31 JULY NEW ZEALAND GAZETTE 1945

Taxation

Taxation includes both current and deferred tax. Deferred tax is calculated using the comprehensive liability method.

Comparatives

Certain comparatives have been restated for disclosure purposes.

Changes in Accounting Policies

There have been no material changes in accounting policies during the period.

2. Income—Other Investments

| | 1997
$000 | 1996
$000 |
|--------------------------|---------------|---------------|
| Interest received | 396 | 265 |
| Investment loss | 0 | (13) |
| | $396 | $252 |

3. Investments

Shares in ASB Bank Limited—

| | 1997
$000 | 1996
$000 |
|--------------------------|---------------|---------------|
| Balance as at 1 April | 106,316 | 92,570 |
| Special dividend | (57,995) | 0 |
| Share purchase | 57,995 | 0 |
| Increase in net tangible assets | 15,196 | 13,746 |
| Balance as at 31 March | $121,512 | $106,316 |

A special dividend of $57,995,325 was received from ASB Bank Limited on 28 June 1996 of which $5,404,783 was attributed to the charitable purposes reserve fund. The special dividend was fully imputed. The proceeds of the special dividend ($57,995,325) were immediately reinvested in the purchase of new shares issued by ASB Bank Limited.

Total number of shares held in ASB Bank Limited as at 31 March 1997 was 80,780,325 (1996: 82,825,000) of which 7,533,391 (1996: 2,128,608) are attributable to the charitable purposes reserve fund.

The increase in net tangible assets is based on unaudited accounts as at 31 December 1996.

Other Investments

These consist of securities and deposits managed in-house.

Investments comprise:

| | 1997
$000 | 1996
$000 |
|--------------------------|---------------|---------------|
| Call deposits | 502 | 410 |
| Call deposits charitable purposes reserve fund | 690 | 0 |
| Term deposits | 3,310 | 2,168 |
| Term deposits charitable purposes reserve fund | 0 | 323 |
| Bonds | 879 | 879 |
| | $5,381 | $3,780 |

Certain of the trust’s deposits are subject to a right of set off under the terms of the trust’s banking agreement. There has been no set off applied in the presentation of these accounts.

4. Taxation

| | 1997
$000 | 1996
$000 |
|--------------------------|---------------|---------------|
| Surplus before taxation | 14,957 | 14,457 |
| Net dividend | (3,750) | (3,300) |
| Committed donations | 3,965 | 2,417 |
| Unrealised investment revaluations | (15,196) | (13,746) |
| Income attributable to charitable purposes reserve fund | (44) | (16) |
| Non-deductible expenditure | 350 | 378 |
| | $282 | $190 |
| Taxation charge @ 33 percent | $93 | $63 |

5. Donations

For this year—

| | 1997
$000 | 1996
$000 |
|--------------------------|---------------|---------------|
| Committed and disbursed | 999 | 1,274 |
| Committed but not yet disbursed | 2,981 | 1,161 |
| Total donations approved | 3,980 | 2,435 |
| Donations written back | (15) | (18) |
| | $3,965 | $2,417 |

Committed but not yet disbursed—

Committed in previous years | 223 | 94 |