b)
Bangladesh
R€s€arch,
Not.s to the {inxncial statements
for the yearended31 December 2014

ii) Capitalguartntee

Generali Worldwjdeguarantees at thematurityofeachfund,

100%ofthe openingcapitalofeachfundand100%of netcontributions
after5 years.Excesscapitalretumis dividedequallybetweenthe fund andthefundmanager.

iii) Incomeguarantee

The annualirltercstretumguaranteefor eachfund is a functionof5 yearGovernment Bondyieldsat the openingofthe fund adjusted
for subsequentn€t contributions
dudng the year.
Excess interest
retumis thendividedequallybetweenthefimd andthefund manager.

gainsand losses
iv) Unrealised

Unrealisedgairtsaod lossesare accountedfor thrcugh the Statementof Activities of the furld. Managementintendsto captwe
gaiN/losses
unrealis€d alnoogthemenberson maturitlofsub-fun4maintained
asheldfor maturity,whichwill be dishibuted by the
FundManager.

ofincom€amongthemembers
v) Distribution

An incomingemployee whojoinsthesewiceanytimeduringa quarter, becomes a member ofthe scheneat thetimeofjoining.The

empJoyee is not qeditedwith any interostat the timeof projectinginteresteflectivefrom the dateofjoining. Finaldistributionof
is madeat theendofthe calendar
interest year.

Theaccountofan outgoingemployee is settledlocallyoutofdisbursements remittedby thefundmanager. Thesettlement is basedon

balanceto his or her credit as rcflectedin the quarterlystatements
the accumulated preparedby Accu RecordDirect, Inc. USA.
Employees datefalls on anydatebeforelastdayofthe quarter.
arenot entitledto anyintercstfiom the lastquarterifthe separation

With €lfect from 1 January201I the fund changedthe methodof valuationof investmentsfrom costto fair marketvalue.However,
effective
from I January 2014management hasd€cided thevaluatiolmethodto costvalu€frommarketvalue.
to change

vi) Partialwithdrawal

ln telmsol the Centre'spolicy memodated18 December1996,a one-timepermanertpartial withdrawalb€foreretirementof up to

50%ofthe totalaccumulation is allowed.
dueto anemployee

vii) Processing
charge

With effectfrom 201l, the annualprocessing

chargesfor members'
statementsby Accu-RecordDircct,Inc.USA arebomeby the
Fund.ln termsofthe ESPFoperating guidelines,
icddr,bcharges feesbeginning
administration from2013.

viii) Detailsoftbt operationoffund are asunderi

ll.l PaYable ofESPF

to m€mbers
Amountin US$
Particulars 2014 2013

Balanceasat I January 22,202,032 20,193,459

Net inqeasein members'account 1,408,573
Balance asat 31 December 23,343.431 22202,032

24
 InternationalCentrefor Diarrho0alDisease
Research, (icddr,b)
Bangladesh
Notesto thc financialstatem€nti
for tho yearended3l December 2014

11,2 Assets
Amountin US$
2n14
Particulars
Balarceasat 1 January 22,202,032 20,793,459
Additiondueto contribution:
Members |,16'7
,t35 I,179,109
icddr,b 2,3r'7,962 2,358,216
Withdrawalduringtheyear:
Outgoingmembe$'settlements (2,046,07
4) (r,9r8,280)
Permanent andpartialwithdrawals (437,0r8) (?5,546)
23.204.037 22.336.958

Revenue from inv€stment 371,856 345,210

Investnentmovements:
Net changein marketvalue (7l,ls6) (336,093)
Capitalprofit(loss) 40,2't3 68,296
includesunrealis€dgainandloss 340,9't3 ',7'7,413

Expenditure (201,s79) (212,339)

Balance
asal 31 December 23,343,431 22,202,032

Dueto icddr,b 8,154

Dueto GeneraliWorldwideInsurance Limiled(Note13)
Company l5* I l, 167,t95
Total (Not€6) __l-3$t.aE_ 223?7,381

I 1.3 Incomeand expendilurc

Amountin US$
zm4
Income
Interesteamedon investmelt 412,129 413,506
Netchanges in investment
movement (1t,156) (336,093)
340973 71413

Less:Exo€lrditure
Adminishative
expensgs 160,975 157.030
Shadngof profitwith GeneraliWorldwideInsurance
Company
Limited 40,604 55,309
201,579 212.339
Netincome/(loss) 139,J94 034926)

DeferredcontribItions
Amourt in US$
2014

(Notel2.l)
Rcstricted 25,459,600 23,456,604
u estrict€d
0,loteI2.2) 281,36s 2,835,155
Total __El 46 __---26zeJr5e_

25
ffi
 InternationalCentrefor DiarrhoealDisease
Research, (icddr,b)
Bangladesh
Notesto the financialstatements
for thevear€nded31 December2014

