Qantas 2006 Annual Report Download - page 130

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128
Notes to the Financial Statements
for the year ended 30 June 2006
35. Non-Director Related Parties continued
ASSOCIATES AND JOINTLY CONTROLLED ENTITIES
Details of interests in associates and jointly controlled entities are provided in Note 28. Transactions with associates and jointly controlled entities are
conducted on normal terms and conditions.
Transactions between Qantas and associates and jointly controlled entities include:
• Qantas provides catering, ground handling services and performs maintenance and contract work for Air Pacifi c Limited (Air Pacifi c);
• Qantas provides ramp handling services to Australian air Express Pty Limited (Australian air Express);
• Qantas leases domestic freight capacity and sub-leases certain property to Australian air Express;
• Qantas codeshares on certain Air Pacifi c services for which it pays capacity hire costs;
• Australian air Express and the Star Track Express Group provide certain domestic freight and document delivery services for Qantas;
• Qantas receives interest from the Star Track Express Group on an investment loan;
• Qantas provides treasury services to Australian Air Express, Air Pacifi c and Orangestar Investment Holdings Pte Limited (Orangestar);
• Qantas has sub-leased aircraft from Orangestar;
• Qantas has seconded employees and provided various support services to Orangestar;
• Qantas has an engine tooling arrangement with Jet Turbine Services Pty Limited; and
• Qantas receives engine maintenance services from Jet Turbine Services Pty Limited.
Transactions and balances with associates and jointly controlled entities are included in the Financial Statements as follows:
Qantas Group Qantas
2006
$M
2005
$M
2006
$M
2005
$M
Sales and other income (refer Note 2) 183.6 92.7 44.5 88.9
Dividend revenue (refer Note 2) ––18.4 12.6
Finance income (refer Note 2) 10.3 10.3 10.3 10.3
Expenditure 123.0 102.4 116.2 93.6
Current receivables (refer Note 7) 22.3 24.8 3.9 4.9
Non-current receivables (refer Note 7) 128.2 128.2 128.2 128.2
Current payables (refer Note 15) 18.7 21.5 18.4 20.3
Current interest-bearing liabilities (refer Note 16) 4.6 13.6 4.6 13.6
OTHER RELATED PARTIES
BRITISH AIRWAYS PLC
In March 1993, British Airways Plc (British Airways) acquired 25 per cent of the shares in Qantas from the Australian Government. On 9 September 2004,
British Airways disposed of its then entire 18.25 per cent shareholding in Qantas and accordingly, British Airways is no longer a related party of Qantas.
Qantas and British Airways continued to operate the Joint Services Agreement. They also continued their membership of the oneworld alliance during the
financial year.
Transactions and balances with British Airways during the period it was a related party are included in the Financial Statements as follows:
Sales and other income (refer Note 2) –2.8 –2.8
Expenditure* –33.1 –33.1
* Includes settlement receipts/payments under the JSA.