New Zealand Gazette – 2003 – No. 133

Page 3614

✨ Vector Limited Financial Statements



VECTOR Limited

Electricity Lines Business

Notes to the Financial Statements

For the year ended 31 March 2003

20. TRANSACTIONS WITH RELATED PARTIES

During the year VECTOR Limited, of which the electricity line business is the predominant activity, had the following related party transactions:

2003 2002
$'000 $'000
Payment of Dividends to AECT 42,800 48,000
Payments from AECT 100 52
Electricity line services charged to UnitedNetworks Limited 348 -

Auckland Energy Consumer Trust (AECT) is the sole shareholder of VECTOR Limited, of which the electricity lines business is the predominant activity.

No related party debts have been written off or forgiven during the year.

The VECTOR Group, of which the electricity lines business is the predominant activity, transacted on an arms length basis with entities in which Directors had interests, either as Directors or shareholders.

21. SEGMENT INFORMATION

The electricity line business operates within the electricity distribution sector. All operations are carried out within New Zealand.

22. ACQUISITION OF UNITEDNETWORKS LIMITED

Name of entity Principal activities Interest held by Parent
2003
UnitedNetworks Limited Utilities network operator 100%

The balance date of the UnitedNetworks Limited electricity lines business is 31 March.

During October and November 2002 VECTOR Limited acquired 100% of the shares in UnitedNetworks Limited for a cash consideration of $1,499 million. $1,417 million relates to the acquisition of the electricity lines business. VECTOR Limited acquired effective control of UnitedNetworks Limited on 11 October 2002.

Summary of the effect of acquisition of UnitedNetworks Limited – electricity lines business

Notes 2003 2002
$'000 $'000
Lines activity assets and liabilities acquired:
Bank balances (16,956) -
Net current assets 4,654 -
Deferred tax 5 (95,763) -
Property, plant and equipment 1,341,159 -
Borrowings (658,240) -
574,854 -
Goodwill 23 841,772 -
Cash consideration paid 1,416,626 -
Overdraft acquired 16,956 -
Net cash impact of acquisition 1,433,582 -

Included in cash consideration paid are capitalised acquisition costs for professional services provided. This includes $2.2 million paid to principal auditors – PwC. The net surplus after tax includes $28.8 million resulting from the acquisition of UnitedNetworks Limited – electricity lines business.



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Online Sources for this page:

VUW Te Waharoa — PDF NZ Gazette 2003, No 133


Gazette.govt.nz — PDF NZ Gazette 2003, No 133




✨ LLM interpretation of page content

🏭 Vector Limited Financial Position Statements (continued from previous page)

🏭 Trade, Customs & Industry
31 March 2003
Electricity, Financial Statements, Related Party Transactions, Dividends, Segment Information, Acquisition, UnitedNetworks Limited