Download our latest Annual Report for 2009 [PDF] - East West ...

Ambrian Capital plcAnnual Report & Accounts 2009OverviewBusiness reviewGovernanceFinancial statements 31Shareholder information16 Financial liabilities at fair value through profit or lossFinancial liabilities at fair value through profit or loss 7,709,922 19,981,091All financial liabilities at fair value through profit or loss represent commodity futures. These are used to hedge inventory of metals andpurchases and sales of metals. Hedges take into account contango and backwardation market conditions.17 Trade and other payablesTrade payables 21,455,280 17,536,143Short-term trade finance 85,590,071 23,740,404Other payables 1,567,324 29,072Other taxation and social security 344,174 213,103Accruals and deferred income 131,999,892 2,114,494240,956,741 43,633,216Trade and other payables have substantially increased from 2008 to 2009 due to an increase in the volume of activity of the physical metalsbusiness. Short-term trade finance is secured upon inventory, trade and other receivables relating to the physical metals business.Accruals and deferred income principally represent purchases of metals that have been contracted for but not paid for at the reporting date.These are not classified as trade payables as the final price of the physical metals may not have been determined and ownership has nottransferred to the Company.Short-term trade finance is secured upon:Inventory 58,551,732 9,008,759Trade and other receivables 27,038,339 14,731,64585,590,071 23,740,40418 Deferred taxationDeferred tax assets represent temporary differences on:On losses carried forward 770,903 1,159,785Unrealised gains on financial assets (58,025) (108,368)Reserve for share-based payments 541,250 –1,254,128 1,051,417Movement in the year:Balance at 1 January 1,051,417 (2,090,110)Origination and reversal of temporary differences– On unrealised gains on financial assets (338,539) 3,332,430– On reserve for share-based payments 541,250 (190,903)Balance at 31 December 1,254,128 1,051,417No deferred tax asset is recognised on trading losses carried forward in respect of the investment portfolio, as the investment portfolio wastransferred to Ambrian Principal Investments Limited on 4 January 2010. Accordingly, there is uncertainty as to whether losses will be able tobe used by the Group.19 Called up share capital2009Number2008NumberAuthorisedOrdinary shares of 10p each 250,000,000 250,000,000 25,000,000 25,000,000Called up, allotted and fully paidOrdinary shares of 10p each 111,361,208 111,361,208 11,136,121 11,136,1212009£2009£2009£2009£2009£2008£2008£2008£2008£2008£