Notes to and forming part of the Financial Statements - Notes 7-13

Page index

2007
2006
$’000
$’000

Note 7. Liabilities
Note 7A—Supplier Payables
  Trade creditors
14,288
6,601
  Total suppliers payable
14,288
6,601
Supplier payables represented by:
Current
14,288
2,771
    Non-current
–
3,830
  Total suppliers payable
14,288
6,601
Settlement is usually made net 30 days.

Note 7B—Other
Unearned revenue
1,233
–
  Other payables
121
12
  Total other payables
1,354
12
All other payables are current liabilities

Note 7C—Employee Provisions
Salaries and wages
486
343
  Leave
16,465
13,639
  Total employee provisions
16,951
13,982
Employee provisions are represented by:
Current
15,157
7,626
    Non-current
1,794
6,356
  Total employee provisions
16,951
13,982

Note 7D—Other Provisions
Make good provision
83
101
  Lease Liability
722
–
  Total makegood provision
805
101
All other provisions are non-current liabilities.

Note 8. Restructuring
Note 8A—Departmental Restructuring
2006–07

As a result of the Administrative Arrangements Orders of 20 January 2007, the department relinquished responsibility for the Office of Water Resources to the Department of the Environment and Water Resources.

2005–06

As a result of restructuring of administrative arrangements, the department assumed responsibility for managing the APEC accreditation function from the Attorney-General’s Department.

In respect of functions assumed, there was no associated transfer of assets or liabilities.

In respect of functions relinquished, the net book values of assets and liabilities transferred by the department for no consideration and recognised as at the date of transfer were:
2007
2006
$’000
$’000
Total asset relinquished
(341)
–
Total liabilities relinquished
341
–
Net assets relinquished
–
–
Net distribution by Government as Owner
–
–

Departmental revenues and expenses for the full year for the functions assumed/relinquished by the department are as follows:
Revenues
Recognised by the Department
937
4,293
Recognised by the Department of Environment and Water Resources
1,874
–
Recognised by the Attorney-General’s Department
–
–
Total Revenues
2,811
4,293

Expenses
Recognised by the Department
937
–
Recognised by the Department of Environment and Water Resources
1,842
–
Recognised by the Attorney-General’s Department
–
–
Total Expenses
2,779
–

 

Note 8B—Administered Restructuring

2006–07

There was no Administered restructuring for the year ended 30 June 2007.

2005–06

There was no Administered restructuring for the year ended 30 June 2006.

2007
2006
$’000
$’000

Note 9. Cash Flow Reconciliation
Reconciliation of cash and cash equivalents as per Balance Sheet to Cash Flow Statement
Report cash and cash equivalents as per:
Cash Flow Statement
774
17,393
Balance Sheet
774
17,393
Reconciliation of operating result to net cash from operating activities
Operating result
(7,781)
18,686
Depreciation/Amortisation
5,781
4,640
Net write down of non-financial assets
353
–
Net loss (gain) on disposal of assets
–
14
(Increase)/decrease in net receivables and accrued revenue
(20,489)
(7,792)
(Increase)/decrease in other non-financial assets
3
(170)
Increase/(decrease) in suppliers payable
9,116
2,683
Increase/(decrease) in other payables
1,341
(128)
Increase/(decrease) in employee provisions
2,970
1,113
  Increase/(decrease) in other provisions
723
–
Net cash from/(used by) operating activities
(7,983)
19,046


Note 10. Contingent Liabilities and Assets
Quantifiable Contingencies

The department is not aware of any quantifiable contingent liabilities or assets as at signing date that would require disclosure in the Financial Statements.

Unquantifiable Contingencies

The department is not aware of any unquantifiable contingent liabilities or assets as at signing date that would require disclosure in the Financial Statements.

Note 11. Impact of APEC Taskforce on Income Statement
Departmental (excluding APEC Taskforce) APEC Taskforce Total
$’000
$’000
$’000
INCOME
Revenue
Revenue from Government
75,358
60,723
136,081
Sale of goods and rendering of services
2,311
612
2,923
Commission—Campaign Advertising Special Account
2,893
–
2,893
Total revenue
80,562
61,335
141,897
Gains
Resources received free of charge
1,430
3,968
5,398
Total gains
1,430
3,968
5,398
 
TOTAL INCOME
81,992
65,303
147,295
EXPENSE
Employees
43,731
19,279
63,010
Suppliers
29,861
53,529
83,390
Grants
2,542
–
2,542
Depreciation and amortisation
4,015
1,766
5,781
Losses from asset sales
–
–
–
Impairment loss
296
57
353
TOTAL EXPENSES
80,445
74,631
155,076
   
 
SURPLUS (DEFICIT)
1,547
(9,328)
(7,781)

Notes:

1. The APEC Taskforce overspend is due to timing differences between revenue and expenses, as a result of difficulties in estimating in advance the expenses required for this project, including expenses by year. The APEC Taskforce deficit for 2006–07 will be funded from the APEC Taskforce surplus of $19.0 million in 2005–06. Any surplus funds will be returned
to the Official Public Account following the completion of the project.

