✨ Financial Statements Continuation
4218
NEW ZEALAND GAZETTE, No. 173
30 NOVEMBER 2009
VECTOR LIMITED & SUBSIDIARIES
GAS DISTRIBUTION ACTIVITIES
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2009
6. NOTIONAL RESERVES
| 2009 | 2008 | |
|---|---|---|
| $000 | $000 | |
| Balance at beginning of the period | 116,090 | 111,238 |
| Operating surplus for the period | 11,119 | 4,852 |
| Increase due to debt-equity ratio reset | 103,789 | - |
| Balance at end of the period | 230,998 | 116,090 |
Notional reserves is determined by adjusting debt and equity balances such that the debt to equity ratio is consistent with the Vector group. The debt and equity balances have been reset in 2009 to reflect the change in the Vector group's debt to equity ratio, which changed significantly during the year due to the sale of Wellington electricity network and the subsequent restructuring of various financing arrangements.
7. INTANGIBLE ASSETS
| 2009 | COST | ACCUMULATED AMORTISATION | CARRYING AMOUNT |
|---|---|---|---|
| $000 | $000 | $000 | |
| Goodwill | 167,869 | - | 167,869 |
| Software | 17,129 | (11,625) | 5,504 |
| Total | 184,998 | (11,625) | 173,373 |
| 2008 | COST | ACCUMULATED AMORTISATION | CARRYING AMOUNT |
|---|---|---|---|
| $000 | $000 | $000 | |
| Goodwill | 167,869 | - | 167,869 |
| Software | 10,286 | (7,415) | 2,871 |
| Total | 178,155 | (7,415) | 170,740 |
8. PROPERTY, PLANT AND EQUIPMENT
| 2009 | COST | ACCUMULATED DEPRECIATION | CARRYING AMOUNT |
|---|---|---|---|
| $000 | $000 | $000 | |
| Freehold land | 261 | - | 261 |
| Distribution systems | 441,041 | (45,979) | 395,062 |
| Plant, vehicles and equipment | 12,873 | (10,516) | 2,357 |
| Capital work in progress | 4,660 | - | 4,660 |
| Total | 458,835 | (56,495) | 402,340 |
| 2008 | COST | ACCUMULATED DEPRECIATION | CARRYING AMOUNT |
|---|---|---|---|
| $000 | $000 | $000 | |
| Freehold land | 56 | - | 56 |
| Distribution systems | 416,714 | (34,588) | 382,126 |
| Plant, vehicles and equipment | 14,509 | (9,525) | 4,984 |
| Capital work in progress | 15,540 | - | 15,540 |
| Total | 446,819 | (44,113) | 402,706 |
Interest and other internal costs are capitalised to property, plant and equipment while under construction. Interest is capitalised against property, plant and equipment largely at a capitalisation rate of 8% per annum. During the year $0.5 million (30 June 2008: $0.5 million) of interest and other costs were capitalised.
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NZ Gazette 2009, No 173
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Certification of Financial Statements and Performance Measures for Gas Distribution
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🏭 Trade, Customs & Industry23 November 2009
Financial statements, Performance measures, Gas distribution, Vector Limited, Accounting policies, Impairment, Non-financial assets, Recoverable amount, Income statement, Deferred tax, Receivables, Prepayments