NEW ZEALAND GAZETTE, No. 158

15 SEPTEMBER 2005

Credit Risk

The trust, in the normal course of business, enters into arrangements with other parties. These arrangements give rise to credit risk for the trust and hence policies and procedures are maintained so that this risk is minimised.

For all classes of financial assets held by the trust, the maximum credit risk exposure to the trust is the carrying value.

Due to the diversification of the investment portfolio and the policies and procedures in place, there is no significant concentrations of credit risk. No collateral is required in respect of financial assets.

Fair Values

All financial instruments are carried at market value which equates to fair value.

10. Foreign Currency Monetary Assets

As at 31 March, the trust had the following foreign currency monetary assets that were not hedged.

Foreign currency exposure—
Receivables stated in NZ$ equivalents:

11. Reconciliation of Reported Surplus to Net Cash Flow From Operating Activities

Reported surplus

12. Capital Commitments and Contingent Liabilities

Other than committed donations, the trust has no other capital commitments or contingent liabilities.

13. Conflicts of Interest

During the year, trustees and staff were required to declare either a direct or indirect conflict of interest in a matter being considered by the trust. Twenty-four such interests were recorded during the year and a register is available for inspection at the trust.

Audit Report

To the Trustees of ASB Bank Community Trust:

We have audited the financial statements comprising the statement of income and expenditure, the statement of movements in trust funds, the balance sheet, the statement of cash flows and the notes to these financial statements. The financial statements provide information about the past financial performance of the trust and its financial position as at 31 March 2005. This information is stated in accordance with the accounting policies in the notes to these financial statements.

Trustees’ Responsibilities

The trustees are responsible for the preparation of financial statements which give a true and fair view of the financial position of the trust as at 31 March 2005 and the results of its operations and cash flows for the year ended on that date.

Auditors’ Responsibilities

It is our responsibility to express an independent opinion on the financial statements presented by the trustees and report our opinion to you.

Basis of Opinion

An audit includes examining, on a test basis, evidence relevant to the amounts and disclosures in the financial report. It also includes assessing:

• the significant estimates and judgements made by the trustees in the preparation of the financial statements;
• whether the accounting policies are appropriate to the trust’s circumstances, consistently applied and adequately disclosed.

We conducted our audit in accordance with New Zealand Auditing Standards. We planned and performed our audit so as to obtain all the information and explanations which we considered necessary in order to provide us with sufficient evidence to obtain reasonable assurance that the financial statements are free from material misstatements, whether caused by fraud or error. In forming our opinion, we also evaluated the overall adequacy of the presentation of information in the financial statements.

Our firm has also provided other services to the trust in relation to taxation advisory services. These matters have not impaired our independence as auditors of the trust. The firm has no other relationship with, or interest in, the trust.

Unqualified Opinion

We have obtained all the information and explanations we have required.

In our opinion, proper accounting records have been kept by the trust as far as appears from our examination of those records and the financial statements: