BT 2007 Annual Report Download - page 108

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16. TRADE AND OTHER RECEIVABLES
2007 2006
£m £m
Current
Trade receivables 1,592 1,662
Prepayments 922 686
Accrued income 1,284 1,254
Other debtors 275 292
4,073 3,894
Trade receivables are stated after deducting £280 million (2006: £315 million) for doubtful debts. The amount charged to the
income statement for doubtful debts for the year ended 31 March 2007 was £117 million (2006: £170 million, 2005: £150 million).
2007 2006
£m £m
Non current
Other assetsa523 305
aRepresents costs relating to the initial set up, transition or transformation phase of long term networked IT services contracts.
17. LOANS AND OTHER BORROWINGS
2007
£m
2006
£m
US dollar 9.125% (2006: 8.875%) notes 2030 (minimum 8.625%a)b1,398 1,580
Sterling 5.75% bonds 2028 608 607
Sterling 3.5% indexed linked notes 2025 301 291
Sterling 8.625% bonds 2020 297 297
Sterling 8.0% (2006: 7.75%) notes 2016 (minimum 7.5%a)712 709
Euro 7.375% (2006: 7.125%) notes 2011 (minimum 6.875%a)b768 790
US dollar 8.625% (2006: 8.375%) notes 2010 (minimum 8.125%a)b1,515 1,713
US dollar 8.765% bonds 2009c108 120
US dollar 7% notes 2007c542 624
Sterling 7.375% notes 2006 (minimum 7.125%a)–409
Total listed bonds, debentures and notes 6,249 7,140
Finance leases 567 845
Commercial paperb,d 794 472
Sterling bank loans due 2007-2009 (average effective interest rate 10.4% (2006: 9.7%)) 147 240
Sterling floating rate note 2007-2009 (average effective interest rate 4.3% (2006: 4.1%)) 42 49
Sterling floating rate loan 2007-2009 (average effective interest rate 5.5% (2006: 4.6%)) 724 1,003
Preference shares –5
Other loans 2007-2010 16 –
Bank overdrafts (of which £49 million (2006: £171 million) had a legally enforceable right of set off – see note 9) 51 181
Total other loans and borrowings 1,774 1,950
Total loans and other borrowings 8,590 9,935
aThe interest rate payable on these notes will be subject to adjustment from time to time if either Moody’s or Standard and Poor’s (S&P) reduces the rating ascribed to the group’s senior unsecured
debt below A3 in the case of Moody’s or below A minus in the case of S&P. In this event, the interest rate payable on the notes and the spread applicable to the floating notes will be increased by
0.25% for each ratings category adjustment by each rating agency. In addition, if Moody’s or S&P subsequently increase the ratings ascribed to the group’s senior unsecured debt, then the interest
rate then payable on notes and the spread applicable to the floating notes will be decreased by 0.25% for each rating category upgrade by each rating agency, but in no event will the interest rate
be reduced below the minimum interest rate reflected in the above table.
bHedged in a designated cash flow hedge.
cHedged in a designated cash flow and fair value hedge.
dCommercial paper is denominated in sterling (2007: £25 million, 2006: £35 million), US dollar (2007: £nil, 2006: £66 million) and euro (2007: £769 million, 2006: £371 million).
BT Group plc Annual Report & Form 20-F 107
Financial statements