✨ Financial Statements Continuation
19 SEPTEMBER
NEW ZEALAND GAZETTE
3613
VECTOR Limited
Electricity Lines Business
Notes to the Financial Statements
For the year ended 31 March 2003
17. FINANCIAL INSTRUMENTS - CONTINUED
The following methods and assumptions were used to estimate the fair value of each class of financial instrument where it is practical to estimate that value:
Cash and short term deposits, loans and working capital
The carrying amount of these items is equivalent to their fair value. Bank overdrafts are set off against cash balances pursuant to right of set off.
Commercial paper
The carrying amount of these items is equivalent to their fair value.
Medium term notes
The fair value of NZ$ notes is based on quoted market prices.
The fair value of A$ notes is based on the face value converted at the exchange rate prevailing on 31 March 2003.
Capital bonds
The fair value of capital bonds is based on quoted market prices.
Derivative instruments
The fair value of interest rate swaps, forward rate agreements, interest rate options and other derivative instruments is estimated based on the quoted market prices for these instruments.
18. COMMITMENTS
The following amounts have been committed to by VECTOR Group, of which the electricity line business is the predominant activity, but not recognised in the financial statements
| Capital expenditure commitments | 2003 | 2002 |
|---|---|---|
| Estimated capital expenditure contracted for at balance date but not provided: | 26,800 | 9,983 |
Operating lease commitments
| Within one year | 4,112 | 1,172 |
|---|---|---|
| One to two years | 1,709 | 1,172 |
| Two to five years | 1,894 | 2,302 |
| Beyond five years | 2,487 | 113 |
| Total | 10,202 | 4,759 |
The majority of the operating lease commitments relate to premises leases. Operating leases held over properties give the VECTOR Group, of which the electricity line business is the predominant activity, the right to renew the lease.
19. CONTINGENT LIABILITIES
Certain parties have claimed against the VECTOR Group, of which the electricity line business is the predominant activity. Anticipated liabilities in relation to these claims have been fully accounted for. No other material contingencies have been identified.
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Online Sources for this page:
VUW Te Waharoa —
NZ Gazette 2003, No 133
Gazette.govt.nz —
NZ Gazette 2003, No 133
✨ LLM interpretation of page content
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Vector Limited Financial Position Statements
(continued from previous page)
🏭 Trade, Customs & Industry31 March 2003
Electricity, Financial Instruments, Fair Values, Commercial Paper, Medium Term Notes, Capital Bonds, Derivative Instruments, Commitments, Operating Leases, Contingent Liabilities