✨ Financial Statements and Notes
29 AUGUST NEW ZEALAND GAZETTE 2771
POWERCO LIMITED
Notes to the Financial Statements
For the seven months ended 31 March 2001
1. Statement of Accounting Policies
Reporting Entity
Powerco Limited is a company registered under the Companies Act 1993. The group consists of Powerco Limited and its subsidiaries.
The following activities were the principal activities undertaken by Powerco Limited throughout the period:
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Distribution of electricity and value added services.
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Distribution of gas and value added services.
These financial statements have been prepared to comply with the provisions of Section 44 of the Energy Companies Act 1992, the Companies Act 1993, the Financial Reporting Act 1993 and the Gas (Information Disclosure) Regulations 1997.
Amalgamation Transaction
In accordance with a shareholder resolution dated 15th August 2000, the predecessor companies, Powerco Limited, CentralPower Limited and Taranaki Energy Limited amalgamated with Mergeco Limited on 1st September 2000. Mergeco Limited was incorporated on 23 March 2000 and was non-trading until the amalgamation. Immediately after the amalgamation, the continuing entity Mergeco Limited was renamed Powerco Limited.
The accounting for this transaction was completed at fair value for all assets and liabilities in accordance with Generally Accepted Accounting Principles. These values form the basis of cost to the amalgamated company, Powerco Limited.
The amalgamation has been treated as a non-qualifying amalgamation for tax purposes. The Board is very confident that this tax treatment is correct as it has received strong supporting opinions and advice from specialist tax advisers and senior legal counsel specialising in commercial tax issues. Inland Revenue is yet to advise its view on this issue.
On this basis, the financial statements presented reflect the following:
a) The period ended 31 March 2001 relates to the seven months of trading since the date of the amalgamation.
b) The reported proforma financial information for the combined year to date 31 March 2001, as per Note 7, represents a consolidation of the amalgamating companies for the 12 months to 31 March 2001, as if the companies operated as a Group.
Measurement Basis
The Group follows the accounting principles recognised as appropriate for the measurement and reporting of earnings and financial position on an historical cost basis.
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Online Sources for this page:
VUW Te Waharoa —
NZ Gazette 2001, No 108
Gazette.govt.nz —
NZ Gazette 2001, No 108
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Powerco Limited Gas Information Disclosure
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🏭 Trade, Customs & IndustryFinancial Statements, Accounting Policies, Amalgamation, Powerco Limited, Gas Information Disclosure, Companies Act 1993, Energy Companies Act 1992, Financial Reporting Act 1993, Gas (Information Disclosure) Regulations 1997