2005/2006 - SANParks

ANNUAL FINANCIAL STATEMENTSfor the year ended 31 March 20062006South African National Parks31 March 2006R’00031 March 2005R’00016 Post-retirement health benefit obligationLiability provided for at the beginning of the year 128,997 114,743Expense refl ected in statement of fi nancial performance (Note 6.3) 15,402 21,382Contributions paid (7,183) (7,128)Liability provided for at end of year 137,216 128,997Principal assumptions of the latest actuarial valuation are:(i) An escalation of 6.25% (2005 - 6.5%) per annum in terms ofcontribution rates.(ii) A rate of 8% (2005 - 8.5%) was used for discounting.(iii) A decremental rate equal to the published SA 72-77(2005 - SA 72-77) Mortality Tables for pre-retirement members,discounted by 3 years for females, was used.(iv) For post-retirement members the PA(90)-2 (2005 - PA(90)-2) MortalityTables were used.(v) The effect of HIV AIDS has not been taken into account in thecalculation as the prevalence of HIV AIDS cannot be estimated.17 Long-term borrowingsSecured borrowings 45,946 73,286(i) Industrial Development Corporation - Land acquisition - 27,702(ii) Industrial Development Corporation - Commercial development 35,000 35,000(iii) Wesbank Limited - Lease Obligations 10,946 10,584Unsecured borrowings(iv) Registered stock loans - 3,000Total borrowings 45,946 76,286Short-term portion transferred to current borrowings (6,757) (11,403)Long-term borrowings 39,189 64,883The secured loans were used mainly to fund the erection of tourism facilitiesinside national parks.(i) The land acquisition IDC long-term loan was entered into to acquire landto the value of R29,85 million.125