2010 2009
$’000 $’000
(b) Retained profits
At 1 July 48,500 158,846
Net (loss) /profit attributable to members of Transfield Services Limited 73,045 (55,010)
Less: Dividends paid (50,654) (55,219)
Less: Transfer to statutory reserve - (117)
At 30 June 70,891 48,500
Nature and purpose of reserves
Share-based payments reserve
The share-based payments reserve is used to recognise the fair value of Options and Performance Awards granted but not exercised. The share-based
payments reserve is tax-effected as a result of the intention to acquire shares to fulfil vested Awards on market (refer to Note 40).
Foreign currency translation reserve
Exchange differences arising on translation of the foreign controlled entities are taken to the foreign currency translation reserve, as described in Note 1(d).
The reserve is recognised in profit and loss when the net investment is disposed of.
Hedging reserve – cash flow hedges (interest rate swaps)
The hedging reserve is used to record gains or losses on a hedging instrument in a cash flow hedge that are recognised directly in equity, as described in
Note 1(p). Amounts are recognised in profit and loss when the associated hedged transaction affects profit and loss.
Share capital contribution reserve
The share capital contribution reserve is used to recognise the post-acquisition capital contributions by the vendors to equity of subsidiaries.
Statutory reserve
The statutory reserve is a requirement of Abu Dhabi law to maintain a percentage of profits in reserves.
Deferred retention incentive reserve
This reserve was for the fair value of benefits (shares to be awarded) under the short-term incentive deferred retention incentive plan (refer Note 40).
Note 27. Non-controlling interest
2010 2009
$’000 $’000
At 1 July 747 334
Buy-out of non-controlling interest holders - (107)
Profit attributable to non-controlling interest holders 511 520
At 30 June 1,258 747