Travelex Holdings Limited Annual report & consolidated financial ...

Notes to the financial statements continued
for the year ended 31 December 2001
47
Travelex Holdings Limited
Land & Land &
Buildings Other Buildings Other
Annual commitments under non-cancellable 2001 2001 2000 2000
operating leases are as follows: £’000 £’000 £’000 £’000
Operating leases which expire:
Within one year 53,264 362 1,647 –
Between two and five years 39,055 534 5,423 –
After five years 11,143 – 9,642 –
21 Equity minority interests
103,462 896 16,712 –
2001 2000
£’000 £’000
Opening balance 280 –
Minority interest in current year profit 916 280
Dividend paid during the year (618) –
22 Financial instruments
578 280
Objectives, policies and strategies in holding and managing financial instruments
Foreign currency exposures in respect of overseas subsidiaries are minor due to related foreign currency borrowings. Other
currency exposure is managed through currency hedging, where appropriate.
Where the Group undertakes a transfer of funds denominated in foreign currency, on behalf of customers, this exposure
is hedged to the extent that it cannot be covered out of existing currency exposures.
Gains and losses on foreign exchange contracts are recognised on the contract date of the matched contracts.
At the year-end there are no unrecognised gains or losses on foreign exchange contracts. The amounts at which the foreign
exchange contracts are disclosed in debtors and creditors reflect their fair value.
The long-term foreign exchange exposure of the Group’s bureaux de change business is managed through foreign currency
borrowings and other hedging instruments.
All foreign exchange hedging activities are strictly controlled and regularly monitored as part of the Group’s treasury function.
Short-term debtors and creditors have been included in all the following disclosures.