12,1 R€strictod
d€ferredcontributions
Arnountin US$
2014 2013

D€partment ofForeignAffairsandTrade(DFAT) 3,838 3,960

Bangladesh 5,186 2,313
Bangladesh RuralAdvancernentCommittee(BRAC) 47,280 45,810
GatesFoundation 12,46s,564 10,036,773
GlobalFundfor AIDS, TB andMalaria(GFATM) 2,380,910 2,752,606
Japan- JICWELSandOthers 220,534 124,287
JohnsHopkinsUniversity(JHU) 230,27t 54,098
TheNetherlands 66,260 45't,567
SavetheChildren,USA - 2,708
Sweden - SIDA/SAREC r,591,126 r,352,384
TheRockefellerFoundalioll 873,561 1,041,353
Unit€dKingdom- DFID 99,605 293,532
USA- NIH 53,113 343,055
USA- OtherSources 894,343 594,556
UNICEF tt7,42t 143,32'/
wHo 88,631 66,33',7
USAID 80,364 407,9'15
Othels 4,990,450 4,354,278
Total proj€ctfunds 24,209,057 22,0'.16,9'.79
Construction Funds(Restricted)'
BangladeshrunitedStates
Deparsnentof Agriculture(USDA) 1,250,543 r,3',19,625
TotalRestrictedcontributioni 25,459,600 23,456,604

12.2 Unrestrict€d
def€rr€dcontributiuns
Amountin US$
20t4 2013

Bangladesh 1,055
Sweden- SIDA.iSAREC 4,070
Departmentof ForeignAffairs andTrade(DFAT) andBargladeshGovenment 2&2,240 ) rls l5s
Totalunrestricteddeferredcontributionr 287,365 2.835,155

andprovisions
payable
Accounts
Amountin US$
20t4 2013

Supplies
andmaterials 1,618,959 967,834
Expensesandothers 12,013,543 10,396,315
ESPF- dueto GeneraliWorldwideInsurance Limited
Company 1 5 8 ,lI2 t67,195
Security
andotherdeposits 270,516 2W,t95
14.06r,130 11.734,539

26
 International Centre for Diarrhoeal DireaeeResearch,Bangladesh(icddr,b)

Notesto the financialstatements

for th€yearended31 December 2014

l4 Hospital endowment fund

Amountin US$
2014 2013

Balanceasat I Januaf,y 5,482,659 4,795,259

Add: FundraisingexpeNes du ngtheyear (3,930) (14,522)
Donationreceived 17,479 26,512
Incomeduringtheyear 127,089 t46,011
Realizedgair duringtheyear t92,137 102,331
Unrealizedgain du ng theyear 4,495 427,05'1
5,8r9,929 5,482,654
Less:Elimjnation
ofcunentaccount
with icddr,b (5)
Balsnceasrt 3l Dccember s,8r9829 5,4825s9

The HospitalEndowmentFund was createdin 1991to providesupponfor patientcareat the Centrc'shospitals. The related
investments
aredescribed in Note6.l, Beh{een1996and201I a totalofUS$ 5 millionwashansferred fundfor use
to theOperating
by Hospitaloperations
asapproved by Boardof Trustees.
ln 201l, a onetimotransferof US$ 2 millionto theoperatingfundwas
approvedby the BoaxdofTrustees.

l5 Centreendowmentfund
Amountin US$
2014 2013

Balanceasat I January 5,543,391 4,694,145

Add: Donationreceived fromCHF 50
Incomeduringtheyear 86,686 93,t3'7
Realized gainduringtheyear 216,349 124,231
Unrealizedgain duringtheyear (18,550) 631,228
Balance asat 3l December ---:w-'81i- -----l*l!:l-
TheCenterEndowment Fundwasestablished in 1996to raisedonations
fromGovemm€nts, Covemment Agencies, Foundations,
Corporations
andindividuals to supportnewresearch initiativesandtheCentre's This fund is invested
ongoingactivities. in money
marketfunds,equity mutualfu'Ids andfixed inaomemutualfundsrnanaged by TLA.A- CREF Company,USA. asdescrib€din Note

16 Collateralfund
Amountin US$
2014 2013

Balanceasat I January 2,004,000 2,004,000

Add: Incomeduringtlrc yeax 12,348 4,4't0
2,016,348 2,008,4'70
Less:Transferredto operatingfund t2,348 4,410
Balanceasat 3l Dec€mber 2,004,000 2,004,000

The fundwasestablishedin 1982asa Reservefund to enabl€theCentre to attainbett€rfinancialstabilityandto enable it to retaina

satisfactorylevel ofwork in caseof unevenflow of resourcesbeyold its contol. Hqweverin practice, ths entireaashreFesqnting
this fund has be€nand continueto be us€das collateralagainstbank facilities.It is not accessiblefor operations,in t€rmsof the
facilitiesagreement with StandardChafiered bank(Notelob). Thecashis on limedepositin 2014earnedUS$ 12,348asinvestment
incomeat an av€rageinterestlate of 0.6I 7o.

