Page 305 - TSMC 2020 Annual Report

The Company’s goodwill has been tested for impairment at the end of the annual reporting period and the recoverable amount is determined based on the value in use. The value in use was calculated based on the cash flow forecast from the financial budgets covering the future five-year period, and the Company used annual discount rates of 8.0% in both years in its test of impairment as of December 31, 2020 and 2019, to reflect the relevant specific risk in the cash-generating unit.
For the years ended December 31, 2020 and 2019, the Company did not recognize any impairment loss on goodwill.
15. SHORT-TERM LOANS
Unsecured loans
Related parties unsecured loans
Loan content
US$ (in thousands) EUR(in thousands) Annual interest rate Maturity date
December 31, 2020
$ 88,559,026 87,100,700
$ 175,659,726
$ 3,300,000 2,398,000
(0.54)%-0.33% Due by July 2022
December 31, 2019
$ 118,522,290 29,988,000
$ 148,510,290
$ 3,370,000 1,410,000
0%-2.22% Due by July 2020
The borrowing rates from loans between the Company and related parties are determined by mutual consent. And the loan are repayable on related parties’ demand.
16. BONDS PAYABLE
Domestic unsecured bonds
Less: Discounts on bonds payable Less: Current portion
The major terms of domestic unsecured bonds are as follows:
December 31, 2020
$ 173,197,000 (146,255) (2,600,000)
$ 170,450,745
December 31, 2019
$
$
56,900,000 -
(31,800,000) 25,100,000
Issuance Tranche
NT$ unsecured bonds
100-2 B 101-1 B
Issuance Period
January 2012 to January 2019
August 2012 to August 2019
Total Amount
$ 7,000,000 9,000,000
Coupon Rate
1.46% 1.40%
Repayment and Interest Payment
Bullet repayment; interest payable annually
The same as above (Continued)
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