Qantas 2013 Annual Report Download - page 141

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QANTAS ANNUAL REPORT 2013
(ii) Australian air Express Pty Ltd.
On 13 November 2012, the Qantas Group acquired 100 per cent of Australian air Express Pty Ltd (AaE) from AUX Investments PtyLtd,
ajointly controlled entity of the Qantas Group. The purchase consideration, net of cash acquired was $24 million. From thisdate,
AaE has been consolidated into the Qantas Group. The fair value of the net assets (on a preliminary basis) acquired includes
property, plant andequipment of $20 million, intangible assets of $30 million, deferred tax assets of $16 million, onerous contract
provisions of $57million and other net working capital liabilities of $34 million. Goodwill arising on this acquisition was $49 million.
(iii) Jetstar Hong Kong Airways Limited
Jetstar Hong Kong Airways Limited was incorporated on 4 September 2012 as a joint venture between the Qantas Group and
ChinaEastern Airlines. On 5 June 2013 Shun Tak Holdings Limited took an equal 1/3 share in Jetstar Hong Kong resulting in the
dilution of Qantas’ shareholding from 50% to 33.3%. The Group’s Investment in Jetstar Hong Kong Airways Limited is accounted
foras an investment in associate and equity accounted.
B DISPOSALS
(i) Star Track Express Holdings Pty Limited
On 13 November 2012, the Qantas Group disposed of its 50 per cent interest in AUX Investments Pty Ltd (AUXI), a jointly controlled
entity of the Qantas Group. Following the Qantas Group’s acquisition of 100 per cent of AaE from AUXI, AUXI held 100 per cent of
Star Track Express Holdings Pty Limited. On completion of this transaction, the Qantas Group recognised a net gain on disposal
of$30million before tax.
(ii) Cairns and Riverside Catering Facilities
On 31 October 2012, the Qantas Group disposed of its Cairns and Riverside catering facilities. This transaction involved the disposal
of three companies: Q Catering Cairns Pty Limited, Q Catering Riverside Pty Limited and Airport Infrastructure Finance Pty Limited.
At30 June 2012 the disposal group representing these companies was classied as held for sale and recognised at its fair value
less costs to sell.
29. Commitments
A FINANCE LEASE AND HIRE PURCHASE COMMITMENTS
Qantas Group
2013
$M
2012
$M
AS LESSEE
Finance lease and hire purchase liabilities included in the Consolidated Financial Statements
Aircraft and engines – payable:
Not later than one year 257 88
Later than one year but not later than ve years 345 507
Later than ve years 439 290
1,041 885
Less: future lease and hire purchase nance charges and deferred lease benets (165) (162)
Total nance lease and hire purchase liabilities 876 723
Finance lease and hire purchase liabilities included in the Consolidated Financial Statements
Current liabilities (refer to Note 21) 243 73
Non-current liabilities (refer to Note 21) 633 650
Total nance lease and hire purchase liabilities 876 723
The Qantas Group leases aircraft under nance leases with expiry dates between one and 10 years. Most nance leases contain
purchase options exercisable at the end of the lease term. The Qantas Group has the right to negotiate extensions on most leases.