✨ Financial Statements
5048 NEW ZEALAND GAZETTE, No. 199 30 NOVEMBER 2005
- Financial Instruments
Interest Rate Risk
There is no interest rate risk as NGC does not hold any interest bearing assets or liabilities.
Credit Risk
Financial instruments which potentially subject NGC to credit risk consist principally of cash deposits and trade debtors.
NGC places its cash deposits with a small number of banking institutions and limits the amount deposited. The credit limits based on credit quality are approved by the Board of Directors.
NGC completes credit evaluations on customers where possible and requires a bond to be paid when customers cannot demonstrate an adequate credit history.
NGC does not have any significant concentration of credit risk.
Foreign Currency Risk
NGC undertakes transactions denominated in foreign currencies from time to time resulting in exposures in foreign currencies. Other NGC Group companies manage these exposures where it is their policy to hedge foreign exchange currency risks as they arise.
Fair Values
The carrying value of cash at bank, other investments and trade creditors is equivalent to their fair value.
- Capital and Operating Lease Commitments
There are no operating lease commitments and capital expenditure committed but not recorded in these financial statements for the year ended 30 June 2005 (30 June 2004: Nil).
- Other Related Party Transactions
NGC Management Limited provides services in respect of the Gas Wholesaling Activities. Management fees were paid to NGC Management Limited of $1.1 million (30 June 2004: $0.9 million).
Gas Wholesaling Activities had sales of gas to NGC New Zealand Limited of $123.4 million (30 June 2004: $115.1 million) and sales of by products to NGC New Zealand Limited of $5.7 million (30 June 2004: $5.8 million).
Transmission purchases from NGC New Zealand Limited were $0.2 million (30 June 2004: $0.6 million) and processing services from NGC New Zealand Limited were $13.3 million (30 June 2004: $3.2 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 30 June 2005 (30 June 2004: Nil).
- Contingencies
There are no contingencies which would have a material adverse effect on these financial statements.
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Online Sources for this page:
VUW Te Waharoa —
NZ Gazette 2005, No 199
Gazette.govt.nz —
NZ Gazette 2005, No 199
✨ LLM interpretation of page content
💰 Financial Instruments and Risk Management
💰 Finance & RevenueFinancial Instruments, Interest Rate Risk, Credit Risk, Foreign Currency Risk, Fair Values
💰 Capital and Operating Lease Commitments
💰 Finance & RevenueCapital Lease Commitments, Operating Lease Commitments
💰 Other Related Party Transactions
💰 Finance & RevenueRelated Party Transactions, Management Fees, Sales of Gas, Sales of By-products, Transmission Purchases, Processing Services
💰 Contingencies
💰 Finance & RevenueContingencies, Financial Statements