79
Notes to the Consolidated Financial Statements (continued)
For the year ended 31 December, 2012
(Expressed in Thousands of Trinidad and Tobago Dollars, except where otherwise stated)
24. Financial risk management
(continued)
Foreign currency risk
(continued)
2011
TTD
USD
JMD
BDS
Other
Total
$
$
$
$
$
$
ASSETS
Cash and short-term deposits
22,940
20,748
10,268
98
3,701
57,755
Trade receivables
45,237
49,30
17,449
2,729
11,589
126,434
68,177
70,178
27,717
2,827
15,290
184,189
LIABILITIES
Bank overdraft and advances
–
–
–
447
–
447
Borrowings and swap obligation
867,716
627,636
39,799
143,212
–
1,678,363
Interest and finance charges
160,902
70,838
–
–
100
231,840
Trade payables
24,140
43,811
80,366
24,526
11,556
184,399
1,052,758
742,285
120,165
168,185
11,656
2,095,049
NET LIABILITIES
(984,581)
(672,107)
(92,448)
(165,358)
3,634
(1,910,860)
Other currencies include the Euro.
Interest rate risk
Interest rate risk for the Group centers on the risk that debt service cash outflow will increase due to changes in market
interest rates. At the statement of financial position date, the Group’s exposure to changes in interest rates relates
primarily to bank loans which have a floating interest rate. The Group’s policy is to manage its interest cost using a mix of
fixed, variable rate debt and financial derivatives.
The interest rate exposure of borrowings is as follows:
2012
2011
$
$
At fixed rate
1,661,084
1,350,600
At floating rates
385,042
327,763
Interest rate risk table
The following table shows the sensitivity to a reasonably possible change in interest rates, with all other variables held
constant, of the Group’s profit before tax:
Increase/decrease
Effect on
in basis points
profit before tax
$
2012
+100
(3,850)
–100
3,850
2011
+100
(3,278)
–100
3,278
