NOTE 29
RESERVES AND RETAINED EARNINGS
Consolidated
2013
$’000
2012
$’000
Asset Revaluation Reserve
995,113
882,641
Cash flow hedging reserve - interest rate swap
(5,587)
(3,813)
Cash flow hedge reserve - foreign exchange
70
99
989,596
878,927
2013
$’000
2012
$’000
Movements:
Revaluation surplus - Property, plant and equipment
Opening balance
882,641
1,103,742
Revaluation on asset revaluation reserve
160,797
-
Reversal of asset revaluation reserve
-
(311,874)
Asset revaluation reserve - asset disposal
(124)
(3,985)
Income tax effect of reversal of asset revaluation
-
93,562
Income tax effect of asset revaluation
(48,201)
-
Income tax effect of asset revaluation reserve asset disposal
-
1,196
Balance 30 June
995,113
882,641
Cash flow hedges
Opening balance
(3,714)
(7)
Hedge reserve - foreign exchange
(29)
106
Hedge reserve - interest rate swap
(1,774)
(3,813)
Balance 30 June
(5,517)
(3,714)
Total movement in reserves
989,596
878,927
(a) Reserves
(b) Retained earnings
Movements in retained earnings were as follows:
Consolidated
2013
$’000
2012
$’000
Balance 1 July
67,498
286,969
(Loss)/Profit for the year
(201,797)
(219,927)
Actuarial (losses)/gains on defined benefit plans
3,080
(5,041)
Transfer from reserves
124
3,985
Tax effect on defined benefit fund (note 15)
(924)
1,512
Balance 30 June
(132,019)
67,498
(c) Nature and purpose of other reserves
(i) Asset revaluation reserve
The property, plant and equipment revaluation reserve is used to record increments and decrements on the revaluation
of non-current infrastructure assets.
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