8 7
Tainui Group Holdings
Annual Report
2012
8 7
Tainui Group Holdings
Annual Report
2012
2.6 GST
The Company is not registered for GST. Revenue and expenses are reported gross of GST (if any).
3 Contributed equity
2012
2011
No.
$’000
No.
$’000
Ordinary shares
Balance at beginning of year
100
-
100
-
Balance at end of year
100
-
100
-
All fully paid ordinary shares carry one vote per share and carry the right to dividends. Ordinary shares do not have a
par value.
4 Retained earnings
Movement in retained earnings were as follows:
2012
2011
$’000
$’000
Balance at beginning of year
13,349
12,935
Net proft for the year
499
414
Balance at end of year
13,848
13,349
5 Other fnancial assets
2012
2011
$’000
$’000
At fair value through proft or loss
Shares in unlisted company - AFL income shares
12,935
12,935
The shares comprise of 6,851 income shares in AFL. These income shares received on 31 March 2008 have no voting
rights attached and can be traded amongst iwi.
The fair value of AFL income shares are based on cash fows calculated on an annual basis from 2008 to 2017 and a
terminal value, based on cash fows in 2017 with an assumed growth factor of 2.6% per annum (2011: 2.6%) and a post
tax discount rate of 9.5% (2011: 9.5%). A 20% (2011: 20%) liquidity and minority interest discount has been taken into
account in determining the fair value.
6 Related parties
Transactions between related entities include advances to and from other entities owned by the Shareholder. All amounts
are repayable upon demand and are interest free. There is no impairment of any related party balances.
The advance account movement of $0.9m represents cash received and payments made on behalf of the Company by
Tainui Group Holdings Limited (2011: $0.4m).
7 Contingent liabilities
The Company has no contingent liabilities at balance date (2011: nil).
8 Capital commitments
The Company has no capital commitment at balance date (2011: nil).
9 Events subsequent to the reporting period
The company declared a dividend of $0.9m on 22 June 2012.