BT 2009 Annual Report Download - page 118

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ADDITIONAL INFORMATION FINANCIAL STATEMENTS REPORT OF THE DIRECTORS BUSINESS AND FINANCIAL REVIEWS OVERVIEW
FINANCIAL STATEMENTS CONSOLIDATED FINANCIAL STATEMENTS – NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
116 BT GROUP PLC ANNUAL REPORT & FORM 20-F
25. Retained (loss) earnings
2009 2008 2007
£m £m £m
At 1 April 5,439 3,685 750
(Loss) profit for the year (83) 1,737 2,850
Dividends (1,222) (1,241) (1,053)
Share based payments 33 55 71
Actuarial (loss) gain (7,037) 2,621 1,409
Cancellation of treasury shares (797) (570) –
Tax on items taken directly to equity 2,011 (848) (342)
At 31 March (1,656) 5,439 3,685
26. Related party transactions
Amounts paid to the group’s retirement benefit plans are set out in note 29. There were a number of transactions during the year between
the company and its subsidiary undertakings, which are eliminated on consolidation and therefore not disclosed.
Key management personnel are deemed to be the members of the Operating Committee. Of the seven (2008 and 2007: five) members
of the Operating Committee, four (2008: four, 2007: five) were members of the Board. It is the Operating Committee which has
responsibility for planning, directing and controlling the activities of the group. Key management personnel compensation is shown in the
table below:
2009 2008 2007
£m £m £m
Salaries and short-term benefits 6.8 7.0 6.5
Termination benefits 2.4––
Post employment benefits 2.3 1.0 1.4
Share based payments 3.6 5.0 3.2
15.1 13.0 11.1
More detailed information concerning directors’ remuneration, shareholdings, pension entitlements, share options and other long-term
incentive plans is shown in the audited part of the Report on directors’ remuneration (pages 64 to 69), which forms part of the financial
statements.
During 2009, the group purchased services in the normal course of business and on an arm’s length basis from its principal associate,
Tech Mahindra Limited. The net value of services purchased was £296m (2008: £305m, 2007: £178m) and the amount outstanding and
payable for services at 31 March 2009 was £89m (2008: £125m, 2007: £97m). In 2008, a cash payment of £55m was received from Tech
Mahindra Limited, representing income of £28m and a prepayment of £27m.
FINANCIAL STATEMENTS