Financial Statements




23 SEPTEMBER NEW ZEALAND GAZETTE 3647

The Company places its cash deposits with high credit quality financial institutions.

Credit risk exists in respect of accounts receivable. The Company is able to impose bond requirements on retailers trading across its network in accord with the use of systems agreements held with the retailers.

13.2 Interest Rate Risk

Interest Rate risk is the risk that interest rates will change, increasing or decreasing the cost of borrowing or lending. The company’s short-term deposits are at fixed interest rates and mature within one year.

13.3 Currency Risk

Currency risk is the risk that amounts payable in foreign currencies will change due to movements in exchange rates. The company enters into foreign currency forward exchange contracts in order to manage its exposure to fluctuations in foreign currency exchange rates on the purchase of specific plant and equipment items from overseas suppliers. The company had no cover under forward exchange contracts at 31 March 2003 (2002: nil).

13.4 Fair Values

The carrying amount of cash, short term deposits and trade receivables reflect their fair values.

14 RELATED PARTIES

Transactions with these related parties are for the period 1 April 2002 to 31 March 2003.
No related party debt has been written off or forgiven.

14.1 Marlborough Electric Power Trust

The Trustees of the Marlborough Electric Power Trust hold all of the Company’s shares. The company may from time to time advance funds of a short-term nature to the Trust. The company also pays dividends to the same trust. There were no related party transactions with the Trust during the year (2002: nil).

14.2 Parties Associated With Directors

The company contracted with parties associated with certain directors of Marlborough Lines Limited. These transactions involve the provision of legal and consulting services. All transactions were at commercial rates.

2003 $000 2002 $000
PJ Radich (Radich Dwyer Hardy-Jones Clark) 10 31

14.3 Contracting Division Of Marlborough Lines

The contracting division of Marlborough Lines Limited has provided the following services at commercial rates:

Service 2003 $000 2002 $000
Construction of sub transmission assets 5 18
Construction of zone substations 140 163
Construction of distribution lines and cables 127 77
Construction of medium voltage switchgear 19 22
Construction of distribution substations 14 10
Construction of low voltage reticulation 94 262
Maintenance of assets 1,268 1,411
Other services 393 593

The Contracting Division of Marlborough Lines Limited has paid for the following:

Service 2003 $000 2002 $000
Other services 460 446

There were no outstanding balances at 31 March 2003 (31 March 2002: nil).

14.4 Otago Power Services Ltd

Otago Power Services Ltd (OPSL) has provided the following services at commercial rates:

Service 2003 $000
Construction of sub transmission assets 358
Construction of zone substations 35
Construction of distribution lines and cables 430
Construction of medium voltage switchgear 10
Construction of distribution transformers 88
Construction of low voltage reticulation 54
Maintenance of assets 798
Other services 10

OPSL has paid for the following:

Service 2003 $000
Other services 10

Marlborough Lines’ Lines Business owed OPSL at 31 March
| | 345 |
OPSL owed Marlborough Lines at 31 March | 1 |



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Online Sources for this page:

VUW Te Waharoa PDF NZ Gazette 2003, No 135


Gazette.govt.nz PDF NZ Gazette 2003, No 135





✨ LLM interpretation of page content

🏗️ Marlborough Lines Limited Financial Statements (continued from previous page)

🏗️ Infrastructure & Public Works
Financial Statements, Depreciation, Goodwill, Provisions, Commitments, Term Loans, Contingent Liabilities, Financial Instruments, Credit Risk, Interest Rate Risk, Currency Risk, Fair Values, Related Parties, Marlborough Electric Power Trust, Directors, Contracting Division, Otago Power Services Ltd
  • PJ Radich, Provided legal and consulting services