Financial Statements - Chemring Group PLC

More documents

Recommendations

Info

C H E M R I N GG R O U P P L CNotes to the Financial Statements- continued21. DERIVATIVES AND OTHER FINANCIAL INSTRUMENTS - continuedThe interest rate risk profile of the Group’s financial assets and liabilities is as follows:-I) FINANCIAL ASSETS20032002SterlingUS dollarAustralian dollarOther currenciesOffset in the UKFloatingrate£0008,0193,64967659212,936Fixedrate£000-----Total£0008,0193,64967659212,936(7,115)5,821Floatingrate£0004,9572,8372196798,692Fixedrate£000-----Total£0004,9572,8372196798,692(4,918)3,774Disclosed as:Cash at bank and in hand5,8213,774Financial assets held in the UK enjoy a right of interest offset against overdraft balances. Overseas financial assets have a weightedaverage interest rate of 2%.II) FINANCIAL LIABILITIES20032002SterlingUS dollarAustralian dollarOffset in the UKFloatingrate£000(26,268)(2,873)-(29,141)Fixedrate£000(9,834)(12,030)(612)(22,476)Total£000(36,102)(14,903)(612)(51,617)7,115(44,502)Floatingrate£000(28,123)(10,854)-(38,977)Fixedrate£000(11,634)(4,803)(555)(16,992)Total£000(39,757)(15,657)(555)(55,969)4,918(51,051)Disclosed as:Bank loans and overdraftsMedium term loan- UK- overseasObligations under finance leases - UK- overseasLoan stock(22,986)(13,265)(4,800)(1,693)(1,718)(40)(44,502)(22,708)(20,491)(4,360)(1,087)(2,365)(40)(51,051)A right of offset exists for currency amounts held within the UK by Bank of Scotland. These are used to offset the interest chargedon the UK overdraft which bears interest at 1.75% above LIBOR. Cash at bank and in hand consists primarily of overseas fundswhich are used as short term intra-group financing as well as an internal exchange rate hedge.The weighted average interest rate of fixed rate financial liabilities at 31 October 2003 was 6.6% (2002: 7.0%) and the weightedaverage period of funding was four years (2002: five years).P 48The Group has an amortising interest rate swap, from floating to fixed rate, that expires in 2005 at a rate of 7.42%, but otherwise hadno derivative financial instruments outstanding at 31 October 2003. The opinion of the Board is that the fair value of the Group’sfinancial liabilities after taking account of the interest rate swap is £509,000 (2002: £847,000) higher than the book value. TheBoard has no intention of realising this liability. The fair value of the financial assets is their book value.
2 0 0 3 F I N A N C I A L S T A T E M E N T S22. PROVISIONS FOR LIABILITIES AND CHARGES(A) MOVEMENT IN THE YEAR - GROUPDeferredtaxation£000Otherprovision£000Total£000At 1 November 2002Provided in the yearUtilised in the yearTransfer from current taxForeign exchange movementsAt 31 October 20039891,466-2,052(64)4,443655-(266)--3891,6441,466(266)2,052(64)4,832The other provision is held in respect of commitments to warranty claims and other reserves, and is expected to be utilisedwithin one to four years.(B)DEFERRED TAX PROVISION AT YEAR ENDDeferred tax provided in the financial statements is as follows:2003£000Group2002£0002003£000Parent2002£000Capital allowances in excess of depreciationOther timing differencesDiscount4,755287(599)4,4431,950(650)(311)98923234(257)-(1)124(123)-23. CALLED-UP SHARE CAPITALAuthorised62,500 7% cumulative preference shares of £1 each30,000,000 ordinary shares of 5p eachIssued, allotted and fully paid62,500 7% cumulative preference shares of £1 each27,435,972 (2002: 27,435,972) ordinary shares of 5p each2003£000621,5001,562621,3721,4342002£000621,5001,562621,3721,434The 7% cumulative preference shares confer no rights to vote, except on certain specified matters.P 49
Page 1 and 2: C H E M R I N G G R O U P P L CF I
Page 3 and 4: 2 0 0 3 F I N A N C I A L S T A T E
Page 51: 2 0 0 3 F I N A N C I A L S T A T E
Page 60 and 61: Photographs:Offshore Challenges Tri

Financial Statements - Chemring Group PLC

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?