72
McPHERSON’S LIMITED
ANNUAL REPORT 2015
NOTE 21. BORROWINGS – NON-CURRENT (CONTINUED)
Security for borrowings
The Group provides security to its bankers to secure the two year revolving working capital facility and bank overdraft. The security provided also
secures letters of credit provided by the Group’s bankers to overseas banks to support bank overdraft and loan facilities of controlled entities.
The Group facilities are secured by the following:
•Fixed and floating charges over the assets of the parent and certain controlled entities
•Mortgages over shares held in certain controlled entities
•Cross guarantees and indemnities provided by the parent entity and certain controlled entities.
Assets pledged as security
2015
$’000
2014
1
$’000
Fixed charge
Property, plant and equipment
5,576
6,425
Intangible assets
112,437
113,804
Other financial assets (including investment in joint venture)
11,250
-
Total non-current assets pledged as security
129,263
120,229
The following current assets are also pledged as security:
Fixed charge
Receivables
50,098
55,971
Floating charge
Cash
10,682
3,520
Inventories
76,100
70,071
Receivables
1,775
2,501
Derivative financial instruments
1,951
-
Total current assets pledged as security
140,606
132,063
Total assets pledged as security
269,869
252,292
Where relevant the amounts disclosed above include amounts that are separately disclosed as held for sale in the Group’s consolidated balance
sheet.
1. See Note 1(A) for details regarding the restatement as a result of an error
NOTE 22. PROVISIONS – NON-CURRENT
2015
$’000
2014
$’000
Employee entitlements
1,115
863
The non-current provision for employee entitlements relates to the Group’s liability for long service leave.
NOTES TO AND FORMING PART OF THE
CONSOLIDATED FINANCIAL STATEMENTS CONTINUED