Wales & West Utilities Limited - Directors' report ... - Our Home Page

More documents

Recommendations

Info

Report of the directors (continued)Financial review (continued)Cash flow forecastingBoth short term and long term cashflow forecasts are produced frequently to assist in identifying the liquidityrequirements of the Group.DebtDetails of net borrowings are disclosed in note 10 and 11 and gross borrowings in note 12. Details of the Group’sapproach to financial risk management are set out in the Report of the directors on page 6.Shareholder deficitShareholder deficit at 31 March 2011 amounted to a deficit of £598.9m (2010: £516.2m) as a result of a retainedloss of £114.6m (2010: loss £89.7m) and reserves movement on the Pensions provision gain of £31.9m (2010:loss £30.3m).The directors consider that the Group has performed satisfactorily during the year.Details of the ownership of the Company are included in note 26. There were no movements in the authorisedand issued share capital of the Company in the year.Dividend on ordinary sharesThe directors do not recommend the payment of a dividend in respect of the year (2010: £nil).Future developmentsThe Group does not envisage any changes in the activity of the Group for the foreseeable future. Other thanthose matters referred to above, there were no significant developments within the Group that occurred during thefinancial year under review.Fixed assetsFreehold land and buildings are carried in the financial statements at a combination of historic cost and fair valueof £6.3m (2010: £3.9m).In the opinion of the directors there was no significant difference between the book values of property and marketvalues at 31 March 2011.Investment in the network is essential for ensuring the security of the gas supply and the safety of the public.Gross capital expenditure in the Company’s network was £70.3m (2010: £83.1m) offset by capital contributions of£10.2m (2010: £12.2m) and net replacement expenditure was £79.6m (2010: £76.6m) in the year to 31 March2011.DirectorsThe names of the current directors of the Company are shown on page 1.Changes in directors during the period up to the date of signature of the statutory financial statements are shownbelow, all other directors served throughout the period:Martin Baggs Resigned as full director 16 April 2010Sara Leong Appointed full director 16 April 2010 Resigned as full director 11 February 2011Philip Garling Resigned as full director 3 May 2011Robert Verrion Appointed 9 May 2011Simon Ellis Appointed alternate director 2 June 2011Directors’ service contracts and remunerationDetails of directors’ remuneration are set out in note 3(a).Wales & West Utilities Limited8Registered number: 05046791
Report of the directors (continued)Directors’ interestsThere were no significant contracts subsisting during or at the end of the year with the Group in which anydirector is or was materially interested (other than service contracts).None of the directors has or has had a beneficial interest in the shares of the Company.Policy on the payment of creditorsIt is the Group’s policy to comply with terms of payment agreed with suppliers. Where payment terms are notnegotiated the Group endeavours to adhere with the suppliers standard terms.Contractual relationshipsThe Group has contractual relationships with many parties including directors, employees, suppliers and bankinggroups. However, none are considered essential in terms of their effect on the business of the Group except therelationship with xoserve Limited, the company which provides gas throughput and billing information to theGroup which is used by the Group in setting its regulated gas distribution charges to gas transporters.Employment policiesThe Group recognises that its employees are key to both the present and future success of the Group andsupports the fundamental belief that to maximise the potential of every individual there must be:-• investment in training and development,• a supportive working environment, and• employee participation and involvement in business matters.To this end the Group continually evolves a framework of comprehensive policies and all employees have theopportunity to discuss their individual performance and development in a focused and proactive way.The Group seeks to maximise staff potential by encouraging employees to consider internal opportunities as partof their personal development. This can only be achieved with knowledge of the Group’s business aims andobjectives, and keeping employees up to date with the Group’s news and views continues to be a high priority. Acomprehensive communications programme has been developed and is led by the Executive Team. The inhousenewsletter continues to provide employees with a wide range of business related information.The Group continues to formally consult employees at all levels in the spirit of partnership and co-operation andthe use of employee opinion and attitude surveys provide the Group with valuable information upon which to basefuture policy decisions.The Group offers equality of opportunity and support for disabled employees and maintains good links withexternal organisations to encourage involvement in the workplace of disabled members of the wider community.The Group’s policy for the employment of disabled persons gives full and fair consideration to all applications foremployment made by such persons, having regard to their aptitudes and abilities and to the Group’s operationalrequirements. Once employed, a career plan is developed so as to ensure suitable opportunities for eachdisabled person. Arrangements are made, where possible, for retaining employees who become disabled, toenable them to perform work identified as appropriate to their aptitudes and abilities in line with the Group’soperational requirements.Wales & West Utilities Limited9Registered number: 05046791
Page 1: Registered No. 05046791Wales & West
Page 4 and 5: Report of the directorsThe director
Page 7 and 8: Report of the directors (continued)
Page 9: Report of the directors (continued)
Page 13 and 14: Report of the directors (continued)
Page 15 and 16: Independent auditors’ report to t
Page 17 and 18: Consolidated statement of total rec
Page 19 and 20: Consolidated cashflow statement for
Page 21 and 22: Principal accounting policies (cont
Page 23 and 24: Principal accounting policies (cont
Page 25 and 26: Notes to the financial statements2.
Page 33 and 34: Notes to the financial statements12

Wales & West Utilities Limited - Directors' report ... - Our Home Page

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?