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101

NOTES TO THE

FINANCIAL STATEMENTS

28 FINANCIAL RISK MANAGEMENT (CONTINUED)

(b) Liquidity risk (Continued)

Liquidity risk (Continued)

Cash flows

Carrying

amount

Contractual

cash flows

Within

1 year

Within

1 to 5 years

Over

5 years

$’000 $’000 $’000 $’000 $’000

Trust

31 December 2012

Non-derivative financial

liabilities

Debt securities

(75,165)

(100,385)

(5,170)

(95,215)

–

Trade and other payables

(45,527)

–

(120,692)

(145,912)

(50,697)

(95,215)

–

Derivative financial liabilities

Interest rate swap

(166)

–

Convertible bond derivative

(54)

–

(54)

–

(220)

(166)

(54)

–

31 December 2011

Non-derivative financial

liabilities

Debt securities

(68,041)

(103,795)

(5,009)

(98,786)

–

Trade and other payables

(22,721)

–

(90,762)

(126,516)

(27,730)

(98,786)

–

Derivative financial liabilities

Interest rate swap

(126)

–

(126)

–

Convertible bond derivative

(88)

–

(88)

–

(214)

–

(214)

–

Market risk is the risk that changes in market prices, such as foreign exchange rates, interest

rates and equity prices, will affect the Group’s income and its holdings of financial instruments.

The objective of market risk management is to manage and control market risk exposures

within acceptable parameters while optimising the return on risk. Market risk is managed

through established policies and guidelines. These policies and guidelines are reviewed

regularly taking into consideration changes in the overall market environment.

The Group buys and sells derivatives, and also incurs financial liabilities, in order to manage

market risk.