RFG Annual Report 2007 - Retail Food Group

06/07
Annual Report
54
27. Leases
Retail Food Group Annual Report
Finance leases
Leasing arrangements
Finance lease liabilities
Minimum future lease payments
Present value of minimum
future lease payments
Consolidated Company Consolidated Company
2007
$’000
2006
$’000
2007
$’000
2006
$’000
2007
$’000
2006
$’000
2007
$’000
No later than 1 year 398 – – – 337 – – –
Later than 1 year and not later than 5 years 1,517 – – – 1,284 – – –
2006
$’000
Later than fi ve years – – – – – – –
Minimum future lease payments* 1,915 – – – 1,621 – – –
Less future fi nance charges (294) – – – – – – –
Present value of minimum lease payments
1,621 – – – 1,621 – – –
Included in the fi nancial statements as: (note 17)
Current borrowings 337
Non-current borrowings 1,284
1,621
* Minimum future lease payments includes the aggregate of all lease payments and any guaranteed residual.
Operating leases
Leasing arrangements
Operating leases relate to offi ce equipment and Company stores located around Australia. Most of the leases expire within fi ve years, but some have the option to extend.
The operating lease contracts contain a market review clause in the event the Company exercises its option to renew the lease contract. The Company does not have an
option to purchase the leased assets at the expiry of the lease periods.
Non-cancellable operating lease commitments
Consolidated
Company
2007
$’000
2006
$’000
2007
$’000
2006
$’000
Not longer than 1 year 100 205 – –
Longer than 1 year and not longer than 5 years 520 908 – –
Longer than 5 years – 87 – –
620 1,200 – –