Telstra 2012 Annual Report Download - page 141

Telstra Corporation Limited and controlled entities
111
Notes to the Financial Statements (continued)
On 12 July 2012, we signed an agreement to dispose of our 100%
shareholding in TelstraClear Limited and its controlled entity
(TelstraClear). In accordance with AASB 5: “Non-current Assets
Held for Sale and Discontinued Operations” as at 30 June 2012 the
carrying value of assets and liabilities of TelstraClear have been
classified as held for sale, with the exception of cash balances
which are excluded from the sale agreement, and measured at the
lower of carrying amount and fair value less costs to sell.
Based on the sale price of $658 million (NZ$840 million), estimated
completion adjustments and subject to final completion
adjustments, the carrying value of the TelstraClear goodwill was
impaired by $130 million. Refer to note 21 for further details.
The conditions precedent to completion of the disposal include
approval from the New Zealand Commerce Commission, Overseas
Investment Office and Ministry of Business, Innovation and
Employment.
If the conditions precedent are satisfied and the disposal of
TelstraClear occurs, in fiscal 2013 the foreign currency translation
reserve arising from our investment in TelstraClear will be
reclassified to the Telstra Group income statement increasing our
loss on disposal. The foreign currency translation reserve balance
at 30 June 2012 was $130 million. Refer to note 31 for further
details.
TelstraClear’s operating and investing cash flows were $107 million
inflow (2011: $108 million) and an outflow of $51 million (2011: $57
million) respectively. The investing cash outflows exclude the
related party transactions disclosed in note 29.
At 30 June 2011, we were committed to dispose of our 64.4%
shareholding in Adstream (Aust) Pty Ltd (Adstream). The disposal
was subsequently completed on 21 July 2011. Refer to note 20 for
further details.
TelstraClear is included in the TelstraClear reportable segment and
Adstream is included in the Telstra Media Group reportable
segment in our segment information disclosures in note 5.
12. Non current assets held for sale
Telstra Group
As at 30 June
2012 2011
Note $m $m
Current assets
Cash and cash equivalents. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 -7
Trade and other receivables . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 73 3
Inventories . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2-
Prepayments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8-
Total current assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 83 10
Non current assets
Property, plant and equipment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 516 1
Intangible assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 155 29
Deferred tax assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . -1
Total non current assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 671 31
Total assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 754 41
Current liabilities
Trade and other payables . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70 2
Provisions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61
Revenue received in advance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 1
Total current liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 102 4
Non current liabilities
Provisions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3-
Deferred tax liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . -1
Total non current liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31
Total liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 105 5
Net assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 649 36