Brambles 2006 Annual Report - Alle jaarverslagen

131
Brambles
2006 Annual Report
Note 30.
Financial instruments
The disclosures made in this note should be read in conjunction with the disclosures of Brambles’ objectives, policies and strategies
with regard to financial instruments set out in Note 17.
a) Fair values
Set out below is a comparison by category of the carrying amounts and fair values of financial instruments recognised in the
balance sheet:
Carrying amount
Fair value
2006
US$m
2005
US$m
2006
US$m
2005
US$m
Financial assets
Cash at bank and in hand (Note 14) 113.4 176.7 113.4 176.7
Short term deposits (Note 14) 16.0 11.4 16.0 11.4
Trade receivables (Note 15) 480.6 805.9 480.6 805.9
Interest rate swaps (Note 17) 9.4 – 9.4 –
Forward foreign currency contracts (Note 17) 1.8 – 1.8 –
Financial liabilities
Trade payables (Note 23) 266.1 444.7 266.1 444.7
Bank overdrafts (Note 24) – 0.1 – 0.1
Bank loans (Note 24) 1,359.8 1,950.7 1,359.8 1,950.7
Loan notes (Note 24) 440.5 425.0 416.2 453.0
Finance lease liabilities (Note 24) 13.2 15.7 13.2 15.7
Deferred consideration on acquisitions 6.0 4.9 6.0 4.9
Interest rate swaps (Note 17) 0.3 – 0.3 –
For forward foreign exchange contracts, the net fair value is taken to be the unrealised gain or loss at balance date calculated by reference
to the current forward rates for contracts with similar maturity dates. Fair value for other financial liabilities has been calculated by
discounting future cash flows at prevailing interest rates for the relevant yield curve.
Brambles has taken the exemption available under IFRS 1/AASB 1 to only apply IAS 32/AASB 132 and IAS39/AASB 139 from
1 July 2005. The fair values disclosed for 2005 are calculated under prior UK GAAP and AGAAP.
b) Interest rate risk exposure
The following table sets out the maturity profile of the financial instruments exposed to interest rate risk at reporting date:
Fixed interest rate
2006
Floating
interest rate
US$m
Year 1
US$m
Year 2
US$m
Year 3
US$m
Year 4
US$m
Year 5
US$m
Over 5
years
US$m
Total
US$m
Financial assets
Cash at bank 113.4 – – – – – – 113.4
Short term deposits – 16.0 – – – – – 16.0
113.4 16.0 – – – – – 129.4
Weighted average effective interest rate 2.6% 2.6% – – – – – 2.6%
Financial liabilities
Bank loans 1,359.8 – – – – – – 1,359.8
Loan notes – 15.5 – – – – 425.0 440.5
Finance lease liabilities – 4.4 3.0 1.8 1.5 2.4 0.1 13.2
Deferred consideration on acquisitions – 6.0 – – – – – 6.0
Interest rate swaps (390.7) 139.0 229.0 22.7 – – – –
969.1 164.9 232.0 24.5 1.5 2.4 425.1 1,819.5
Weighted average effective interest rate 5.3% 3.6% 5.9% 4.5% 5.1% 3.4% 5.7% 5.2%