Annual Report 2012 - Dialog

112 l Dialog Axiata PLC l Annual Report 2012
Notes to the Financial Statements
22 Borrowings contd.
(f) The carrying amounts of the Company’s and the Group’s borrowing are denominated in following currencies;
Group Company
2012 2011 1 Jan 2011 2012 2011 1 Jan 2011
Sri Lankan rupees 4,784,459 5,658,812 6,639,386 4,491,171 5,583,535 6,438,871
United States dollars 20,142,437 17,413,818 18,896,051 20,142,437 17,413,818 18,896,051
24,926,896 23,072,630 25,535,437 24,633,608 22,997,353 25,334,922
(g) The carrying amounts and fair value of non-current borrowings are as follows:
Group Company
2012 2011 1 Jan 2011 2012 2011 1 Jan 2011
Bank borrowings 7,878,320 9,507,750 12,142,406 7,878,320 9,507,750 12,142,406
Rated cumulative redeemable
preference shares Nil Nil 1,222,615 Nil Nil 1,222,615
Loan from parent company 4,216,001 7,510,206 7,306,856 4,216,001 7,510,206 7,306,856
12,094,321 17,017,956 20,671,877 12,094,321 17,017,956 20,671,877
The fair value of current borrowings equals their carrying amount, as the impact of discounting is not significant. The fair
value of non current borrowings are based on cash flows discounted using a rate based on the effective interest rates of
between 1.98% - 2.45% floating and 4.05% fixed (2011 2.45% -2.47% floating and 4.05% fixed).
23 Deferred tax liabilities
Deferred taxes are calculated on all temporary differences under the liability method using the applicable tax rates as at the
date of the statement of financial position.
(a) The movement on the deferred tax account is as follows:
Group Company
2012 2011 2012 2011
At 1 January 1,972,933 1,570,850 1,972,933 1,570,850
Charged to statement of comprehensive income 304,084 402,083 304,084 402,083
Credited to statement of comprehensive income (2,277,017) Nil (2,277,017) Nil
At 31 December Nil 1,972,933 Nil 1,972,933
(b) Deferred tax liability and the deferred income tax charge in the statement of comprehensive income are attributable
to accelerated tax depreciation and provision for defined benefit obligation, to the extent that they are likely to result
in an actual liability or an asset in the foreseeable future.