Rolf Group International Financial Reporting ... - Irish Stock Exchange

Rolf Group
Notes to the Consolidated Financial Statements � 31 December 2006
5 Segment Information (Continued)
In thousands of US dollars Distribution Retail and other Eliminations Group
2005
Sales – external 1,069,501 917,855 1,987,356
Sales to other segments 572,714 17,186 (589,900) -
Total revenue 1,642,215 935,041 (589,900) 1,987,356
Segment result 136,172 28,749 - 164,921
Unallocated expenses (27,047)
Operating profit 137,874
Net foreign exchange gain/(loss) on
cash and borrowings (1,873)
Net finance costs (19,782)
Profit before income tax 116,219
Income tax expense (41,907)
Profit for the year 74,312
Segment assets 310,401 239,464 (13,961) 535,904
Current and deferred tax assets 22,423
Other unallocated assets 19,284
Total assets 577,611
Segment liabilities 80,373 32,819 (13,961) 99,231
Current and deferred tax liability 25,967
Other unallocated liabilities 264,920
Total liabilities 390,118
Capital expenditure 2,716 69,495 72,211
Depreciation and amortisation (103) (10,263) (10,366)
Other non-cash income/(expenses) (2,497) 1,607 (890)
6 Balances and Transactions with Related Parties
For the purposes of these financial statements, parties are considered to be related if one party has the ability to
control the other party, is under common control, or can exercise significant influence over the other party in making
financial and operational decisions. In considering each possible related party relationship, attention is directed to the
substance of relationships, not merely the legal form. The Company’s ultimate controlling party is disclosed in Note 1.
i Loans to beneficiaries of the ultimate controlling party:
In thousands of US dollars 2006 2005
Loans included in financial and other assets 9 1,580 8,677
The above loans are subject to 10% annual interest, similar to the effective interest rate, and are due for repayment
within 12 months from the balance sheet date. Interest income on the loans was US$ 1,293 for the year ended 31
December 2006 (2005 – US$ 563).
ii Balances due from/(to) entities under common control:
In thousands of US dollars 2006 2005
Available for sale investments in related companies 9 1,468 1,339
Expenses recharged 11 65 -
Term loans 15 (153) (1,271)
Interest is payable on the term loan at 11% per year, and amounted to US$ 127 in 2006 (2005 - US$ 83).
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