84

  

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McPHERSON’S LIMITED

 ANNUAL REPORT 2015

NOTE 33.   RELATED PARTIES (CONTINUED)

Transactions with other related parties

The following transactions occurred with other related parties:

2015

$

2014

$

Sales of goods to joint venture

5,156

-

Recharge of administration services to joint venture

1,746,929

-

Interest charged to joint venture

188,893

-

In addition to the above the Group also pays for certain charges on behalf of the Housewares joint venture which are then recharged to the joint 

venture at the same value.  These transactions are entered into by the Group on a back-to-back basis with the Housewares joint venture.  During 

the year the Group paid $758,412 (2014: Nil) that were then recharged to the Housewares joint venture at cost. 

Outstanding balances with related parties

The following balance is outstanding at balance date in relation to transactions with the Housewares joint venture:

2015

$

2014

$

Receivable from Housewares joint venture

741,304

-

Loans to related parties

Loans to Housewares joint venture
Beginning of the year

-

-

Loans advanced

1,926,779

-

Interest charged

188,893

-

Interest received

(188,893)

-

End of year

1,926,779

-

Terms and conditions

Sale of goods, administration recharges and interest charges are on an arm’s length basis.  Other transactions are transacted between the parties at 

cost.  Receivable amounts outstanding, other than loans, are repayable in cash and are due to be settled within two months of balance date.  

Outstanding loans are unsecured and do not have a specified repayment date.

NOTE 34.   SUPERANNUATION COMMITMENTS

McPherson’s Limited and its controlled entities contribute to a number of superannuation funds.  The funds provide benefits on a cash 

accumulation basis for employees or their dependants on resignation, retirement, total and permanent disablement or death.  Benefits are based 

on the contributions and net income thereon held by the funds on behalf of their members.  The level of these benefits varies according to the fund 

to which the employee belongs. Company contributions to all superannuation funds are legally enforceable.  Contributions may be made by the 

member in addition to Company contributions, as specified by the rules of the fund.  Group Company contributions to employee superannuation 

funds during the year totalled $3,282,000 (2014: $3,251,000).
McPherson’s Limited outsources the superannuation function throughout the Group, and does not sponsor any superannuation funds or pension 

schemes.

NOTES TO AND FORMING PART OF THE  

CONSOLIDATED FINANCIAL STATEMENTS CONTINUED