2. The impact of the APEC Taskforce on the department’s balance sheet is largely confined to cash at OPA reflecting the operating surplus of $19.0m in 2005–06.

Note 12. Executive Remuneration
2007
2006
Number
Number
The number of senior executives who received or were due to receive total remuneration of $130,000 or more:
$130,000 to $144,999
2
3
$145,000 to $159,999
4
6
$160,000 to $174,999
13
6
$175,000 to $189,999
14
7
$190,000 to $204,999
5
5
$205,000 to $219,999
2
3
$220,000 to $234,999
5
1
$235,000 to $249,999
2
4
$250,000 to $264,999
0
1
$265,000 to $279,999
1
1
$280,000 to $294,999
1
1
$295,000 to $309,999
1
1
$310,000 to $324,999
0
0
$325,000 to $339,999
1
0
$340,000 to $354,999
0
0
$475,000 to $489,999
1
0
  $490,000 to $504,999
0
1
   
52
40
The aggregate amount of total remuneration of senior executives shown above.
$10,373,038
$8,000,530
The aggregate amount of separation and redundancy/termination benefit payments during the year to executive shown above.
–
–

Note 13. Financial Instruments

Note 13A—Interest rate risk

Financial instrument Notes Floating interest rate

Fixed interest rate maturing in

Non-interest bearingTotal

Weighted average Effective Interest Rate
        1 year or less 1 to 5 years > 5 years        
   
2007
2006
2007
2006
2007
2006
2007
2006
2007
2006
2007
2006
2007
2006
   
$’000
$’000
$’000
$’000
$’000
$’000
$’000
$’000
$’000
$’000
$’000
$’000
$’000
$’000
Financial assets  
 
 
 
 
 
 
 
Cash and cash equivalents 5A
–
–
–
–
–
–
–
–
774
17,393
774
17,393
n/a
n/a
Receivables—Goods, Services and Commissions 5B
–
–
–
–
–
–
–
–
2,041
605
2,041
605
n/a
n/a
Accrued Revenue 5C
–
–
–
–
–
–
–
–
965
214
965
214
n/a
n/a
Total  
–
–
–
–
–
–
–
–
3,780
18,211
3,781
18,211
 
Total assets  
 
 
 
 
 
94,182
65,798
 
   
 
 
 
 
 
 
 
Financial liabilities  
 
 
 
 
 
 
 
Trade creditors 7A
–
–
–
–
–
–
–
–
14,288
6,601
14,288
6,601
n/a
n/a
Unearned revenue 7B
–
–
–
–
–
–
–
–
1,233
–
1,233
–
n/a
n/a
Other payables 7B
–
–
–
–
–
–
–
–
121
12
121
12
n/a
n/a
Total  
–
–
–
–
–
–
–
–
15,642
6,613
15,641
6,613
 
Total liabilities  
 
 
 
 
 
33,398
20,696
 


Note 13B—Fair values of financial assets and liabilities

    2007 2006
  Notes Total Carrying Amount Aggregate Fair Value Total Carrying Amount Aggregate Net Fair Value
 
$’000
$’000
$’000
$’000
Financial Assets
 
 
Cash and cash equivalents 5A
774
774
17,393
17,393
Receivables—Goods, Services and Commissions 5B
2,041
2,041
605
605
Accrued Revenue 5C
965
965
214
214
Total  
3,781
3,781
18,211
18,211
   
 
 
Financial Liabilities (recognised)
 
 
Trade creditors 7A
14,288
14,288
6,601
6,601
Unearned revenue 7B
1,233
1,233
–
–
Other payables 7B
121
121
12
12
Total  
15,642
15,642
6,613
6,613

Note 13C—Credit risk
The department’s maximum exposure to credit risk at reporting date in relation to each class of recognised financial assets is the carrying amount of those assets as indicated in the Balance Sheet.

The department has no significant exposures to any concentration of credit risk.

All figures for credit risk referred to do not take into account the value of any collateral or other security.

This note also applies to the department’s administered financial instruments and is therefore not reproduced at Note 19.
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Last Updated: 21 January, 2008