Financial Statements of Waikato River Clean-Up Trust
for the period ended 30 June 2013
Restoring and protecting the health and wellbeing of the Waikato River
40
Fair value
Trade and other receivables are non-interest bearing and receipt is normally on 30-
day terms. Therefore, the carrying value of Trade and other receivables approximates
their fair value.
11 Funding receivable
2013
2012
Current
6,922,174
7,877,375
Non-current
87,510,047
88,455,101
94,432,221
96,332,476
Under the terms of the Waikato-Tainui Raupatu Claims (Waikato River) Settlement
Act 2010, the Trust is to receive $7,000,000 each year over the next 25 years in
settlement funding. This revenue has been recognised upfront and the related
receivable has been discounted back at 6.0% which is the treasury risk-free discount
rate at settlement. The funding receivable of $175,000,000 has been discounted by
$85,516,507 to provide for the present value of $89,483,493.
Under the terms of the Nga Wai o Maniapoto (Waipa River) Act 2012, the Trust is to
receive $1,333,333 in year one and $333,333 each year after over the next 26 years
in settlement funding. This revenue has been recognised upfront and the related
receivable has been discounted back at 4.69% which is the treasury risk-free rate
at balance date. The funding receivable of $8,666,667 has been discounted by
$3,717,939 to provide the present value of $4,948,728.
12 Other financial assets
2013
2012
Current investments
Term deposits with maturities of 4-12 months
12,445,104
23,389,625
Portfolio call accounts
1,449,988
-
NZ Bonds (includes capital notes)
1,316,495
-
Total current investments
15,211,587
23,389,625
Non-current investments
Listed shares in Australasian Equities
1,977,410
-
Listed shares in International Equities
2,863,099
-
International speciality funds
226,134
-
PIE Cash Funds
14,170,569
-
Total non-current investments
19,237,212
-
Total other financial assets
34,448,799 23,389,625
Fair value
Term deposits
The carrying amount of term deposits approximates their fair value.
Listed shares
Listed shares are recognised at fair value. The fair values of listed shares are
determined by reference to published current bid price quotations in an active
market.
Portfolio call accounts
Portfolio call accounts are recognised at fair value. The fair value of the portfolio call
accounts are determined by reference to published current bid price quotations in an
active market.
