Cosalt plc Annual report & financial statements 2008

Financial statements Notes to the financial statements
24. Summary of movements in equity
Share Share Merger Other Translation Hedging Retained
capital premium reserve reserves Reserve reserve earnings Total*
£000 £000 £000 £000 £000 £000 £000 £000
Balance brought forward
at 29 Oct 06 3,322 4,573 – 1,148 – (292) 11,370 20,121
Profit for the year – – – – – – 1,568 1,568
Shares issued in year 2,835 27,412 6,703 – – – – 36,950
Share option charge – – – – – – 55 55
Currency translation differences
(net of tax) – – – – 256 – – 256
Change in value of hedged items – – – – 196 – 196
Movement in pension deficit
and taxation thereon – – – – – – 2,338 2,338
Dividends – – – – – – (2,674) (2,674)
Balance as at 28 Oct 07 6,157 31,985 6,703 1,148 256 (96) 12,657 58,810
Loss for the year – – – – – – (24,842) (24,842)
Shares issued in year 430 2,573 883 – – – – 3,886
Share option credit – – – – – – (28) (28)
Currency translation differences
(net of tax) – – – – 601 – – 601
Change in value of hedged items – – – – – 337 – 337
Movement in pension deficit and
taxation thereon – – – – – – 1,253 1,253
Dividends – – – – – – (2,462) (2,462)
Balance as at 26 Oct 08 6,587 34,558 7,586 1,148 857 241 (13,422) 37,555
* Restated for creation of merger reserve.
Other reserves consist of a Capital Redemption Reserve £814,000, a Capital Reserve £197,000 and a pre-acquisition profit and
loss reserve £438,000.
The Directors have reconsidered the appropriateness of the recognition of an increase in share premium on shares issued as part
of the consideration for the acquisition of GTC Group on 12 October 2007. Consequently, the premium of £6.7 million which arose
on these shares has been credited to a merger reserve by restating opening balances.
Translation reserve
The translation reserve comprises all foreign exchange differences arising from the translation of the financial statement of foreign
subsidiaries together with those from the translation of liabilities that hedge the Groups net investment in foreign subsidiaries.
Hedging reserve
The hedging reserve comprises the effective portion of the cumulative net charge in the fair value of cash flow hedging instruments
related to hedged transactions that have not yet occurred.
25. Contingent liabilities
Cosalt plc has guaranteed leasing and other arrangements of subsidiary undertakings in the ordinary course of business.
Cosalt plc Annual report & financial statements 2008
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