Lenovo 2009 Annual Report Download - page 143

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2008/09 Annual Report Lenovo Group Limited
141
34 Commitments
(a) Capital commitments
Group
2009 2008
US$’000 US$’000
Contracted but not provided for:
– Property, plant and equipment 22,728 15,854
– Intangible assets 10,608 13,584
– Investment 8,719 5,216
– IT consulting services 1,126 –
43,181 34,654
Authorized but not contracted for:
– Property, plant and equipment 34,184 74,184
– Intangible assets 42,660 44,976
– Investment 31,639 25,247
108,483 144,407
At March 31, 2009, the Company did not have any capital commitments (2008: Nil).
(b) Commitments under operating leases
The Group had future aggregate minimum lease payments in respect of land and buildings under non-cancelable
operating leases as follows:
2009 2008
US$’000 US$’000
Not later than one year 38,946 35,225
Later than one year but not later than five years 93,714 82,539
Later than five years 61,901 60,399
194,561 178,163
At March 31, 2009, the Company did not have any operating lease commitments (2008: Nil).
35 Contingent liabilities
(a) The Group, in the ordinary course of its business, is involved in various other claims, suits, investigations, and legal
proceedings that arise from time to time. Although the Group does not expect that the outcome in any of these other
legal proceedings, individually or collectively, will have a material adverse effect on its financial position or results of
operations, litigation is inherently unpredictable. Therefore, the Group could incur judgments or enter into settlements of
claims that could adversely affect its operating results or cash flows in a particular period.
(b) The Company has executed guarantees with respect to bank facilities made available to its subsidiaries. At March 31,
2009, such facilities granted and utilized amounted to approximately US$533,837,000 and US$59,952,000 (2008:
US$1,166,542,000 and US$326,402,000) respectively.
(c) The Company has issued letters of guarantee to certain suppliers and vendors of its subsidiaries. At March 31,
2009, the guarantees granted and utilized amounted to approximately US$100,000,000 and US$176,929,000 (2008:
US$512,500,000 and US$123,281,000) respectively.