83 l BRADKEN LIMITED ANNUAL REPORT 2014
Notes to the consolidated financial statements
30 June 2014
(continued)
31 Deed of cross guarantee
The companies subject to the Deed are:
Bradken Limited
Bradken Resources Pty Limited
Bradken Finance Pty Limited
Bradken Operations Pty Limited
(a)
2014
2013
$'000
$'000
Income statement
Revenue from continuing operations
455,301
614,922
Cost of sales
(330,628)
(467,344)
Gross profit
124,673
147,578
Other income
15,867
16,983
Selling and technical expenses
(38,181)
(41,647)
Administration expenses
(61,503)
(74,401)
Finance costs
(19,205)
(18,503)
Restructuring and asset impairment costs
(39,668)
(2,558)
Share of net profit of associates accounted for using the equity method
(85)
9,847
Profit before income tax
(18,102)
37,299
Income tax (expense) / benefit
9,376
(17,494)
Profit for the period
(8,726)
19,805
Statement of comprehensive income
Profit for the period
(8,726)
19,805
Items that may be reclassified to profit or loss
Changes in the fair value of cash flow hedges
(530)
1,154
Exchange differences on translation of foreign operations
339
253
Income tax relating to these items
159
(346)
Other comprehensive income for the period, net of tax
(32)
1,061
Total comprehensive income for the period
(8,758)
20,866
Summary of movements in consolidated retained earnings
Retained earnings at the beginning of the financial year
108,714
152,078
Profit for the period
(8,726)
19,805
Dividends provided for or paid
(55,849)
(70,103)
Dividends received from companies not in Closed Group
-
6,934
Retained earnings at the end of the financial year
44,139
108,714
Pursuant to ASIC Class Order 98/1418 (as amended) dated 13 August 1998, the wholly-owned subsidiaries listed below are
relieved from the Corporations Act 2001 requirements for preparation, audit, and lodgement of financial reports, and directors’
report. It is a condition of the Class Order that the Company and each of the subsidiaries enter into a Deed of Cross Guarantee.
Set out below is a consolidated income statement and a summary of movements in consolidated retained profits for the year
ended 30 June 2014 of the Closed Group outlined above.
The effect of the Deed is that the Company guarantees to each creditor payment in full of any debt in the event of winding up of
any of the subsidiaries under certain provisions of the Corporations Act 2001. If a winding up occurs under other provisions of
the Act 2001, the Company will only be liable in the event that after six months any creditor has not been paid in full. The
subsidiaries have also given similar guarantees in the event that the Company is wound up.
The above companies represent a ‘Closed Group’ for the purposes of the Class Order, and as there are no other parties to the
Deed of Cross Guarantee that are controlled by Bradken Limited, they also represent the ‘Extended Closed Group’.
Consolidated income statement, statement of comprehensive income and summary of movements in
consolidated retained earnings
Page 83
Bradken Limited
NOTES TO THE CONSOLIDATED
FINANCIAL STATEMENTS
(CONTINUED)
1...,110,111,112,113,114,115,116,117,118,119 121,122,123,124,125,126,127,128,129,130,...136