Qantas 2011 Annual Report Download - page 99

97 ANNUAL REPORT 2011
for the year ended 30 June 2011
Notes to the Financial Statements continued
. Pursuant to ASIC Class Order / (as amended), these controlled entities are relieved from the Corporations Act  requirements for the preparation, audit and lodgement of
Financial Reports. Regional Airlines Charter Pty Limited became a party to the Deed of Cross Guarantee with effect from  November  and Network Aviation Pty Ltd, The Network
Trust, Network Aviation Holdings Pty Ltd, The Network Holdings Trust, Network Holdings Investments Pty Ltd, Network Turbine Solutions Pty Ltd and Osnet Jets Pty Ltd became parties
to the Deed of Cross Guarantee on  April .
. A.C.N.    Pty Limited was incorporated on  November  and on  April  changed its name to Regional Airlines Charter Pty Limited.
. On  February  Qantas Airways Limited acquired  per cent interest in Network Aviation Pty Ltd, The Network Trust, Network Aviation Holdings Pty Ltd, The Network Holding Trust,
Network Holdings Investments Pty Ltd, Network Turbine Solutions Pty Ltd and Osnet Jets Pty Ltd.
. Team Jetstar Pty Limited changed its name to Jetstar Group Pty Limited on  August .
. These companies were voluntarily deregistered on  August .
. On  January  a  per cent interest was acquired in H Travel Sdn Bhd.
. Holiday Tours & Travel Pte. Ltd.  per cent ownership in Hangda Consulting (Shanghai) Co. Ltd was transferred to Tour East (Hong Kong) Limited on  November .
. On  September  Jetset Travelworld Ltd merged with Stella Travel Services Holdings Pty Limited and the Qantas Group’s holding reduced from  per cent to  per cent.
From this date these companies ceased to be consolidated and commenced to be equity accounted.
. On  August  a Revocation Deed was lodged with ASIC to remove Qantas Freight Holdings Pty Limited from the Deed of Cross Guarantee.
. On  August  Toll International Investments Pty Limited acquired the following companies: Qantas Freight Holdings Pty Limited, Qantas Freight Asia Holdings Pte. Limited,
Asia Express Holdings Pte. Ltd., DPEX Transport Group Pte. Ltd., DPEX Worldwide Express Pte. Ltd., DPEX Worldwide Express Ltd, Kilda Express Pte Ltd and DPEX Worldwide Co. Ltd.
. H Pte. Ltd. was voluntarily deregistered on  May .
. On  June  these companies were incorporated QF B  No. Pty Limited, QF B  No. Pty Limited, QF B  No. Pty Limited, QF B  No. Pty Limited
and QF B  No. Pty Limited.
. QF Dash  Leasing No.  Pty Limited was incorporated on  February .
. On  September  these companies were incorporated QF ECA A  No. Pty Limited, QF ECA A  No. Pty Limited, QF ECA A  No. Pty Limited, QF ECA A
 No. Pty Limited, QF ECA A  No. Pty Limited and QF ECA A  No. Pty Limited.
. These companies were voluntarily deregistered on  February .
33. Deed of Cross Guarantee
Pursuant to ASIC Class Order / (as amended), the wholly-owned controlled entities identied in Note  are relieved from the
Corporations Act requirements for preparation, audit and lodgement of Financial Statements and Directors’ Reports.
It is a condition of the Class Order that Qantas and each of the controlled entities in the Class Order enter into a Deed of Cross Guarantee
(Deed). The effect of the Deed is that Qantas guarantees to each creditor payment in full of any debt in the event of wind-up of any of the
controlled entities under certain provisions of the Corporations Act  (Act). If a wind-up occurs under other provisions of the Act, Qantas
will only be liable in the event that after six months any creditor has not been paid in full. The controlled entities have also given similar
guarantees in the event that Qantas is wound up.
The Deed was rst entered into by Qantas and the controlled entities on  June  and subsequently additional controlled entities became
party to the Deed by way of Assumption Deeds on  June ,  June ,  June ,  June ,  June ,  June ,
 November  and  April .
The Condensed Consolidated Income Statement and Consolidated Balance Sheet, comprising Qantas and its controlled entities which
are a party to the Deed, is set out on the following page. The principles of consolidation are as follows:
— Transactions, balances and unrealised gains and losses on transactions between entities, which are a party to the Deed, are eliminated
— Investments in controlled entities, which are not parties to the Deed, are carried at cost less any accumulated impairment
— Investments in associates and jointly controlled entities are carried at cost less any accumulated impairment
— Dividends received from the investments are recognised as income in the Condensed Consolidated Income Statement
32. Controlled Entities continued