4262

NEW ZEALAND GAZETTE

No. 187

ASB CHARITABLE TRUST

Notes to the Financial Statements for the period ended 31 March 1992

1. STATEMENT OF ACCOUNTING POLICIES

The ASB Charitable Trust ("the Trust") was formed on 31 May 1989 through the creation of a trust deed by the ASB Bank Community Trust and a donation of $252,000,000.

GENERAL ACCOUNTING POLICIES

The measurement basis adopted is that of historical cost adjusted for the revaluation of certain assets. Reliance is placed on the fact that the Trust is a going concern. Accrual accounting is used to match income and expenditure.

PARTICULAR ACCOUNTING POLICIES

Bank

Bank is stated as the balance in the bank account rather than the balance as per the cash book.

Currency Hedges

All hedging contracts are revalued using the New Zealand dollar rate at balance date and all realised and unrealised gains and losses are recognised in income and expenditure for the period.

Depreciation

Depreciation is provided over the useful life of the assets. The rates used are:

• Buildings: 2.5% straight line basis
• Vehicle, office equipment & furniture: 20% diminishing value basis

Dividends

Dividends are recognised as income when they are received by the Trust and exclude imputation tax credits.

Donations

Donations are accounted for as they are distributed or committed to be distributed to eligible organisations as approved by the Trustees. Where donations approved are payable over a number of accounting periods, the future donations payable are accounted for in the year in which they are paid.

Expenses

Some expenses are shared jointly with the ASB Bank Community Trust. Whilst each Trust bears its own specific costs, the joint expenses are allocated between the Trusts on the basis of the number of applications processed by each.

Joint expense allocations were:

	1992	1991
This Trust	60%	50%
ASB Bank Community Trust	40%	50%

Fixed Assets

Fixed Assets are valued at cost less accumulated depreciation.

Foreign Currencies

All amounts denominated in foreign currencies are converted to New Zealand dollars at balance date and all realised and unrealised gains and losses are recognised in income and expenditure for the period.

Investments

Investments are stated at market value. Any unrealised gains or losses are recognised in income and expenditure for the period.

Investment transactions are recorded by the Fund Managers on a settlement date basis. Unsettled transactions are disclosed in the Notes as commitments.

Reserves

The Investment Fluctuation Reserve consists of unrealised gains, which are recognised as income for the period. Transfers to all other Reserves from the Unallocated Surplus are made at the discretion of the Trustees.

Taxation

The Trust has been accorded tax exempt status in New Zealand and Australia but is liable to taxation on investment income in some other overseas countries. Tax on overseas income is accounted for as a reduction of that income.

Changes in Accounting Policies

There have not been any material changes in accounting policies in this accounting period.

2. DONATIONS

For this year

• Committed and disbursed: 4,960
• Committed but not yet disbursed: 6,010
• Transferred to Social Emergencies Reserve: —

Total: 10,970

For future years

• Committed but not yet disbursed
  (These are not shown on the Balance Sheet)

Payable in the year 1 April 1991 to 31 March 1992: —
Payable in the year 1 April 1992 to 31 March 1993: 1,825

Total: 1,825

	1992	1991
Committed and disbursed	4,960	5,493
Committed but not yet disbursed	6,010	3,907
Total	10,970	9,400
Transferred to Social Emergencies Reserve	—	1,900

3. TRUST CAPITAL

	1992	1991
Balance as at 1 April	251,786	251,786
Balance as at 31 March	251,786	251,786

4. RESERVES

Capital Maintenance Reserve

	1992	1991
Balance as at 1 April	21,253	8,438
Notional Interest on Reserve		1,468
Transfers during the period	8,580	11,347
Balance as at 31 March	29,833	21,253

Investment Fluctuation Reserve

	1992	1991
Balance as at 1 April	1,504	7,504
Net gain during the period	8,967	1,504
Balance as at 31 March	10,471	1,504

Social Emergencies Reserve

	1992	1991
Balance as at 1 April	1,900	—
Allocation from surplus for the year	1,900	1,900
Transfer to General Reserve	(1,900)	—
Balance as at 31 March	—	1,900

General Reserve

	1992
Balance as at 1 April	—
Transfer from Social Emergencies Reserve	1,900
Allocation from surplus for the year	15,100
Balance as at 31 March	17,000

5. INVESTMENTS: MANAGED FUNDS

Gross Income

	1992	1991
Realised	35,569	24,686
Unrealised fluctuations	8,632	1,504

Total: 44,201

	1992	1991
Withdrawals	(8,190)	(10,920)
Balance as at 1 April	268,444	253,174
Balance as at 31 March	304,455	268,444

Investments comprise:

	1992	1991
Cash deposits, miscellaneous	22,473	75,847
Bonds	233,338	161,061
Equities	48,644	31,536

Portfolio total, at market value: 304,455

	%	%
Held in New Zealand	53	60
Offshore	47	40

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