Annual Report - AWB Limited

AWB LIMITED Notes to and forming part of the financial statements for the year ended 30 September 200815. Interest-Bearing Loans and Borrowings (continued)Group wideOther Funding Platforms Currency Facility MaturityUtilisation$’000Accrued Interest and Other AUD 6,619Total 4,153,314(1) The Rural CP Warehouse Trust (CPWT) securitisation programme funds the majority of the Landmark Financial Services loan book through theissuance of commercial paper and/or liquidity backstop facilities provided by banks. The remainder of the Landmark Financial Services loan bookis funded through the Rural Warehouse Trust No 1 (RWT) which is a bank funded warehouse structure (this funding is substantially non-recourseto AWB) with facilities again provided by the same banks, together with a First Loss Note and provisions.At 30 September 2008, the current $2.3 billion CPWT Liquidity and LC Programme facilities Limits were renegotiated during the second half of2008 with varying maturity terms out by two and a half years. Subsequent to balance date, the extension of the existing one year RWT facilityarrangements for a further 11 month period is currently awaiting execution.(2) The $400 million Syndicated Loan Facility is a general corporate purpose loan facility provided by four banks to AWB Commercial Funding(AWBCF). The $280 million one year tranche of this facility encompasses an evergreen mechanism, which provides for a formal process uponwhich management have requested the banks to extend this one year tranche for a further 364 days ahead of the existing maturity datein October 2008. Since 30 September 2008, the syndicate banks have approved and executed an extension of this tranche for an additional12 months with no significant pricing change.As at 30 September 2008, AWB Commercial Funding Limited is fully compliant with all financial covenants.(3) AWBHF has not issued any commercial paper in the current financial year and has funded its activities via inventory financing arrangementswith the AWB National Pool. Inventory Financing provides access to competitive short term liquidity and will continue as the primary source ofdebt funding for AWBHF as an accredited exporter and manager for the upcoming year’s harvest. Since the balance date, AWBHF is at variousstages of documenting a number of bi-lateral inventory financing facilities with relationship banks totalling $852 million.(4) During October and November 2008 AWB Harvest Finance executed two inventory financing facilities which had total limits of $225 millionand $180 million respectively.82 www.awb.com.au