864 NEW ZEALAND GAZETTE No. 37

(d) Where—

(i) The price or yield cannot be determined pursuant to the preceding paragraphs of this subclause; and

(ii) The price or yield for a shorter maturing financial arrangement and for a longer maturing financial arrangement in relation to the identical financial arrangements and the market are quoted on not less than 3 contributor pages—

by interpolation between the arithmetic mean of the prices or yields quotes on not less than 3 contributor pages for the shorter maturing financial arrangement that matures closest in time to the maturity of the financial arrangement and the arithmetic mean of the prices or yields quotes on not less than 3 contributor pages for the longer maturing financial arrangement that matures closest in time to the maturity of the financial arrangement;

(e) Where the price or yield cannot be determined pursuant to the preceding paragraphs of this subclause, and the price or yield for any shorter maturing financial arrangement or any longer maturing financial arrangement is quoted on a multicontributor page, by extrapolation from the price or yield so quoted for—

(i) The shorter maturing financial arrangement; or

(ii) The longer maturing financial arrangement—

as the case may be, that matures closest in time to the maturity of the financial arrangement.

(f) Where the price or yield cannot be determined pursuant to the preceding paragraphs of this subclause, and the price or yield for—

(i) A shorter maturing financial arrangement; or

(ii) A longer maturing financial arrangement—

is quoted on not less than 3 contributor pages, by extrapolation from the arithmetic mean of the prices or yields quoted on not less than 3 contributor pages for the shorter maturing financial arrangement that matures closest in time to the maturity of the financial arrangement, or the arithmetic mean of the prices or yields quoted on not less than 3 contributor pages for the longer maturing financial arrangement that matures closest in time to the maturity of the financial arrangement as the case may be.

(8) Where the price or yield cannot be determined pursuant to the preceding subclause, no method is approved by this determination for the purposes of subsection 64C (4) of the Act.

7. Example—On its balance date of 30 September 1987, a corporate investor held $2,000,000 face value of New Zealand Government Stock maturing 15 August 1990 bearing a coupon of 14%.

(a) At the cut-off time on 30 September 1987 the Reuters multicontributor page, NZGS, had quotes of 16.42% (buy) and 16.38% (sell).

A rate of 16.42% would be appropriate for the valuation of this holding as at 30 September 1987 in accordance with clause 6 (3) (a), clause 6 (4) (a), and clause 6 (7) (a) of this determination.

Note: To obtain the value of the Government Stock it is necessary to use this rate in an appropriate valuation formula.

(b) At the cut-off time on 30 September 1988 there were no multicontributor quotations available.

However, for an identical issue of Government Stock the following quotes were obtained from a broker active in the market and from contributor page supplied by brokers active in the market:

The appropriate rate, determined in accordance with clause 6 (7) (b) of this determination, is the arithmetic mean of the buy quotes, i.e., 15.88%.

(c) At the cut-off time on 30 September 1989 there were no multicontributor quotations available for this particular stock.

The following quotations were available from the multicontributor page, NZGS, for two similar stocks:

Clause 6 (7) (c) of this determination applies and a form of interpolation between these quotations is to be used.

If the corporate investor chooses to use linear interpolation, the required yield is calculated as follows:

The relevant buy quotes and terms are:

From 15/6/90 to 15/9/90: 92 days.

The required valuation yield is calculated under straight line interpolation:
((31 × 15.10) + (61 × 15.06)) / 92 = 15.07%.

This determination is signed by me on the 8th day of February in the year 1989.

R. D. ADAIR,
Deputy Commissioner of Inland Revenue.

903199

Justice

Criminal Justice Act 1985

Order for Confiscation of Motor Vehicle

Pursuant to section 84 of the Criminal Justice Act 1985, His Honour, Judge P. J. Bate, made an order confiscating the following motor vehicle:

1971 Chrysler Valiant, registration No. FR 6341.

Dated at Porirua this 17th day of February 1989.

D. L. JACKSON,
Deputy Registrar.

903178

Order for Confiscation of Motor Vehicle

Pursuant to section 84 of the Criminal Justice Act 1985, His Honour, Judge P. J. Bate, made an order confiscating the following motor vehicle: