Telstra 2008 Annual Report Download - page 242

Telstra Corporation Limited and controlled entities
239
Notes to the Financial Statements (continued)
Transactions involving our jointly controlled and associated
entities
Our transactions with our jointly controlled and associated entities
recorded in the income statement and statement of financial position
are as follows:
(a) We sold and purchased goods and services, and received interest
from our jointly controlled and associated entities. These
transactions were in the ordinary course of business and on normal
commercial terms and conditions.
Details of our individual significant transactions involving our jointly
controlled and associated entities during fiscal 2008 are detailed as
follows:
• we purchased pay television services amounting to $367 million
(2007: $285 million) from our jointly controlled entity FOXTEL. The
purchases were to enable the resale of FOXTEL services, including
pay television content, to our existing customers as part of our
ongoing product bundling initiatives. In addition, we made sales
to FOXTEL for our cost recoveries of $75 million (2007: $76 million);
• purchases were made by the Telstra Group of $221 million (2007:
$182 million) and Telstra Entity of $111 million (2007: $162 million)
from our jointly controlled entity Reach Ltd (Reach) in line with
market prices. These were for both the purchase of, and
entitlement to, capacity and connectivity services; and
• sales to Reach were made for international inbound call
termination services, construction and consultancy by the Telstra
Group of $64 million (2007: $73 million) and the Telstra Entity of
$54 million (2007: $59 million).
(b) A $130 million distribution was received from our jointly controlled
entity FOXTEL during the year (2007: nil).
29. Related party disclosures (continued)
Telstra Group Telstra Entity
Year ended/As at Year ended/As at
30 June 30 June
2008 2007 2008 2007
Note $m $m $m $m
Income from jointly controlled and associated entities:
Sale of goods and services (a). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 212 168 124 79
Distribution from FOXTEL Partnership (b) . . . . . . . . . . . . . . . . . . . . . . . . . . .26 130 ---
Expenses to jointly controlled and associated entities:
Purchase of goods and services (a). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 678 560 277 252
Total amounts receivable at 30 June from:
Current
Jointly controlled and associated entities - trade receivables (a) . . . . . . . . . . . . . . 13 26 10 7
Non current
Jointly controlled and associated entities - loans (c) . . . . . . . . . . . . . . . . . . . .10 194 221 161 183
Allowance for amounts owed by jointly controlled and associated entities (c) . . . .10 (161) (183) (161) (183)
33 38 --
Movement in allowance for amounts owed by jointly controlled and
associated entities:
Opening balance. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (183) (215) (183) (210)
Impairment loss . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 -(1) --
Other. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . -6--
Foreign currency exchange differences. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 27 22 27
Closing balance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (161) (183) (161) (183)
Total amounts payable at 30 June to:
Current
Jointly controlled and associated entities - payables (a) . . . . . . . . . . . . . . . . . . . 15 32 822