Annual Report - Northern Health

Note 19: Financial InstrumentsNotes To and Forming Part of the Financial StatementsNorthern Health Annual Report 2011/2012(a) Financial Risk Management Objectives and PoliciesNorthern Health's principal financial instruments comprise of:- Cash Assets- Receivables (excluding statutory receivables)- Payables (excluding statutory payables)- Interest bearing liabilitiesDetails of the significant accounting policies and methods adopted, including the criteria for recognition, the basis of measurement and the basis on which income and expenses are recognised, withrespect to each class of financial asset, financial liability and equity instrument are disclosed in note 1 to the financial statements.The main purpose in holding financial instruments is to prudentially manage Northern Health's financial risks within the government policy parameters.Categorisation of financial instrumentsNote Carrying Amount Carrying Amount2012 2011$'000 $'000Financial AssetsCash and cash equivalents 6 10,760 5,430Receivables 7 5,949 5,478Other financial assets 8 1,500 1,500Total Financial Assets (i) 18,209 12,408Financial LiabilitiesPayables 13 25,086 15,731Interest Bearing Liabilities 14 375 615Other Liabilities 16 6 3Total Financial Liabilities (ii) 25,467 16,349(i) The total amount of financial assets disclosed here excludes statutory receivables (i.e. GST input tax credit recoverable)(ii) The total amount of financial liabilities disclosed here excludes statutory payables (i.e. Taxes payables)Net holding gain/(loss) on financial instruments by categoryFinancial AssetsNet holding gain / (loss)Net holding gain /(loss)2012 2011$'000 $'000Cash and cash equivalents (i) 744 758Receivables (i) (249) 76Total Financial Assets 495 834Financial LiabilitiesInterest Bearing Liabilities (ii) 24 28Total Financial Liabilities 24 28(i) For cash and cash equivalents, loans or receivables and available-for-sale financial assets, the net gain or loss is calculated by taking the interest revenue, plus or minus foreign exchange gains orlosses arising from revaluation of the financial assets, and minus any impairment recognised in the net result;(ii) For interest bearing liabilities, the net gain or loss is calculated by taking the interest expense, plus or minus foreign exchange gains or losses arising from the revaluation of financial liabilitiesmeasured at amortised cost.Northern Health Financial Report Appendix to the 2011 - 2012 Annual Report Page 44 of 60