✨ Financial Statements and Related Transactions
30 NOVEMBER 2004 NEW ZEALAND GAZETTE, No. 157 3871
7. Financial Instruments
Interest Rate Risk - not subject to this risk as there are no interest bearing assets or liabilities.
Financial instruments potentially subject to credit risk are cash deposits and trade debtors. Cash deposits are placed with a small number of trading banks and the amount deposited per bank is limited. The Board of Directors approves the counter parties and the credit limits. NGC completes credit evaluations on customers where possible and requires a bond to be paid when customers cannot demonstrate an adequate credit history. There are no significant concentrations of credit risk.
Transactions denominated in foreign currencies are undertaken from time to time and resulting from these activities exposures in foreign currencies arise, these exposures are managed by other NGC Group companies.
Cash at bank, other investments, trade creditors and amounts due to subsidiaries - the carrying value of these items is equivalent to their fair value.
8. Capital Commitments
Amounts committed but not recorded in these financial statements total $Nil (30 June 2003: Nil).
9. Contingent Liabilities
There are no material contingent liabilities, which would have a material adverse effect on these financial statements.
10. Abnormal Item
| $ Thousands | |
|---|---|
| 2004 | |
| Gain on sale of retail gas customers | - |
11. Related Parties Transactions
NGC Management Limited provides services in respect of the Gas Retailing Activities. Management fees were paid to NGC Management Limited of $1.8 million (30 June 2003: $1.9 million).
Gas Retailing Activities had gas sales to Kapuni Energy Joint Venture of $5.4 million (30 June 2003: $4.4 million), NGC New Zealand Limited $4.5 million (30 June 2003: $5.4 million) and Southdown Joint Venture $0.0 million (30 June 2003: $2.3 million).
Gas purchases from Gas Wholesaling Activities were $115.1 million (30 June 2003: $151.5 million), transmission purchases from NGC New Zealand Limited were $26.4 million (30 June 2003: $28.5 million), processing services from NGC New Zealand Limited were $4.2 million (30 June 2003: $1.2 million) and distribution purchases from NGC New Zealand Limited were $3.9 million (30 June 2003: $9.6 million).
Transactions with related parties are settled in the ordinary course of business. No amounts have been written off or forgiven during the year ended June 2004 (2003: $nil).
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Online Sources for this page:
VUW Te Waharoa —
NZ Gazette 2004, No 157
Gazette.govt.nz —
NZ Gazette 2004, No 157
✨ LLM interpretation of page content
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Certification of NGC Gas Retailing Activities Financial Statements
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🏭 Trade, Customs & Industry26 November 2004
Financial Statements, Accounting Policies, Gas Retailing, NGC