27
 InternationalC€ntrefor DiarrhoealDisease
Researcb, (icddr,b)
Bangladesh
Notes to the financial shltements
for the year ended 31 December2014

l? fund
Operating
Amountin US$
2014 2013

Balanceasat I January 7,419-461 3,934,0t2

Adjustmentfor the year t9,154 94,152
Surplusfor the year 4,052,804 3,386,856
Transferfrom otherf nds r2,348 4,4',70
Prioryearadjustment (28) (2e)
Balance asat 3l Dec€mber rf503,739 7At9,46r

l8 CWIP reseruefund
Amountin US$
2014 2013

Balanceasat I Januax). | 1,889,581 t1,94'7,428

Additionduringtheperiod 14,354
Transferto propefy, plant andequipment (9,218,985) (72,ree)
Balanc€ asat 3l December 2,670,598 r 1,889,583

19 Revaluationreserveon land
Amountin US$
201,4 201J

Balanceasat I January 57,553,899

Additionduringtheyear a7 5t1 Rqq
Transferto defenedincome(Not€2 I ) (3,557,194)
Balance asat 3l December -- s3226295- 57.553.899
Contributions Amountin US$
20r4 2013
(Duo)/ (Due)i
Advanced Recrived Advanced Income Income
I Jan2014 3l Dec2014
(Note20.l)
Unrestricted (.r,298;t82) 13,566,943 (166,691) 13,034,858 13,983,261
ReshictedCNote 20.2) 13.106.333 51,871,570 12,848,885 52,129.018 49,493,051
Total contributions ll,8075sr 65,438,sr3 12,082,188 65,163,816 63,416,312

20,1 Unrestrict€d
Amount in US$
2014 2013
(Due)/ (Due)/
Donors Advanced Received Advanced Income
I Jan 2014 3l Dec2014

Department of ForeignAffairs andTrade

(DFAT) 2,834,100 564,480 282,240 3,116,340 3,898,930
Bargladesh 1,055 901,07'l 1,055 901,07'7 732.7
s0
Department ofForeignAffairs,Tradeand
Development (DFATD) 3.552,236 3,552,236 3,750.831
S\redishIntgmationalDevelopment
Cooperation Agency(SIDA) - t,379,400 4,070 1,375,330 1,517,000
UnitedKingdom- DFID (4,133,937) ',7,169;150 (1,054,062) 4,089,875 4,083,750
Total corefunds (1298,782) 13,s66,943 (166,6e7) 13,034,858 13,983,261

28
 Centrefor Diarrhoeal
lnternational Diseasc (icddr,b)
Bangladcsh
Research,
Notesto the financialstat€ments
for the yearended3l D.cember2014

20.2 Restricled
Amountin US$
2014
(Du€)/ (Due)/
Donors Advrnced Received Advanced Income Incomo
I Jan2014 31 Dec2014

Departme of ForeignAffairs andTrade

(DFAT) 3,960 (1,488) 3,708 (\,236) 29,418
Bangladesh - othen (276,906) 311,635 (231,915) 266,644 330,234
Bangladesh RuralAdvancement Committee 45,809 121,813 (25,194) 192,816 81,825
Centersfor DiseaseControlandPrevention
(CDC)- Atlanta (771,985) 4,160,841 (1,495,201) 4,884,057 3,79',/,43'7
Gat€sFoundation 9,21t,37
5 n462,412 10,9?6,667 9,697,180 tt,42'7,657
GlobalFundfor AIDS,TB andMalaria
(GFATM) 2,708,115 4,197,1l0 2,3'78,t99 4,527,Q26 3,742,186
Japan. JICWELSandOthers 90,348 111,193 153,t29 48,412 88,885
JohnsHopkinsUniversity(JHU) (959,595) 4,745,7
fi (482,677) 4,268,193 2,t39,659
TheNetherlands 45'7,567 282,806 (82,071) 822,444 5
s23,67
SavetheChildren,USA (159,822) 479,204 (33,086) 352,468 273,705
Sweden- SIDA-/SAREC t,352,384 824,2s2 1,591,125 585,51I 320,562
Department of ForeignAffairs,Tradeand
Development (DFATD) (329,585) 40t,022 (525,463) 596,900 503,271
ThrasberResearch Fund 13
TheRockefellerFoundation 1,001,466 - 833,581 167,885 501,313
UniredKingdom- DFID (l1,121) t,s90;ts2 (996,836) 2,576,467 |,'796,952
USA " NIH 0,804,982) 5,897,399 (1,046,040) 5,138,457 6,543,047
USA- othersources (122,3s2\ 5,093,982 (238,74s) 4,610,3'l5 4,506,784
UNICEF (11.643) 2'19,9t9 (6.143) 274,419 1,409,017
UnitedNationsPopulation Fund(-TNFPA) (79,t86) 118,995 39,809 312,840
wHo 14,t87 204,120 a1 1At 190,915 t92,231
USAID (614,865) 2,088,304 (2;7t7,057) 4,r90,496 3,184,033
Othercontributions(net)(Note20.2.1) 2,583,539 9,401,603 3,415,042 8,5?0,100 ?38r,348
Totalprojectfunds tl;726,708 sr,77r,645 11,498,415 51,999,938 49,192,098
Bangladesh/United StatesDepartment
of
(USDA)
Agricultur€ 1,3't9,62s 99,925 1,350,470 129,080 300,9!3
13,106,333 5t,8?1570 12,848,88s 52,129,018 49,493,051

