Notes to and forming part of the consolidated financial
statements for the year ended 30 June 2010
Note 42. Deed of cross guarantee
Transfield Services Limited and its wholly owned subsidiaries Transfield Services (Holdings) Pty Limited, Transfield Services (Australia) Pty Limited, APP
Corporation Pty Limited, Broadspectrum Australia Pty Limited, Broadspectrum Australia (WA) Pty Limited, Broadspectrum Australia (Qld) Pty Limited and
Transfield Services Engineering Group Pty Limited are parties to a deed of cross guarantee under which each company guarantees the debts of the others.
By entering into the deed, the wholly-owned entities have been relieved from the requirement to prepare and lodge a financial report and a director’s report
under Class Order 98/1418 (as amended) issued by the Australian Securities and Investment Commission.
(a) C onsolidated statement of comprehensive income and summary of movements in consolidated retained profits
The above companies represent a Closed Group for the purposes of the Class Order. As there are no other parties to the Deed of Cross Guarantee that are
controlled by Transfield Services Limited, they also represent the Extended Closed Group.
Set out below is a consolidated statement of comprehensive income and summary of movements in consolidated retained profits for the year ended 30
June 2010 and the Closed Group consisting of Transfield Services Limited, Transfield Services (Holdings) Pty Limited, Transfield Services (Australia) Pty
Limited, APP Corporation Pty Limited, Broadspectrum Australia Pty Limited, Broadspectrum Australia (WA) Pty Limited, Broadspectrum Australia (Qld) Pty
Limited and Transfield Services Engineering Group Pty Limited.
2010 2009
$’000 $’000
Revenue from continuing operations 1,774,540 1,640,086
Other income 7,227 20,634
Share of net profits of associates and joint venture entities and partnerships accounted for using the equity method 25,702 21,197
Subcontractors, raw materials and consumables used (786,505) (653,690)
Employee benefits expense (750,808) (796,987)
Depreciation, amortisation and impairment (30,087) (27,298)
Finance costs (8,009) (12,656)
Other expenses (119,956) (174,483)
Profit before income tax 112,104 16,803
Income tax (expense)/benefit (30,516) 1,966
Profit from continuing operations after income tax expense 81,588 18,769
Net profit 81,588 18,769
Retained profits
Retained profits at the beginning of the financial year 97,939 134,389
Net profit/ (loss) 81,588 18,769
Correction of 2009 TSI Fund distribution deducted in error 18,285 -
Less: Dividends paid (50,654) (55,219)
Retained profits at the end of the financial year 147,158 97,939