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77
Cathay Pacific Airways Limited Annual Report 2005
25. Related party transactions (continued)
(c) Amounts due from and due to associates and other related companies at 31st December 2005 are disclosed in
notes 16 and 18 to the accounts. These balances arising in the normal course of business are non-interest
bearing and have no fixed repayment terms.
(d) Guarantees given by the Company in respect of bank loan facilities held by an associate at 31st December 2005
are disclosed in note 26 to the accounts.
(e) There were no material transactions with Directors and Executive Officers except for those relating to
shareholdings (Directors’ Report and Corporate Governance). Remuneration of Directors and Executive Officers
is disclosed in note 23 to the accounts.
26. Commitments and contingencies
(a) Outstanding commitments for capital expenditure authorised at the year end but not provided for in
the accounts:
Group Company
2005 2004 2005 2004
HK$M HK$M HK$M HK$M
Authorised and contracted for 16,724 7,218 1,958 1,193
Authorised but not contracted for 1,034 9 1,032 –
17,758 7,227 2,990 1,193
Operating lease commitments are shown in note 8 to the accounts.
(b) Guarantees in respect of lease obligations, bank loans and other liabilities outstanding at the year end:
Group Company
2005 2004 2005 2004
HK$M HK$M HK$M HK$M
Subsidiaries – – 2,311 1,523
Associate 18 20 18 20
Staff 200 415 200 400
218 435 2,529 1,943
(c) The Company has under certain circumstances undertaken to maintain specified rates of return within the
Group’s leasing arrangements. The Directors do not consider that an estimate of the potential financial effect of
these contingencies can practically be made.
(d) The Company files tax returns in many jurisdictions and in certain of these the returns have remained in dispute
for a number of years. Provisions have been made to cover the expected outcome of the disputes to the extent
that outcomes are likely and reliable estimates can be made. However, the final outcomes are subject to
uncertainties and resulting liabilities may exceed provisions.
Notes to the Accounts Related Party Transactions/Supplementary Information