Annual Report 2010 in PDF - BBA Aviation

26. Related party transactions
Transactions between the Company and its subsidiaries, which are related parties, have been eliminated on consolidation and are not disclosed
in this note. Details of transactions between the Group and other related parties are detailed below.
Compensation of key management personnel
Key management are the directors and members of the executive committee.
The remuneration of directors and other members of key management during the year was as follows:
2010 2009
£m £m
Short-term benefits 4.9 6.0
Post-employment benefits 1.0 0.7
Share-based payments 0.7 0.7
6.6 7.4
Post-employment benefts include contributions of £0.6 million (2009: £0.3 million) in relation to defned contribution schemes.
The remuneration of directors and key executives is determined by the remuneration committee having regard to the performance of
individuals and market trends. The directors’ remuneration is disclosed in the Directors’ Remuneration Report on pages 75 to 83.
The amount disclosed in the table above does not include the portion of the annual bonus subject to compulsory deferral, which will
be expensed over the vesting period in accordance with IFRS 2 Share-based Payment. For details see the Directors’ Remuneration Report on
pages 75 to 83.
Other related party transactions
During the year, Group companies entered into the following transactions with related parties who are not members of the Group:
Amounts owed by Amounts owed to
Sales of goods Purchases of goods related parties related parties
2010 2009 2010 2009 2010 2009 2010 2009
£m £m £m £m £m £m £m £m
Associates 8.5 2.3 169.3 80.8 – 0.3 5.4 6.6
Purchases were made at market price discounted to refect the quantity of goods purchased and the relationships between the parties.
The amounts outstanding are unsecured and will be settled in cash. No guarantees have been given or received.
At the balance sheet date, Group companies had loan receivables from an associated undertaking of £1.7 million (2009: £1.4 million). The loans are
unsecured and will be settled in cash, and were made on terms which refect the relationships between the parties.
27. Events after the Reporting Period
As separately announced today, the following acquisitions have taken place.
The Legacy Support Group, part of BBA Aviation’s Aftermarket Services and Systems division has reached agreement to acquire the business and
certain assets of GE Aviation Systems Limited’s fuel gauging and fuel measurement systems business (the “Business”) for $62.5 million, subject to
a completion adjustment up to a maximum of an additional $1.15 million. The Business generated $43.2 million in revenues and $9.7 million of
EBITDA in the year to 31 December 2010.
Signature has acquired substantially all of the assets of Yellowstone Jetcenter, an FBO operating at Gallatin Field Airport in Bozeman,
Montana for a consideration of $10.5 million. The Yellowstone Jetcenter generated approximately $4.9 million in revenues in the year to
31 December 2010.
Due to the timing of the acquisitions, the results of the preliminary fair value exercise will be presented in the 2011 interim statement.
Consolidated Financial Statements — 125