20.2.1Otherrontributiong
Amountin US$
SL NameofDonor 2014

I ACME Laboratories Limited 7,3_40

2 98 Alive lrternational
SingaporePte. 3,543
3 AdvancedChemicallndustriesLimited (ACl), Bangladesh 33,902 6,393
4 B,P.KoiralaInstituteofHealthSciences, Nepal 6,269
5 Bangladesh UniversityofEnginceringandTechnology(BUED, Bangladesh 15,321 18,368
6 BumetInstitute, Australia 1,735
7 CAREBangladesh L1)J' 4
38,47
8 CDCFoundation, USA l7,428
9 CenheHospitalerdelunivqsite deMontIeal(CHUIvl),Canada 43,926 2,;.61
l0 ChildHealthFoundation, USA 15,616
ll Cordaid,TheNetherlands l'l,6'l I
12 DhalaShishuHospital 2t2,9't'l 2r9;72',1
l3 Drugsior Neglected Initiative(DNDI)
Diseases 2 l , ll 3 49,685
14 EcolePolltechnique FederaledeLusanne (EPFL) 25,363
l5 EcronAcunovaCompany Limited (1,007) 34,226
16 tnfantsduMonde(EdM),Bangladesh t7,791 1,333

29 ffi,
w
I'(EEM6
)E
 InternationalCentrefor DiarrhoealDiseas€ (icddr,b)
Rciearch,Bangladesh
Notesto the financialstatgmenls
for theyearended31 December 2014

Othcr contributions(continued)
Amountin US$
SL NameofDonor 2014 2013

17 Erasmus University,Rotterdam, TheNetherlands 39,482 t5,6tz

18 Food andAg cultureOrga[ization 34,013
19 FouldationMerieux,France 66,905
20 GastroliverFoundation,Bangladesh 6,322
21 GIZ,Cermany 168,04s 164,419
22 claxosmithkline(gsk) 509,1l0 334,513
23 Glenmark Pharmaceuticals Limited,lndia 91,556 153,129
24 ClobalAlliancefor lnprovedNutrilion 88,344
25 GrandChallenges Canada (GCC),Toronto,Ontario,Canada 7 7 1t o t 632,526
26 G),nuityHealthProjects 32,849 38,762
2? HarvestPlus, USA (360) 43,7
t5
28 H€althcarePbaf,maceuticals Limited(HPL),Bangladesh 63,922 22,9-87
29 IFCC,Italy r,37
|
30 Impe al Collegeof Science andT€chnology 20,263
3I INDEPTHNeh.vork 11,903 37,409
32 InstitutPasteur, France 105,883 93,613
33 tnstituteofDevelopment Studies (lDS),UK 79,7t'l 64,9_49
14 InstituteofTropicalMedicinqNagasaki UniversityQ'IEKKIN),Japan
J5 InTecProducts lrlc.,China 3,450
36 Interactiv€Research andDevelopment (IDRFZC),UAE 489,578 r33,146
37 Intemational AtomicEnergyAgency(IAEA),Aushia 47,190 23,341
38 lntemationalD€velopmentResearch Cenfq Canada 4
54,37 2,432
39 lntemationalD€velopment UEA (DEV), UK (4,37
5) r 0,638
40 IntemationalFood Policy Research (lFPRl),USA
Institute 93,606 95,643
4l lntemational Planned Parenthood Federation, UK 18,890 t6,7_'t
5
42 IntemationalRice Res€arch Institute(IRRI), Philippines
43 IIO Supportin8 Communit).Japar 18,442 6,800
44 James P GrantSchoolof PublicHealth,BRACUniversity, Dhaka 141,033 t30;792
45 Karolinska Institute,Swed€n )5 tlU 132,852
46 Lancaster Univ€rsity, UK t0,327
47 LeidenUniversityMedicalcenter,TheNetherlands 27,850
48 LEPRABangladesh t20,221 23,091
49 LG WellaxeFoundatjon 83,441
50 Marie SlopesIntemalional 49,938 35,476
51 MenziesSchoolofHealthRes€arch 39,014
52 MP Biomedicals AsiaPacificPt€.Limited 19,282 26,594
53 Mr, Ryan Chowdhury, USA 18,327
54 MSD Phamac€uticals PrivaleLimited t7,904
55 Napo India PrivateLimited 52,101 17,053
56 NationalUniversityof Singapore 15,833
5l NestecLimited, SwiEerland 141,416 93,050
58 NossalInstituteLimited,Aushalia 24,666 28,089
59 NutriciondeCenffoAmericay Pariama (INCAP),Guatemala 31,310 563
60 PacificClinical Research PteLimited 34,668
61 Partnersin HealthandDevelopment (PHD)' Bangladesh 2,933

30
 Int€rnaaional
Centrefor Diarrhocal (icddr.b)
Bangladesh
DbeaseResearch,
Notesto the financialstatements
for the ytar ended3l D€cember2014

Othercontributions(continu€d)
Amount in US$
SL NamcofDonor 2014 2013

62 PianIntemational, Bangladesh 13,958

63 Population Council,USA 38,195 90,3t2
64 Profs.Birgitta Agerbertl andJanAnderson,Ka.rolinskalnstitute,Sweden 45,861 29,77
5
65 ProjectConcemIntemational, Bangladesh(PCIBangladesh) t2,63'l
66 Resultsfor DevelopmentInstitute,Inc., USA d? 54S

