AnnuAl REPORT 2011-2012 - Sbs

18(e) Credit risk (cont.)
The following consolidated table for the economic entity illustrates the economic entity’s exposure to credit risk. There
is no significant difference between the Corporation’s and the economic entity’s exposure to credit risk. Receivables
(for goods and services) for the Corporation’s subsidiary STV Ltd relate to Pay TV subscription fees ($2.523m in 2012).
CoNsoLIDAteD Notes
nOt pASt Due nOR
IMpAIReD
2012
$’000
2011
$’000
pASt Due OR
IMpAIReD
2012
$’000
2011
$’000
Receivables for goods and services (net) 7(b) 15,614 14,326 1,314 1,376
Ageing of financial assets that are past due but not impaired are provided in note 7(b). An impairment allowance for
doubtful debts is made for receivables assessed individually as impaired.
18(f) Market risk
Market risks of the Corporation comprise mainly of interest and foreign currency risk.
The Corporation’s foreign currency risk is limited to some major sports events where contracts are entered into in foreign
currencies. The majority of contracts, however, including overseas program purchases, are entered into in Australian dollars.
Under current Government regulations, the Corporation cannot enter into any specific foreign exchange hedge contracts.
Interest rate risks are managed by maintaining an appropriate mix between fixed and floating rates for both the
economic entity’s investments and loans from Government. The two loans from Government are fixed, the first at the
prevailing 10 year Government bond rate (6.02%) at the time of raising the loan in 2002, and the second (a loan of
$15.000m received in 2009 – see Note 10) is fixed at 4.29%. The first loan was fully repaid by 30 June 2012.
The economic entity’s consolidated exposure to interest rates on financial assets and financial liabilities are detailed
in the liquidity risk management section of this note (see note 18(g)).
Interest rate and foreign currency sensitivity analysis is provided in the following table:
seNsItIVItY ANALYsIs
As At 30 JUNe 2012 Notes
Consolidated
Interest rate risk – analogue extensions
investments (i)
RIsk
VARIABLe
CHANGe
IN
VARIABLe
%
PRoFIt
AND Loss
$’000
eFFeCt On
eQUItY
$’000
Increase Interest +1.40% 192 –
Decrease Interest – 1.40% (192) –
Interest rate risk – operational investments
Increase Interest +1.40% 346 –
Decrease
Currency risk (mainly in Swiss CHF and
Interest – 1.40% (346) –
American USD) (ii)
Increase
Decrease
(i) and (ii) – see next page.
Exposed
Currency +15% 10,476 –
Exposed
Currency – 15% (10,476) –
AnnuAl RepoRt 2011 – 2012 119