annual report - Harvey Norman Company Reports & Announcements

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
39. Deed of Cross Guarantee (continued)
Consolidated Income Statement
Profit from continuing operations before income tax expense
Income tax expense
136
2012 2011
$000 $000
166,289
(33,958)
350,267
(80,356)
Profit after tax from continuing operations 132,331 269,911
Profit for the year 132,331 269,911
Retained earnings at the beginning of the year 1,859,640 1,727,830
Dividends provided for or paid
Retained earnings at the end of the year
40. Parent Entity Financial Information
(a) Summary Financial Information
(116,855)
1,875,116
(138,101)
1,859,640
P A R E N T E N T I T Y
2012 2011
$000 $000
Statement of Financial Position
Current assets 36 -
Non-current assets 1,866,914 1,779,868
Total assets
1,866,950
1,779,868
Current liabilities 8,504 4,367
Non-current liabilities 45,926 42,482
Total liabilities
54,430
46,849
Contributed equity 259,610 259,610
Retained profits 1,552,910 1,473,409
Total Equity
Profit for the Year
Total Comprehensive Income
(b) Contingent Liabilities
1,812,520
196,356
196,356
As at 30 June 2012, the parent entity had guaranteed the performance of a number of controlled entities which have
entered into operating leases and facilities with other parties totalling $274.93 million (2011: $352.07 million).
41. Significant Events After Balance Date
In early July 2012, the Company announced the restructure of the Irish and Northern Irish businesses with the aim of
reducing future losses and increasing growth. The main features of the restructure include:
The launch of a large new furniture and bedding store in West Dublin;
The launch of Harvey Norman Online, a new e-commerce initiative in Ireland and Northern Ireland;
The closure of the store located at Mullingar, Ireland which has underperformed;
The reformatting of the Dundalk Outlet store in Ireland to focus on the furniture and bedding categories;
The reformatting of the two stores in Northern Ireland located at Newtownabbey and Holywood to focus on the
furniture and bedding categories.
1,733,019
295,194
295,194
The consolidated entity is in the process of assessing and quantifying the impact of the proposed restructure and, based on
early estimates, does not believe that the costs would have a material impact to the results of the group.