67 SemlerR€search Centei(SRC),India 2,276

68 SightandLife,Switzerland (t )77') 27,648
69 SquarePharmaceuticals Limited,Bangladesh 1,431
?0 Standaxd Diagnostics,Inc.,SouthKorea t7,643
71 Stiftungzur Foerderung der Forschung(FGF)
gastoenterologischen t20,241 t20,153
72 Stocklolm Universify,Sweden 6,031
73 Terredeshommes Foundation 9,1t3
74 TheChildren's InvestmentFund I16,571
75 TheHospitalforSickChildren (2,012) tzt,946
76 TheInstitutefor FiscalStudies 8,806 34,905
7? TheS\rissTropicalandPublicHealthInstitute, Swifzerland t6,992 8,475
?8 TheUniversit)of Melboume 2,569 58,842
79 UBSOptimusFoundation 90 63,471
80 UNAIDS,Bangladesh 10,120
8l unive$itycollegeLondol Instituteof child Health,London,uK (5) 4,416
82 Unive$ityof Cainbridge, UK 22t,t05 180,408
83 University of Copenhagen, Denmark 123,688
84 University ofDhaka 10,755
85 University of Manitob4Canada 22,091 16,154
86 UniversityofQueensland, Australia 94,8'18 130,396
87 University ofsydney,Australia 808,271 884,r_20
88 UniversityolVirgini4 USA 29
89 Uppsala University,Sweden 34,794 218,197
90 Validlntemational, UK 39,982
9l WarerAidin Bangladesh r54,913 609,8_76
92 WorldBanl( 108,493
93 WorldVision,Banglad€sh 121,601
94 Otherdono$andS€lfSustaining Udts 365,088 t3't,20'1
95 Donatian in kind (Not€20.2.1.1)(b) 2,037,040 t;198,431
Total othercontributions ___qfl!,199----3qgq-
tal

undera fundmanagement
CHRFselfandpartnerincomeofUS$ 2,476,416
(a)Includes agr€ement.

(b) Donationsin kind aregoodsreceivedby the Centlefiom yariousdonors.Theyirclude computcrandhospitalequipment,hospital

andlaboratorysupplies.Donationsin kind atestatedat fair marketvalue
 International C€ntre for Diarrhoeal DiseaseResearch,Banglad€sh(icddr,b)

Notesto the financialstatements

for theyear ended3l Decernber2014

Donation
20.2.1. in kind
Amountin US$
SL NameofDonor 2014 201J

I AlivePty.Limite.d, Aushalia 1,060

2 ABC Lab, USA 300
3 AccentGroupSolution,USA
4 Advanced lnstruments,
USA 331 1oo
5 Alere- North Americ4 USA
6 AmerioanT),peCultureCollect(ATCC),USA 851 1,801
7 Americares, USA 336,133
3 Andrewflus,USA 1,614
9 AuriniaPharmaceuticals Inc.,Canada rcizr
10 AvetteLoons,USA 6,400
ll Baracud4USA 80
12 Beels,Singapore
13 Bilcaxe,lndia 231,340 2,608
14 BilthoverBiologicals, CyrusPoonawalla Group 7,407
15 BiogaiaAB,Sweden 6
16 Biogaica Denmark 680
l? CambioLimit€d,UK 50
---.
l8 cAP - USA
19 Centerfor Vac.Dep.USA 493
20 Cent€rslor DiseaseControlandPrevention(CDC) USA rs,ir:
2l Centrefor Disease Contol,Thailand 30
22 Centrefor Disease Conhol,USA 9,490
23 CentremultiM. Franch 63
24 Cepheid HBDCSAS,Dubai 240
25 Cepheid HBDC SAS,France 2l1,300
26 Cepheid HBDC SAS,UAE 5 ??5

27 Cepheid - France |,296 580,444

28 ChildHealthFoundation, USA r8,382
29 CMR - ANNAMALAI Univ€rsity, India 6,686
30 Columbia University,USA 296
31 Coocept Foundation 408
32 Copanltaly 561
33 CSM,USA
34 CTK BiotechInc,USA 1,158
35 DNA Genetek Inc Canada 30,855 5'/9
36 DND lndia 2,4_00
3? Duke- Nus GraduateschoolandCollegq Sirgapore 1,817
38 EcoHealth Alliance,USA 150
39 Els€vier- USA I,158
40 Erasmus MC il

4l FND, Genev4Slvitzerland 160

42 FondationMeri€ux,France 100
43 Genbio, UK 508
44 Cermfac€,USA 50
45 Gibson,USA
46 Glaxosmithkline Biologicals,
Belgium r03,536

32
 lnternational
Centrefor Diarrhoeal
Disease Bangladesh
Research, {i(ddr,b)
Not€sto the financialstatements
for the yearended31 December 2014

Donationin kind (continued)

