Contents
- Part 1 Executive Summary
- Part 2 Performance reporting
- Part 3 Corporate governance and accountability
- Part 4 Appendices
- Part 5 Financial Management
Annual Report 2007–2008
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Annual Report 2007–2008
Annual Report 2007–2008 » Chapter 15: Financial Statements
| 30 June 2008 $'000 | 30 June 2007 $'000 |
|
|---|---|---|
| Financial Assets | ||
| Held‑to‑maturity financial assets | ||
| Term Deposits | 260,204 | - |
| Bank issued negotiable certificates of deposit | 708,522 | 862,697 |
| Nominal bonds | 318,091 | 316,573 |
| Capital indexed bonds | 384,349 | 380,699 |
| 1,671,166 | 1,559,969 | |
| Loans and receivables | ||
| Cash | 166 | 313 |
| Interest Receivable | 1 | 71 |
| 167 | 384 | |
| Carrying amount of financial assets | 1,671,333 | 1,560,353 |
| 30 June 2008 $'000 | 30 June 2007 $'000 |
|
|---|---|---|
| Held‑to‑maturity | ||
| Interest revenue | 110,304 | 90,122 |
| Net gain held‑to‑maturity | 110,304 | 90,122 |
| Loans and receivables | ||
| Interest revenue | 676 | 3,876 |
| Net gain loans and receivables | 676 | 3,876 |
| Net gain from financial assets | 110,980 | 93,998 |
The above net gain is from financial assets not at fair value from profit and loss.
| Carrying amount 2008 $'000 |
Fair Value 2008 $'000 |
Carrying amount 2007 $'000 |
Fair value 2007 $'000 |
|
|---|---|---|---|---|
| Financial Assets | ||||
| Term Deposits | 260,204 | 260,204 | - | - |
| Bank issued negotiable certificates of deposit | 708,522 | 708,522 | 862,697 | 862,697 |
| Nominal bonds | 318,091 | 309,028 | 316,573 | 312,116 |
| Capital indexed bonds | 384,349 | 364,718 | 380,699 | 384,904 |
| Total | 1,671,166 | 1,642,472 | 1,559,969 | 1,559,717 |
The following table identifies for those assets and liabilities (those at fair value through profit and loss) carried at fair value (above) whether fair value was obtained by reference to market prices or by a valuation technique that employs observable market transactions, or one that uses non‑market inputs to determine a fair value.
| Valuation technique utilising | ||||
|---|---|---|---|---|
| Market values $'000 |
Market inputs $'000 |
Non‑market inputs $'000 |
Total $'000 |
|
| Financial assets at fair value | ||||
| Term Deposits | - | - | 260,204 | 260,204 |
| Bank issued negotiable certificates of deposit | - | - | 708,522 | 708,522 |
| Nominal bonds | 309,028 | - | - | 309,028 |
| Capital indexed bonds | 364,718 | - | - | 364,718 |
| Total financial assets at fair value | 673,746 | - | 968,726 | 1,642,472 |
Fair Values of term deposits and negotiable certificates of deposit approximate carrying values. All such investments are relatively short term with minimal risk of material difference between carrying amount and fair value.
ATSILA is exposed to credit risk through cash and receivables (recognised as loans and receivables) and investments (recognised as held to maturity). The maximum exposure to credit risk is the risk that arises from potential default of a debtor or financial institution. This amount is equal to the total amount of cash, receivables and investments. ATSILA has assessed the risk of potential default and has determined that no allowances or provisions are required to be recognised.
The following table illustrates ATSILA's gross exposure to credit risk, excluding any collateral or credit enhancement
| 2008 $'000 |
2007 $'000 |
|
|---|---|---|
| Financial assets | ||
| Term Deposits | 260,204 | - |
| Bank issued transferrable certificates of deposit | 708,522 | 862,697 |
| Nominal bonds | 318,091 | 316,573 |
| Capital indexed bonds | 384,349 | 380,699 |
| Cash | 166 | 313 |
| Receivables | 1 | 71 |
| Total | 1,671,333 | 1,560,353 |
No financial instruments are past due or impaired.
The exposure to liquidity risk is based on the notion that ATSILA will encounter difficulty in meeting its obligations associated with financial liabilities. This is highly unlikely due to ATSILA having no financial liabilities, and the significant self funding capital base available to ATSILA and those procedures put in place to ensure there are appropriate resources to meet its financial obligations.
ATSILA manages its budgeted funds to ensure it has adequate funds to meet payments as they fall due. In addition, ATSILA has policies in place to ensure timely payments are made when due and has no past experience of default.
ATSILA holds both basic financial instruments and held to maturity investments that are not exposed to market risks. ATSILA is not exposed to 'Currency risk', 'Other price risk' or 'Interest Rate Risk'.
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