Qantas 2005 Annual Report Download - page 107

Download and view the complete annual report

Please find page 107 of the 2005 Qantas annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 128

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128

105
Qantas Annual Report 2005
~Notes to the Financial Statements~
for the year ended 30 June 2005
31. Financial instruments continued
Qantas Group
Carrying Amount
Qantas Group
Net Fair Value
2005
$M
2004
$M
2005
$M
2004
$M
RECOGNISED FINANCIAL INSTRUMENTS
Financial assets
Cash 198.0 335.9 198.0 335.9
Trade debtors 1,027.9 1,010.3 1,027.9 1,010.3
Short-term money market securities and term deposits 1,705.8 1,029.4 1,714.7 1,034.1
Aircraft security deposits 127.4 134.9 133.6 141.0
Sundry debtors 121.0 102.7 121.0 102.7
Loans receivable 141.7 143.6 141.7 143.6
Net receivables under hedge/swap contracts 674.4 897.5 692.2 937.9
Other investments 11.8 20.4 11.8 20.4
Convertible loan notes188.1 89.7 59.3 80.8
4,096.1 3,764.4 4,100.2 3,806.7
Financial liabilities
Trade creditors 1,687.8 1,697.8 1,687.8 1,697.8
Other creditors and accruals 206.7 218.1 206.7 218.1
Bank loans – secured 2,725.5 2,754.9 2,798.5 2,823.8
Bank loans – unsecured 630.0 497.4 644.7 507.7
Other loans – unsecured 1,171.2 1,715.8 1,273.0 1,803.1
Finance lease and hire purchase liabilities 1,023.0 935.6 1,023.5 942.4
7,444.2 7,819.6 7,634.2 7,992.9
Net financial liabilities 3,348.1 4,055.2 3,534.0 4,186.2
UNRECOGNISED FINANCIAL INSTRUMENTS
Financial liabilities
Forward commodity contracts 206.4 56.5
Option contracts 199.3 84.8
Interest rate swaps (35.5) 25.8
370.2 167.1
1 Qantas holds 220,763,477 loan notes in Air New Zealand Limited (Air NZ), which are convertible to ordinary shares in Air NZ under certain circumstances.
Based on the value of Air NZ ordinary shares as at 30 June 2005 as traded on the New Zealand Stock Exchange, the convertible loan notes would be
valued at $59.3 million. The convertible loan notes are held by Qantas for strategic purposes in relation to the proposed commercial alliance with Air NZ,
which is expected to provide significant benefits to both parties. As such, the carrying value of the convertible loan notes is considered recoverable.
32. Employee benefits
Qantas Group Qantas
2005
$M
2004
$M
2005
$M
2004
$M
Employee benefit liabilities
Provisions for employee benefits
– Current (refer Note 16) 366.9 346.9 316.1 304.2
– Non-current (refer Note 16) 267.9 257.7 244.3 235.4
Total 634.8 604.6 560.4 539.6
Average FTEs (number) 35,520 33,862 27,585 27,218
SUPERANNUATION
Employees of the Qantas Group are entitled to benefits on retirement, disability or death from various superannuation plans. Further
details are included in Note 27.