New Zealand Gazette – 2001 – No. 104

Page 2661

✨ Financial Statements Notes



28 AUGUST NEW ZEALAND GAZETTE 2661

2.5 NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS (continued)

2001 2000
($000) ($000)
15 DIVIDEND
Dividend paid 22,854 15,229
Dividend proposed 24,228 17,027
47,082 32,256

16 RECONCILIATION OF OPERATING SURPLUS AFTER TAXATION TO NET CASH INFLOW FROM OPERATING ACTIVITIES

2001 2000
($000) ($000)
Reported surplus after taxation 79,450 68,431
Add non-cash items:
Depreciation 42,897 42,475
Amortisation of goodwill and intangibles 13,476 13,475
Increase (decrease) in deferred tax payable 17,345 17,457
Decrease (increase) in tax refund due (10,666) (8,055)
Deferred tax reversed on reticulation assets - -
Add (less) movements in working capital items:
Decrease (increase) in accounts receivable and other debtors 2,774 (209)
Decrease (increase) in current portion of lease (13) 7
Decrease (increase) in inventory (16) 425
Increase (decrease) in accounts and sundry payables 1,430 (9,004)
Add (less) items classified as investing activities:
Loss (profit) on sale of assets (70) 20
Movements relating to sale/purchase of subsidiary - 5,770
Supplementary dividend paid 6,538 7,170
Net cash flow from operating activities 153,145 137,962

17 FINANCIAL INSTRUMENTS

The company has a comprehensive treasury policy to manage the risks of financial instruments which is approved by the board of directors.

Interest rate risk

The company has long term borrowings which are used to fund ongoing activities. The company actively manages interest rate exposures in accordance with treasury policy. In this respect, at least 60% of all term debt must be fixed using interest rate swaps, forward rate agreements, options and similar derivative instruments.

The notional face value of outstanding derivative instruments at balance date are:

2001 2000
($000) ($000)
Interest rate swaps 610,000 860,000

At balance date, the weighted average interest rate for swaps is 6.81% (2000: 6.68%)

Foreign exchange risk

The company has, in this reporting period, conducted transactions in foreign currencies for the purposes of protecting the New Zealand dollar value of capital expenditure. At balance date the company has no significant exposure to foreign currency risk.



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Online Sources for this page:

VUW Te Waharoa — PDF NZ Gazette 2001, No 104


Gazette.govt.nz — PDF NZ Gazette 2001, No 104




✨ LLM interpretation of page content

🏭 Notes to Financial Statements for UnitedNetworks (continued from previous page)

🏭 Trade, Customs & Industry
Financial Statements, Dividends, Reconciliation, Operating Surplus, Financial Instruments, Interest Rate Risk, Foreign Exchange Risk