✨ Financial Statements
5 MARCH 2008 NEW ZEALAND GAZETTE, No. 53
1481
UNISON NETWORKS - LINES BUSINESS
NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS
For the year ended 31 March 2007
6 RECEIVABLES AND PREPAYMENTS
| 2007 | 2006 | |
|---|---|---|
| $000 | $000 | |
| Trade debtors | 9,556 | 8,878 |
| Provision for doubtful debts | (45) | (48) |
| Prepayments | 38 | 25 |
| Total | 9,549 | 8,855 |
7 BORROWINGS
| Term borrowings | 2007 | 2006 |
|---|---|---|
| $000 | $000 | |
| Maturing within 1 year | 22,500 | 26,500 |
| Maturing between 1 and 2 years | 66,500 | 66,500 |
| Maturing between 2 and 3 years | 67,000 | 67,000 |
| Maturing between 3 and 4 years | - | - |
| Maturing between 4 and 5 years | - | - |
| Total term borrowings | 156,000 | 160,000 |
| Related party borrowings | ||
|---|---|---|
| Maturing between 5 and 10 years | 1,600 | 1,600 |
| Total borrowings | 157,600 | 161,600 |
| 2007 | 2006 | |
|---|---|---|
| % | % | |
| Weighted average interest rate on term borrowings | 7.50% | 7.35% |
| Effective interest rate related party | 6.00% | 6.00% |
All term borrowings are bank loans and interest rates for these borrowings are based on the bank bill rate plus a margin.
Unison utilises a multi tranche bank facility arrangement for a total of $200 million. Components of this facility will be 'routinely renewed on maturity date. For this reason all borrowings under this facility are reported as term borrowings.
The bank facility is unsecured and has the benefit of a negative pledge and cross guarantee. The facility is subject to various covenants such as limitations on long-term indebtedness, leverage and other ratios. Unison complied with all covenants for the 2006 and 2007 financial years.
The related party loan is from the Hawke's Bay Power Consumers' Trust and is unsecured. This loan is repayable on 01 June 2013.
8 RELATED PARTY TRANSACTIONS
The Hawke's Bay Power Consumers' Trust holds the shares of Unison on behalf of the consumers in their capacity as owners. Unison has issued a debt security to the Trust of $1,600,000 repayable on 1 June 2013. The debt security carries a fixed interest rate of 6% per annum. During the year Unison paid $96,000 in interest to the Hawke's Bay Power Consumers' Trust.
During the year the following entities, in which directors had an interest, provided services to Unison under normal commercial terms.
| 2007 | 2006 | |
|---|---|---|
| $000 | $000 | |
| Information Management Services Ltd/K Atkinson | 2 | 3 |
| Vectek Electronics Ltd/K Valentine | 49 | 4 |
As at balance date the only amounts outstanding were $45 (2006: $270) to Information Management Services Limited and $576 (2006: $1,302) to Vectek Electronics Ltd in accordance with normal trading terms.
An operating lease agreement to supply backup generation facilities was entered into in December 2005 under normal commercial terms between Unison and the Hawke's Bay District Health Board, of which Mrs H Walker and Mr K Atkinson are members.
Unison operates a management contract for Centralines Limited, an electricity lines company based in Waipukurau. This contract provides for executive, financial and technical managerial services for Centralines Limited. For commercial reasons the value of this contract is not disclosed.
There were no other related party transactions.
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Online Sources for this page:
VUW Te Waharoa —
NZ Gazette 2008, No 53
Gazette.govt.nz —
NZ Gazette 2008, No 53
✨ LLM interpretation of page content
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Unison Networks Limited - Lines Business Financial Position Statement
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🏭 Trade, Customs & IndustryFinancial Statements, Receivables, Prepayments, Borrowings, Related Party Transactions, Trade Debtors, Bank Loans, Interest Rates, Debt Securities, Operating Lease, Management Contract