National Grid 2008 Annual Report Download - page 704

BOWNE INTEGRATED TYPESETTING SYSTEM
CRC: 60166
Name: NATIONAL GRID
Date: 17-JUN-2008 03:10:51.35Operator: BNY99999TPhone: [phone]Site: BOWNE OF NEW YORK
Y59930.SUB, DocName: EX-15.1, Doc: 16, Page: 177
Description: EXHIBIT 15.1
0/4373.00.00.00Y59930BNY
[E/O] EDGAR 2 *Y59930/373/4*
BOWNE INTEGRATED TYPESETTING SYSTEM
CRC: 60166
Name: NATIONAL GRID
Date: 17-JUN-2008 03:10:51.35Operator: BNY99999TPhone: [phone]Site: BOWNE OF NEW YORK
Y59930.SUB, DocName: EX-15.1, Doc: 16, Page: 177 Description: EXHIBIT 15.1
0/4373.00.00.00Y59930BNY
[E/O] EDGAR 2 *Y59930/373/4*
Table of Contents
Annual Report and Accounts 2007/08
185
8. Reserves
10. Commitments and contingencies
The Company has guaranteed the repayment of the principal sum, any associated premium and interest on specific loans due
from certain subsidiary undertakings to third parties. At 31 March 2008, the sterling equivalent amounted to £1,088m (2007:
£650m). The guarantees are for varying terms from 3 years to open-ended.
The Company has also guaranteed the lease obligations of a former associate to a subsidiary undertaking, amounting to £13m
(2007: £23m).
11. Directors and employees
There are no employees of the Company (2007: nil). The Directors of the Company were paid by subsidiary undertakings in
2008 and 2007. Details of Directors’ emoluments are contained in the Directors’ Remuneration Report.
Share Cash flow Other Profit
premium hedge equity and loss
account reserve reserves account
£m £m £m £m
At 1 April 2006 1,316 7 74 5,237
Net loss transferred from e
q
uit
y
in res
p
ect of cash flow hed
g
es
(
net of tax
)
–
15
–
–
Issue of ordinar
y
share ca
p
ital 16
–
–
–
Re
p
urchase of shares
–
–
2
(
169
)
Share-based payment – – 15 –
Retained loss for the
y
ear
–
–
–
(
486
)
At 31 March 2007 1,332 22 91 4,582
Net gain transferred from equity in respect of cash flow hedges (net of tax) – (8) – –
Issue of ordinar
y
share ca
p
ital 12
–
–
–
B shares converted to ordinar
y
shares 27
–
–
–
Re
p
urchase of share ca
p
ital and
p
urchase of treasur
y
shares
(
i
)
–
–
15
(
1,520
)
Issue of treasury shares – – – 12
Share-based
p
a
y
ment
–
–
18
–
Retained
p
rofit for the
y
ear
–
–
–
1,590
At 31 March 2008 1,371 14 124 4,664
(i) From 30 May 2007 to 31 March 2008, the Company repurchased under its share repurchase programme 200.1m ordinary shares for aggregate consideration of £1,516m including
transaction costs. Further purchases of shares outside the official share repurchase programme were for an aggregate consideration of £4m.
The Company has not presented its own profit and loss account as permitted by section 230 of the Companies Act 1985. The
Company’s profit after taxation was £2,370m (2007: £244m). Of the Company’s profit and loss account reserve of £4,664m at
31 March 2008 (2007: £4,582m), £1,623m (2007: £2,131m) relating to gains on intra-group transactions was not distributable
to shareholders.
9. Reconciliation of movements in shareholders’ funds
2008 2007
£m £m
Profit for the
y
ear after taxation 2,370 244
Dividends
(
i
)
(
780
)
(
730
)
Profit/
(
loss
)
for the financial
y
ear 1,590
(
486
)
Proceeds of issue of ordinar
y
shares 13 16
Proceeds of issue of treasur
y
shares 12
–
B shares converted to ordinary shares 27 –
Movement on cash flow hed
g
e reserve
(
net of tax
)
(
8
)
15
Share-based
p
a
y
ment 18 15
Re
p
urchase of ordinar
y
shares
(
1,520
)
(
169
)
Net increase/
(
decrease
)
in shareholders’ funds 132
(
609
)
O
p
enin
g
shareholders’ funds 6,335 6,944
Closin
g
shareholders’ funds 6,467 6,335
(i) For further details on dividends, refer to note 9 in the consolidated financial statements.