Note 19: Liabilities Administered on Behalf of Government
PAYABLES |
2012 |
2011 |
|||
|---|---|---|---|---|---|
$’000 |
$’000 |
||||
Note 19A: Suppliers |
|||||
Trade creditors and accruals |
1,209 |
329 |
|||
Other |
33 |
3 |
|||
Total suppliers |
1,242 |
332 |
|||
Supplier payables expected to be settled within 12 months: |
|||||
Related entities |
- |
- |
|||
External parties |
1,242 |
332 |
|||
Total suppliers |
1,242 |
332 |
|||
Settlement was usually made within 30 days. |
|||||
Note 19B: Other Payables |
|||||
NIA* |
10,689 |
21,061 |
|||
Unearned Income - passports revenue |
8,749 |
10,844 |
|||
Defined Benefits Pension Schemes - NAPS |
33,327 |
28,753 |
|||
Defined Benefits Pension Schemes - Other |
6,945 |
3,989 |
|||
Total other payables |
59,710 |
64,647 |
|||
Total other payables are expected to be settled in: |
|||||
No more than 12 months |
11,345 |
16,422 |
|||
More than 12 months |
48,365 |
48,225 |
|||
Total other payables |
59,710 |
64,647 |
|||
* Loans on the National Interest Account (NIA) are funded from the Commercial Account at fair value. The amount disclosed above reflects the Commonwealth's exposure on business undertaken in the NIA. It reflects the net amount of assets in the form of loans and rescheduled credit insurance debts to overseas governments, commitment fees on loans received by EFIC but not yet paid to the Commonwealth, unamortised portion of the reinsurance payments and bond premiums receivable from exporters and liabilities relating to the reimbursement to EFIC for debt forgiveness on loans, provision for unearned income on loan premiums, accrued expenses including EFIC administration fees and other creditors. |
|||||
Defined Benefit Pension Schemes |
2012 |
2011 |
|||
$’000 |
$’000 |
||||
The amounts recognised in the Balance Sheet are as follows: |
|||||
Present value of funded obligations |
31,020 |
26,903 |
|||
Fair value of plan assets |
(24,075) |
(22,914) |
|||
6,945 |
3,989 |
||||
Present value of unfunded obligations |
33,327 |
28,753 |
|||
Net liability in balance sheet |
40,272 |
32,742 |
|||
Movements in the net liability recognised in the Balance Sheet as follows: |
|||||
Net liability at the start of the year |
32,742 |
40,333 |
|||
Exchange differences on foreign plans |
1,538 |
(7,134) |
|||
Net expense recognised in the income statement |
2,852 |
2,445 |
|||
Net actuarial losses (gains) |
6,155 |
(28) |
|||
Contributions |
(991) |
(712) |
|||
Transfer of benefit |
(2,024) |
(2,162) |
|||
Net liability at the end of the year |
40,272 |
32,742 |
|||
The amounts recognised in the Income Statement are as follows: |
|||||
Current service cost |
1,552 |
1,150 |
|||
Interest on obligation |
3,034 |
2,833 |
|||
Expected return on plan assets |
(1,733) |
(1,538) |
|||
Past service cost |
- |
||||
Losses (gains) on curtailments and settlements |
- |
||||
Total included in 'employee benefit expense account' |
2,853 |
2,445 |
|||
Amounts recognised directly in administered equity |
|||||
Financial year ended |
2012 $'000 |
2011 $'000 |
|||
Actuarial Gains (Losses) |
(6,155) |
28 |
|||
Cummulative amounts of gains and losses recognised in administered equity |
|||||
Financial year ended |
2012 $'000 |
2011 $'000 |
|||
Actuarial Gains (Losses) |
(16,717) |
(10,562) |
|||
Scheme Assets |
|||||
The fair value of scheme assets is represented by: |
|||||
Financial year ended |
2012 |
2011 |
|||
UK equities |
0.0% |
31.9% |
|||
Overseas equities |
0.0% |
39.6% |
|||
Long dated UK corporate bonds |
15.6% |
15.8% |
|||
Long dates UK Gilts |
10.1% |
8.3% |
|||
Cash |
0.3% |
0.1% |
|||
Insured Pensioner |
2.0% |
1.9% |
|||
Investment in LIC India |
2.6% |
2.4% |
|||
Diversified Growth Fund |
69.4% |
0.0% |
|||
Fair Value of scheme assets |
|||||
The fair value of scheme assets does not include amounts relating to: |
|||||
|
|||||
Expected return on schemes assets |
|||||
The expected return on assets assumptions is determined by weighting the expected long-term return of each asset class by the targeted allocation of assets to each asset class and allowing for the correlation of the investment returns between asset classes. The returns used for each class are net of investment tax and investment fees. |
|||||
Actual return on scheme assets |
|||||
Financial year ended |
2012 $'000 |
2011 $'000 |
|||
Actual return on scheme assets |
984 |
2,870 |
|||
Actual return on scheme assets as a percentage |
4% |
13% |
|||
Principal actuarial assumptions at the reporting date (expressed as weighted averages): |
|||||
Financial year ended |
2012 |
2011 |
|||
Discount rate at 30 June |
4.25% |
5.27% |
|||
Expected return on assets at 30 June |
3.07% |
7.54% |
|||
Salary growth |
3.12% |
3.60% |
|||
Price inflation |
2.97% |
3.24% |
|||
Pension growth |
1.09% |
2.80% |
|||
Historical Information |
|||||
Financial year ended |
2012 $'000 |
2011 $'000 |
2010 $'000 |
2009 $'000 |
2008 $'000 |
Present value of defined benefit obligations |
(64,347) |
(55,656) |
(64,981) |
(60,950) |
(56,221) |
Fair value of scheme assets |
24,075 |
22,914 |
24,648 |
21,484 |
26,210 |
Surplus / (deficit) in the scheme |
(40,272) |
(32,742) |
(40,333) |
(39,466) |
(30,011) |
Experience adjustments gain / (loss) - Net liabilities |
(6,155) |
28 |
(3,414) |
(4,629) |
76 |
Expected Employer Contributions |
|||||
Financial year ended |
2013 $'000 |
2012 $'000 |
|||
Expected employer contributions1 |
902 |
631 |
|||
1 This represents the employer contributions, which are paid into the schemes fund |
|||||
Scheme Information |
|||||
The Department administers on behalf of the Australian Government, defined benefit pension schemes for locally engaged staff at posts in London and New Delhi, and also the North American Pension Scheme. All schemes, with the exception of the New Delhi Gratuity Scheme, have been closed to new employees and provide pensions that are linked to final salaries. Figures disclosed are based on formal actuarial reviews that are generally conducted triennially and reviewed and updated by the actuary on an annual basis. The New Delhi scheme is fully funded, the London scheme is partially funded and the North American Pension Scheme is fully unfunded. Contributions for the North American Scheme are made to the Department of Finance and Deregulation, which will provide funding for benefits payable under the scheme. |
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