Qantas 2007 Annual Report Download - page 122

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120 Qantas |Annual Report 2007
(B) Interests in jointly controlled entities
Details of interests in jointly controlled entities are as follows:
Qantas Group Qantas Group
Ownership Interest Amount of Investment
Name
Principal
Activity
Country of
Incorporation
Balance
Date
2007
%
2006
%
2007
$M
2006
$M
Australian air Express Pty Limited Air cargo Australia 30 Jun 50.0 50.0 22.1 20.7
Harvey Holidays Pty Ltd Tours and travel Australia 30 Jun 50.0 50.0 2.7 2.1
Jet Turbine Services Pty Limited1Maintenance
services
Australia 30 Jun –50.0 –19.5
Kilda Express Pte Limited Freight services Singapore 31 Dec 50.0 –2.2 –
Orangestar Investment Holdings Pte Limited Air transport Singapore 31 Mar 45.0 45.0 –3.5
Star Track Express Holdings Pty Limited Express road freight Australia 30 Jun 50.0 50.0 267.5 260.1
Total jointly controlled entities 294.5 305.9
The remaining 50.0 per cent of Jet Turbine Services Pty Limited was purchased on 15 December 2006.
Qantas Group
Results of jointly controlled entities 2007
$M
2006
$M
Revenues 676.6 559.8
Expenses (631.0) (519.2)
Profit before related income tax expense 45.6 40.6
Income tax expense (13.8) (14.1)
Share of net profit of jointly controlled entities 31.8 26.5
During the year, the investment in Orangestar Investment Holdings Pte Limited ceased to be equity accounted at a carrying value of nil. Unrecognised
losses to 30 June 2007 were $1.0 million.
Movements in carrying amount of investments in jointly controlled entities
Carrying amount of investments in jointly controlled entities at 1 July 305.9 286.6
Investments in jointly controlled entities acquired 2.2 37.0
Share of net profit of jointly controlled entities 31.8 26.5
Dividends from jointly controlled entities (22.4) (21.8)
Investment in jointly controlled entities impaired in Other expenses (4.4) (22.4)
Entity acquired (17.6) –
Reclassification to investments in associates (1.0) –
Carrying amount of investments in jointly controlled entities at 30 June 294.5 305.9
Summary financial position of jointly controlled entities
The Qantas Group’s share of aggregate assets and liabilities of jointly controlled entities is as follows:
Current assets 88.4 104.7
Non-current assets 413.1 418.8
Total assets 501.5 523.5
Current liabilities 71.9 79.6
Non-current liabilities 137.4 138.5
Total liabilities 209.3 218.1
Net assets 292.2 305.4
Adjustment arising from equity accounting:
Goodwill –2.3 0.5
Net assets – equity accounting adjusted 294.5 305.9
1
27. Investments Accounted for Using the Equity Method continued
Notes to the Financial Statements
for the year ended 30 June 2007