Annual Report 2013 - Mainfreight

15 Non-current Assets – Intangible Assets and Goodwill (continued)
(b) Impairment Tests for Goodwill and Brand Names (continued)
(iii) Key assumptions used in value in use calculations for cash generating units (CGU's)
The calculation of value in use for all CGU’s is most sensitive to the following assumptions; EBITDA, discount rates and growth
rates used.
EBITDA is based on the average achieved in the last twelve months allowing for expected efficiency and utilisation gains.
Discount rates reflect management’s estimate of the time value of money and the risks specific to each unit.
For the purposes of impairment testing a terminal growth rate has been used for all segments based on the long-term industry
and country averages.
(iv) Sensitivity to changes in assumptions
With regard to the assessment of the value in use for all CGU’s, management believes that no reasonably possible change
in any of the above key assumptions would cause the carrying values of the units to materially exceed its recoverable amount.
16 Employee Entitlements
2013
$000
Group
2012
$000
2013
$000
Parent
2012
$000
Current
Long Service Leave 5,015 3,676 – –
Annual Leave 16,890 17,819 2,093 2,059
Bonus Accrual 14,467 13,975 3,172 2,978
36,372 35,470 5,265 5,037
Non-current
Long Service Leave 903 831 – –
17 Provisions
Onerous
Leases
2013
$000
Group
Onerous
Leases
2012
$000
Onerous
Leases
2013
$000
Parent
Onerous
Leases
2012
$000
Opening Balance 2,814 2,964 – –
Adjustment for Movement in Exchange Rate (37) (172) – –
Provided for During the Year – 666 – –
Utilised During Year (973) (644) – –
Closing Balance 1,804 2,814 – –
Onerous Lease Provisions
– Not Later than One Year 1,004 944 – –
– Later than One Year but not Later than Two Years 762 904 – –
– Later than Two Years but not Later than Five Years 38 966 – –
– After Five Years – – – –
1,804 2,814 – –
Provisions were made for the ongoing lease costs on facilities that were surplus to the Group and Parent requirements.
102 Mainfreight | Annual Report 2013