Annual Report 30 June 2007 - One Horizon Group

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NOTES TO THE FINANCIAL STATEMENTS (continued)
19. Creditors: Amounts falling due after more than one year
Group Company
30 June 2007 30 June 2006 30 June 2007 30 June 2006
$000’s $000’s $000’s $000’s
Hire purchase agreements (note 20) 187 – – –
Deferred liability 750 – – –
Convertible unsecured loan stock 7,237 5,141 7,237 5,141
Hire purchase and finance leases obligations are secured over the asset acquired.
8,174 5,141 7,237 5,141
The amounts falling due after more than one year include the following convertible unsecured loan stock (“CULS”):–
A. Redeemable/Convertible June 2009 with interest rate of 8% – £3,000,000 issued on 15 July 2005
B. Redeemable/Convertible June 2010 – £450,000 issued on 7 July 2006
C. Redeemable/Convertible June 2009 – $600,000 issued on 7 July 2006
The CULS can be converted, at the option of the holder, into ordinary shares at 39p per share at any time during the
conversion period, which is the period from admission to three business days prior to the final maturity date of (A&C)
30 June 2009 and (B) 30 June 2010.
The Company incurred costs of $505,000 in relation to the issue of the CULS and is amortising these costs over the
conversion period of the CULS. The unamortised balance of $268,000 has been deducted from the CULS balance of
$7,505,000 resulting in a net balance at 30 June 2007 of $7,237,000.
The Group has an earn out liability of $750,000 payable in the event that WCC achieves a profit before tax of $1 million
in the year ended 30 June 2008. A provision for this amount has been provided.
20. Commitments under hire purchase agreements
Future commitments under hire purchase agreements are as follows:
Group Company
30 June 2007 30 June 2006 30 June 2007 30 June 2006
$000’s $000’s $000’s $000’s
Amounts payable within 1 year 118 18 – –
Amounts payable between
1 and 2 years 114 – – –
2 and 5 years 73 – – –
305 18 – –