Full-year - Chime Communications PLC

Notes to the consolidated financial statements23. Trade and other receivables2008 2007£’000 £’000Amounts receivable from provision of services 38,813 35,691Other debtors 2,185 1,390Prepayments and accrued income 6,707 5,56047,705 42,641The ageing of the current trade receivables is as follows:2008 2007£’000 £’000Not overdue 13,781 17,905Less than 30 days 15,769 11,569Between 30 and 60 days 3,396 3,070Between 60 and 90 days 2,914 1,384Between 90 and 180 days 2,320 1,238Between 180 days and 360 days 1,270 972More than 360 days 188 39639,638 36,534Provision for irrecoverable trade receivables (825) (843)38,813 35,691The average credit period taken on provision of services is 50 days (2007 – 55 days). The Group’s trade receivables are stated after allowancesfor bad and doubtful debts. This allowance has been determined by considering specific doubtful balances and by reference to past defaultexperience, an analysis of which is as follows.2008 2007£’000 £’000At 1 January 843 583Amounts charged to admin expenses 833 692Acquisitions – 38Trade receivables written off (869) (487)Amounts recovered during the year 18 17At 31 December 825 843The directors consider that the carrying amount of trade and other receivables approximates their fair value. Trade and other receivables arepredominantly non-interest-bearing. Concentrations of credit risk with respect to trade receivables are limited due to the Group’s customer basebeing large, unrelated and largely billed in advance. Due to this, the directors believe there is no further credit risk provision required in excess ofthe allowance for bad and doubtful debts.24. Cash and cash equivalentsCash and equivalents include £416,055 of cash held as security for cash-backed loan notes. These are held at Royal Bank of Scotland and areredeemable on demand by the loan note holders. See note 25 for further details.Annual Report & Accounts 2008 73