Amountin US$
Sl NameofDonor 2014 2013

47 Gla.\osmithkline Biologicals,India 1,178

48 GlobalChildHealth,Canada 2,342
49 ClobalCooliy,USA 4,059
50 GothenburgUniversityof Sweden 1,016
5l Gothenburg University,Sweden 5,789
52 CSK,Belgiurn 340,050
53 GSK,India 9
54 GVK Bio-Science, India 366
55 Gynuits, USA 30
56 Glnuity HealthProjeclUSA 5
57 HM,UK 2,',18t
58 IDEXX Laboratories, USA 36,253 40,4-12
59 Inf€ctious DiseaseResearch Institute(IDRI) l0
60 InfectionD. R.l, USA 3,838
6l Infectious DiseaseResearch lnstitute,USA r,233
62 Intemational Atomic Energy Agency,Germaly 796
63 tntemational EQAS for Clinicalchemistry,UK 508
64 Intemational Food PolicyResearch InstitutqUSA 3.258
65 [ntematjoflalVaccine Centre 340
66 InteryidNepal 508
6? IntersourcingTecbnologyLimited tto
68 J H UniversittofUSA 124,352
'1.231
69 JapanInstitutefor theCooholof Aging, Japan(JAICA)
70 Johr HopkinsUniversify, USA 106,841
7l JohnsRadictson, UK 508
72 Juerg€nErha.fdt,Cemany I
73 KarolinskaUniversityJukhusetHuddinge,Sweden l0
?4 KosherDiagnostics, India 40
75 LM, China 1,000
76 Lancet,UK 30
77 Leadley, UK 883
78 Linicissity
ofJapar t5,4_95
79 LondonSchoolofHygiene andTropicalMedicine,UK
80 MP, Singapore 25
'73,285
8l Massachusetts Genetal Hospital,USA
82 Medentech,lrela[d 4,833
83 MedicalResearch councilunit, Gambia 10
84 Medinov4Canada 508
85 Medsharc, USA 3,400
86 Melven,UK 1,350
87 MenziesSchoolofHealth Research, Australia t42
88 MP Biomedical AsiaPacific PteLimited, Singapore 1,048
89 NagasakiUniversitY,JaPan 334
90 Nationallnstituteof Staldards andTechoology, USA
9l NewHorizon,USA 925
92 MST, USA 1.016

33

ffi
 Int€rnationalCentrefor DiarrhoealDisease
Rcsearch, (icddr,b)
Banglad€sh
Not€sto the linancialst|tements
for theyearended3l Dccember 2014

in kind(continu€d)
Donation
Amountin USS
SL NameofDonor 2014 2013

93 NutrisetSA,France 6,663 3 , 58 3
94 PacifiaCtioicalResearch Pte.Limited,Singapore 6
95 Paritherrr(
Limited,Boulder, USA 210
96 Pathogen Genomics, China s08
97 Pearson, USA 14,126
98 Promeg4Singapore 3,280
99 Qastedt, Germary ) q5?

100 QuantitiesTech,India t22

101 Quasenta Sensing Pvt.Limited,India 2,425
102 QuestDiagnostic, UK r,024
103 QuintronInstrumeltCompany, USA 4,839
104 RedDot Diag.,Singapore u,iro
105 RoyalNorthShene,Aushalia 509
106 RoyalTropicaltnstitut€,Neth€rlands 2,nz'l
107 Sabjn,lndia 1,050
108 Sacace BiotechnologiesSrl,Italy 6,284
109 Salimetics, USA 2,878 ),,
110 SanofiIndiaLimited,India I
lll SerumInstituteoflndia 10,407
112 SeftteChitdrenHospi@tfoundation,USA 130,924
I 13 Sigm4USA - ,,i0,
l14 Solomon ParkReseuchLab,USA
115 Sonafi, India _20 944
I 16 StacyCayclo 1,316
ll? Standard DiagnosticInc.,Korea 1,026
ll8 Stanford University,
USA I 11,842
I l9 Suzuhiro Kamaboko Co.Limited,Japan 26'l
120 Sydney Mcdical School l,l l9
121 Symbolog/Inc.,USA 1,3-41
122 Syngene,lndia 508
123 TechLabs- USA 7,828
124 TechlabInc.,USA
125 TheE-NoseCompany - B Hoogend, Netherlands 68
126 TheHospitalfor SickChildren(SickKids), Canada t9,562
12? Th€rmoFisherScientific, USA 2,900
128 TomsSboes, USA 8,998
129 Torontolnstituteof Phamacuticals Canada
Technolos/, )tl
130 Transphann, Canada 3 100
13l TreeStar,USA 100
132 Uniteah,Taiwan
133 UnitedStatosDepartrn€nt of A$icuture, USA 12,345 1',0
134 Univenity MedicalCenheGrcningen,N€therlands 513
135 universiryof N.c. usA 9,r68
136 UniversityofBerkeley,USA 142,90t 46,?11
Italy
l3? Univ€rsityof Cincinnati, 83
t38 Universityofcalifomia(Berkeley), USA +,oos

34

ffi
 InternationalCentrefor DiarrhoealDisease
Research, (icddr'b)
Banglad€sh
Notos to the financialstatements
for the v€ar ended 3l D€cember2014

Donationin kind (continu€d)

Amountin US$
2014 2013
sL ls!!c olpsrs!
a at7 4,853
139 Universityofcalifomia,Davis,USA
140 Universityof Califomi4USA 26,909 16,9'79
'13,669
l4l UnivenityofChicago,USA 10,989
of Colorado,
142 Universir)" USA 155 t00
Universityofcolumbi4 USA 693
143
144 Universityof Copenhagen,Denmark 20.100
145 Universityof Gothenburg,Sweden 14,393
146 UriversityofNorth Carolin4USA 25
147 Universityof Sydney, Australia
148 Unive$it)ofTokyoHosP- JAICA 303,199
149 UniversityofToronto,Canada 50
6 ltl
159 UniversityofTsukuba.Japan
151 Universityofvend4 SouthAfrica 10
152 Universityof Velmort,USA 105,448
31,718 r44tq
153 UniversityofVirgini4 USA
154 Universityofwashington,USA 47,818
155 UnversityofBe(kely, USA 4,841
156 Unversityof Califomi4 USA 909
500
157 Uppsalauniver,Sweden
))'t'16
158 USAID,USA
508
I59 USDA,USA
160 VWR,USA
USA
161 WalterReedArmy,InstituteofResearch, 20
162 walterReed,USA
:,ioo
163 Washing UniversitySchoolof Medicire,USA 5,903
164 Washington Universityin St. Louis t4,113
165 Washington universityschoolofMedicine'USA 16,lI I
166 Washilgton University,USA 500
167 WiscoNin lab
State of Hygiene, USA 20
Wiscon lab,USA |,520
168
20
169 WisconStateLaboraFryofHygiene,USA
l?0 World HeatthOrganizatior\Switzerlald 129,140
Total donationsin kind _-1i-,437_
____2,w_040_

