AWB Limited - 2003 Annual Report

NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 SEPTEMBER 2003
31. EMPLOYEE BENEFITS AND SUPERANNUATION COMMITMENTS (continued)
Equity share plan
The equity share plan was established during the year. It provides
the company with the flexibility to provide selected employees with
part of any short term incentive in the form of B class shares in the
company. Selected senior employees were invited to participate in
the equity share plan and acquire a fixed proportion of their short
term incentive in B class shares in the company.
The number of shares allocated under the equity share plan was
based on the weighted average of the prices at which B class
shares in the company were traded on the ASX in the 20 trading
days prior to the issue date, and the value of the remuneration or
short term incentive to be provided.
Under the equity share plan offer made on 31 January 2003,
51,034 shares were offered to eligible senior employees.
32. FINANCIAL INSTRUMENTS
(a) Interest rate risk
The consolidated entity's exposure to interest rate risks and the effective weighted average interest rates of financial assets and financial
liabilities are as follows:
FIXED INTEREST RATE MATURING IN
Floating 1 year Over 1 More than Non–interest
Weighted average interest rate % interest rate or less to 5 years 5 years bearing Total
Notes CAD USD AUD $'000 $'000 $'000 $'000 $'000 $'000
2003
Financial assets
Cash assets 5 n/a 1.18
Receivables 6 n/a n/a
Short term deposits 11 n/a n/a
Initial margin deposits 11 1.10 0.45
Financial assets – other 11 n/a n/a
1.34 54,785 – – – – 54,785
7.07 413,236 – – – 593,246 1,006,482
4.77 36,005 – – – – 36,005
5.78 5,387 – – – – 5,387
n/a – – – – 26,427 26,427
509,413 – – – 619,673 1,129,086
Financial liabilities
Payables 14 n/a n/a n/a – – – – 336,066 336,066
Interest bearing liabilities 15 n/a 1.65 4.93 963,805 92,595 4,678 – 1,806 1,062,884
963,805 92,595 4,678 – 337,872 1,398,950
Unrecognised financial derivatives – face value
Assets
Interest rate swaps n/a n/a
Interest rate options n/a n/a
Interest rate futures n/a n/a
n/a 90,000 – – – – 90,000
4.90 – 340,000 – – – 340,000
4.98 – 30,000 – – – 30,000
90,000 370,000 – – – 460,000
Liabilities
Interest rate swaps n/a n/a
Interest rate options n/a n/a
Interest rate futures n/a n/a
5.75 – – 90,000 – – 90,000
4.09 – 295,000 – – – 295,000
4.96 – 15,000 – – – 15,000
– 310,000 90,000 – – 400,000
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