28 SEPTEMBER 2006 NEW ZEALAND GAZETTE, No. 112 3331

Foreign currency monetary assets received on distribution from the ASB Charitable Trust—
Receivables stated in NZ$ equivalents:

U.S.A. and Canada 49,454 –
U.K. and Continental Europe 31,634 –
Japan and Far East 13,398 –
Total foreign currency assets received on distribution 94,486 –

As at 31 March, the trust had the following foreign currency monetary assets (including assets received on distribution from
the ASB Charitable Trust) that were not hedged.

U.S.A. and Canada 113,632 56,339
U.K. and Continental Europe 60,263 30,880
Japan and Far East 23,043 9,583
Total foreign currency exposure at 31 March 196,938 96,802

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

Reported surplus 91,672 35,404

Movements in working capital items:
Decrease in creditors (41) (6)
Decrease/(increase) in debtors – 22
Increase in ASB Charitable Trust 324 25
283 41
Fund managers’ income reinvested (93,210) (36,350)
Net cash outflow from operating activities (1,255) (905)

13. Non Cash Flow Items

The inter-trust current account with the ASB Charitable Trust was settled by way of set off on the distribution of the charitable trust’s capital fund.

14. Capital Commitments and Contingent Liabilities

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

15. 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-three such interests were recorded during the year and a register is available for inspection at the trust.

16. Adoption of International Financial Reporting Standards

In December 2002, the New Zealand Accounting Standards Review Board announced that New Zealand equivalents to International Financial Reporting Standards (NZ IFRS) will apply to all New Zealand entities for financial reporting periods commencing on or after 1 January 2007.

The trust has commenced assessing the differences between accounting policies under NZ IFRS and current accounting policies to identify key areas of the financial statements that will be impacted by the transition to NZ IFRS. This review has not been completed at balance date.

Audit Report

To the Trustees of ASB Bank Community Trust:

We have audited the financial statements. The financial statements provide information about the past financial performance of the ASB Bank Community Trust (“the trust”) and its financial position as at 31 March 2006. This information is stated in accordance with the accounting policies.

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 2006 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.