2l land
Deferredincomeon leasehold
Amount in US$
2014 2013
Restricted Unrestricted Total Total

3,557,194 3,55'1,194
Defeffcdincomeor leaseholdland
__lfs7!94_ _-_!d!11e4_
proportionatelyoverthe
th€ valueof leasahoklland in DhakaandMatlabreceivedasdonation,recognised
Defenedincomerepresents
remainingJifeofthe leases(Note3.1.1).The incomearisingaom theleaseis consistentwith IAS l? andIAS 20 whereincomeis
prcvidedandrecognised overthelife of theremailinglgasedasset'

35 ffi
 Research,
InternationalCeltre for DiarrhoealDisease (icddr,b)
Bangladesh
Not€sto the financialstatements
for thevearended3l Decemb.r2014

Otherrevenue
Amountin US$
2014 2013
Restricted Unrestricted Total

Laboratoryandclinical fees 1,199 2,204,9't0 2,206,169 1,875,945

Rentalincome t , 75 6 31,611 33,367 85-956
Int€rest
income 295,588 295.588 205,012
Cafeteriaandguesthouse 12,43'l 4 t t . 3 75 423.812 398,300
Travelersclinicservice 26t,t14 26t,rt4 205,911
Generator servioes : t26,591 126,591 96,2t5
Consultancy fee t0;/7 | 1,844 18,615 166,198
Fixedassetshandlingcharges I10,787 I10,?87 61,658
Miscellaneous 654,508 663.543 1,318,051 669,928
Total __4-11J;EL __JJ2!p!-
______-58!t5ZL -----JJ55JEJ-

Othrr expenditures
Amountin US$
2014 2013
Restrict.d Unrestricted Total Total

Washing andlaundrycharyes 4,389 2,0'7

4 6,463 5,639
DecoEtorard outsidecate ng 16,329 I1,090 27,4t9 10,682
Menbership andsubscription for €mployees 1,452 732 2,184 2.7r7
Otherservicecharges 2,288 332 2,620 541,585
Administrativesupportcostrecoveries I1,995 (t2,252) (2s't)
Incineration
service charges 18.681 33,236 51,917 44,934
'7 '7
2.412
of fixedassets
Sale/disposal
Bankchargesandoverdraftinterest I1.319 t2,595 23,914 19.998
Exchange (gain)noss 43,056 43,056 ))q )1q

Total 66,453 90,870 157,323 857,246

Mandatorycommitteemeetingexpenses

arnountof US$ 23,145(.2013:.

Mandatorycommitteesexpenditureincludesan aggregate US$ 22,546)paid as honorarium
to the
membersofthe BoardofTrustees.

Operatingleases

rangingfrom threemonthsto five years.Rentalpaymentsfor 2014 amountedto

The Centreenteredinto vaxiousleasearrangements
US$488,015(2013:US$433.956). Futureminimumlcasepayments areasfollows:
Arnountin US$
Y€ar Reslricted Unrestricted TotalRent

Not later than one year t28,832 37,759 166,591

More than one yeax to five yeaxs 38,984 23,457 62,441
More than five yeaxs
------??2rl?-
_____-5M9-
___15G1!_
26 liabilities
Contingent

In 2011,management canc.elleda contractlvith FRCL - UCC Consortium(a conhactorto perfom civil andelectricalwork at icddr,b
Dhaka Hospital building) for non-performance.The case is under arbitration. As the amount advancedto the conhactor is
morcthanthevalueofthe workcarriedout,management
substantially is ofthe opinionthatno liabilityis likelyto a se.

In early2012management cancelleda confact with Mark BuildersLimited (a contractorto extendDhakaHospitalbuilding). Mark

BuildersLimited initially file.da temporaryinjunctionto stopicddr,bfrom encashingthe perfomanceguaranteeHorvever,the matter
hasbeenamicablysettledby executinga SettlementDeed,without icddr,bincuning any financial loss'

36
 InternNtionalCen(refor DiarrhoealDisease
Research, (icddr,b)
Banglade$h
Notesto the financialrtatem€nts
for theyearended31December 2014

Also in early2012,A.B.Enterlrises (a contactorto buildunderground \rr'ater

r€servoirat icddr,bprernise$)issueda terminationletter
whiqh ic.ddr,baccepted.A.B. Enterprisespurportedbreach,rgpudiatedthe conhactand gncashed the performance guatantee. In
January2014,A.B. Enteryriseissued a legal notice claimingthe performalce guarantee. However, as AB. neither
Enterprise
submittedits work plannor took possessionof the work site,managementis of theopinionthatno liability will arise.

liabilitieson account
Tharearecontingent Bankin favouroficddr,bfor theamountof
of letterofcreditissuedby StardardChartered
US$82,685 asat 31December 2014.

whicbaresubjectto finaacialandcompliance
in a numberof federalprograms
icddr,bparticipates thatcertain
audits.It is possible
expendituremaybedisallowed.Management does
not expect
such to
disallowable be material.

