Pick n Pay | Integrated Annual Report: Financial Statements - Group of Companies Financial Statements, Notes to the Group Financial Statements

Pick n Pay Group of Companies financial statements

notes to the group financial statements

		Pick n Pay Stores Group		Pick n Pay Holdings Group
		52 weeks 1 March 2015 Rm	52 weeks 2 March 2014 Rm	52 weeks 1 March 2015 Rm	52 weeks 2 March 2014 Rm
14.	INVESTMENT IN ASSOCIATE
	The Group has a 49% investment in TM Supermarkets (Pvt) Limited registered in Zimbabwe.
	At beginning of period	165.9	133.9	165.9	133.9
	Share of associate’s income for the period	14.3	32.0	14.3	32.0
	At end of period	180.2	165.9	180.2	165.9
14.1	Related party transactions
	The nature of the transactions between the associate and the Group consists mainly of the sale of inventory.
	Sale of inventory	56.8	28.0	56.8	28.0
	During the financial year the Group sold inventory to its associate. These purchases are on the same terms and conditions as those entered into by other Group customers.
	Trade receivable balances outstanding at the end of the period	16.0	8.2	16.0	8.2
	The outstanding balances are priced on an arm’s-length basis and are to be settled in cash. No expense has been recognised in the current year or prior year for bad or doubtful debts in respect of amounts owing by the associate.
	Fair value of financial guarantee (note 28)	7.2	11.8	7.2	11.8
	During the prior period, the Group entered into a financial guarantee contract that provides security for an overdraft facility of its associate. The purpose of the facility is to finance its refurbishment programmes.
		US$m	US$m	US$m	US$m
14.2	Summary financial information of associate
	The summary financial information has been presented in US dollars (the associate’s functional currency).
	Statement of comprehensive income
	Revenue (100%)	355.9	335.8	355.9	335.8
	Profit for the period (100%)	2.7	6.5	2.7	6.5
	Statement of financial position
	Total assets	78.3	76.9	78.3	76.9
	Current assets	35.8	47.3	35.8	47.3
	Non-current assets	42.5	29.6	42.5	29.6
	Total liabilities	47.8	49.1	47.8	49.1
	Current liabilities	38.9	32.5	38.9	32.5
	Non-current liabilities	8.9	16.6	8.9	16.6
	Net assets (100%)	30.5	27.8	30.5	27.8
	Percentage ownership interest	49%	49%	49%	49%
	Group’s share of net assets USD (49%)	14.9	13.6	14.9	13.6
	Group’s share of net assets ZAR (49%)	180.2	165.9	180.2	165.9