Prospectus - Fonterra

56Fonterra Co-operative Group LimitedNotes to the Financial StatementsFor the 14 months ended 31 July 200817 CommitmentsAs at31 July 2008$ millionAs at31 May 2007Capital expenditure and intangible assetcommitmentsCapital expenditure and intangible assets contracted for at balance date but not recognised in the financialstatements are as follows:Plant, vehicles and equipment 1 1Intangible assets 2 2Total capital commitments 3 3As at31 July 2008$ millionAs at31 May 2007Operating lease commitmentsThe Company leases premises, plant and equipment. The future aggregate minimum lease paymentsunder non-cancellable operating leases are as follows:Less than one year 5 5One to five years 11 13Greater than five years 15 4Total operating lease commitments 31 2218 Segment reportingThe Company operates in one operating segment, defined by product type and geographic area, being thecollection and sale of milk (to a subsidiary) in New Zealand. This reflects how the Company’s operations aremanaged by the Fonterra Leadership Team, who are the chief operating decision makers.These financial statements therefore provide information about the business activities of the operating segment.