FunctionalE{penses
lmount in us$
2014 2013
Nlanagement
Description Program and Fundraising Total lotal
Administration

Salaries
andbenefits- local 20,800,236 7,983,51',1 28,783,153 25,394,916
andbenefits
Salaries - intemational 4,781,554 1,940,166 6,12t,'120 6,228.804
Saladesandbenefits- emeritusstaff 88,621 88,62'7
Consultancy 973,522 1,115,099 285,832 2,374,453 1,713,638
Mandatorycommitteemeetingexpense 50,914 189,359 240,213 303,879
Trave!andvehiclehirc charges 2,906,312 764,483 3,670.795 3,279,141
Suppliesandmaterials 6,911,988 2,72t,414 9,639,402 7,620,292
Repairsandmaintenance 341,943 294,644 636,587 614,541
Rent,commuoication andutilities 1,151,596 652,119 1,804,375 1,503,386
Printingandpubliqations 320,939 26t,592 582,531 593,294
Trainin&diss€mination andstaff t,t92,825 132,828 r.325,653 946,860
development
Collaborativeagreements 5,998,541 5,998,541 10,867,152
Other€xpenditure 66,453 90,870 t5't,323 857,246
Hospitalpalientexpenses 414,120 (29,019) 445,70t 20'7,423
Cleaningandsecurity 294,857 414,515 709,372 536,378
Legalandprofessional fees 15,187 1't,361 92,548 418,992
lnterdepartmedalservicecharges ?38,302 (?38,302)
Doubtfuldebtexpense 129,091 129,091 139,644
Depreciationandamortisatiol 5,43r,856 629,759 6,061,615
--szrzirg ----!!lquf5- -295&2-
Indirectcostrate
Amountin US$
2014 2013

Research expenses 45,021,5'10 39,824,658

Institutiomlcost(includingsenices) 15.309,409 14,805,741
Total cost 60J30.979- 54.630,399
-----]ffi
Percentage (indirect/direct) 3iry%

Researchexpensesare costswhich direcdy benefit a project,Costswhichbenefitmorethanoneprogram arcproratedusilg an

projects'
appropriateallocationbase.lnstilutionalexpenrs cannotbedirectlyattributedlo research

-ffi
aw
37
 InternationalCentr€for DiarrhoealDissase
Research, (icddr,b)
Bangladesh
Notesto the financialslatemenls
for theyearended31 December 2014

tq Financialrisks

Financialinshumentsadsingdirectly from icddr,b operationsincludeaccountsreceivables,cashand cashequivalents,investments,

conhibutions receivedin advance andaccounts payable.icddr,bis exposed to variousriskssuchas maxketrisks,cr€ditrisksand
liquidiLvrisks.icddr,bseeks
to mjnimizethepotentialadverse
effectsofthesefinancialrisks.

Credit risks

Creditrisk is the risk that icd&,b may sufler financiallossshouldDonorsand other marketcounterparties
fail to fulfill their
obligations.
Thecarryingamountoffinalcial assets reprcsents
thgCente'sm&ximumcreditexposures.

NlarketrisLs

Marketrisk is the risk that the value of icddr,b'sinv€stmentwill decrease

dueto movementin marketfaatorssuchas chang€sin
interestrates,foreign cunency ratesand gquify prices.Foreignexchangerisk a sesfrom curercy mismalahesas well as timing
differenc€s betweenreceiptof Dolor paynentsand payrnentof overseas Risk alsoariseswherethereis significart
obligations.
fluctuationbefweenthe currencyof the donorcontractssignedandthe cunencyof spend.icddr,bdoesnot takespeculative positions
in foreignexchangecontractsor anyderivativeinstruments.

Interestrate risk

Interestraterisk is therisk thatan inve$tment's

valuewill changedueto a changein the absolutelevelof interestrates.icddr,bdoesnot
haveinterestbearingborrowingsandis thereforenot significantly exposedto intgrestraterisk.

Liquidig risk
I
Liquidityrisk is lhe riskthaticddr,bmayb€ unableto meetits obligations,
whentheyfall dueasa resultofa sudden andpotentially
protractedinqeasein cashoutflows.icddr,b seeksto maintainan adequatelev€lof liquidity to meetits operationalrequirements
and
-a providepredictability of programfunding.

30 Relatedparties

a) Key ManagemeltPersom€l

The namesandpositionsof keymanagement

personnelareasdisclosedunderCorporatellformation.

o) KeyManagement
Compensation Amountin US$
2014 2013

Salariesandallowances 3,255,186 2,362,3t2

Terminationbenefits 12r,709 94,383

c) Balancesdueftom employe€s 'r', 141

23,837

Eventsaft€r the r€portingperiod

No materialeve$tshaveoccunedafterthe reportingperiodto the dateof issueof thesefinancial statements,

which could affectthe
valuesstatedin the financialstatements.

38