Cathay Pacific 2009 Annual Report Download - page 73

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15. Long-term liabilities (continued)
(b) Obligations under finance leases
The Group has commitments under finance lease agreements in respect of aircraft and related equipment
expiring during the years 2010 to 2023. The reconciliation of future lease payments and their carrying value under
these finance leases is as follows:
Group Company
2009
HK$M
2008
HK$M
2009
HK$M
2008
HK$M
Future payments 35,973 35,633 36,296 36,569
Interest charges relating to future periods (5,833) (6,324) (7,226) (7,915)
Present value of future payments 30,140 29,309 29,070 28,654
Security deposits, notes and zero coupon bonds (6,797) (7,497) (1,651) (1,932)
Amounts due within one year included under
current liabilities (3,688) (2,291) (5,046) (3,564)
19,655 19,521 22,373 23,158
The present value of future payments is repayable as follows:
Group Company
2009
HK$M
2008
HK$M
2009
HK$M
2008
HK$M
Within one year 4,883 2,592 5,774 3,575
After one year but within two years 3,200 4,525 4,059 5,414
After two years but within five years 10,588 10,853 7,581 8,498
After five years 11,469 11,339 11,656 11,167
30,140 29,309 29,070 28,654
The future lease payment profile is disclosed in note 31 to the accounts.
As at 31st December 2009, the Group and the Company had obligations under finance leases which were
defeased by funds and other investments amounting to HK$8,033 million and HK$1,081 million respectively
(2008: HK$8,796 million and HK$1,080 million). Accordingly these liabilities and the related funds, as well as
related expenditure and income, have been netted off in the accounts.
As at 31st December 2009, the Group and the Company had financial liabilities designated as at fair value
through profit and loss of HK$4,474 million (2008: HK$4,943 million) and HK$4,474 million (2008: HK$4,943
million) respectively.
16. Other long-term payables
Group Company
2009
HK$M
2008
(restated)
HK$M
2007
(restated)
HK$M
2009
HK$M
2008
(restated)
HK$M
2007
(restated)
HK$M
Retirement benefit obligations (note 17) 216 281 268 224 299 287
Derivative financial liabilities –
long-term portion 843 4,325 1,222 739 4,302 1,101
1,059 4,606 1,490 963 4,601 1,388
Notes to the Accounts STATEMENT OF FINANCIAL POSITION
Cathay Pacific Airways Limited Annual Report 2009 71