KU Financial Report
19. Contingent Liabilities
Bank Guarantee 22 October 1998 to Commonwealth
Bank Guarantee 31 January 1995 to Sydney City Council
Mortgage and facilities
2014
$ 2013
$
191,291
5,000
196,291 191,291
5,000
196,291
The National Australia Bank currently holds a mortgage over 129 York Street, Sydney which is their security over the
$1.2m market rate facility. This remains undrawn as at 31 December 2014.
20. Economic Dependency
As disclosed at note 5, a significant source of revenue is government funding. This funding supports programs for
early childhood education and care.
21. Related Party Disclosures
a) Directors’ compensation
The Directors act in an honorary capacity and receive no compensation for their services (2013: nil).
b) Transactions with Director-related entities
During the year, no amounts were paid to Director-related parties. No amounts are payable to or receivable
from Directors or Director related entities at the reporting date. If a Director utilises the services of KU
Children’s Services they pay the arms length market rates for provision of these services.
c) Key Management Personnel Remuneration
The aggregate compensation of the key executive management personnel of the Company is set out below:
Total compensation
1,500,848
1,413,852
22. Notes to the Cash Flow Statement
2014
$
2013
$
(a) Reconciliation of (Deficit)/Surplus for the period to Net
Cash Flows From Operating Activities
(Deficit)/Surplus for the period
Depreciation and Amortisation of non-current assets
Loss/(Gain) on sale of non current assets
Realised gain on investments
Dividends received
Interest received
Interest paid
Finance lease payments
Government capital funding
Finance Lease adjustments
Make good adjustments
Movements in working capital:
Decrease in trade receivables and other assets
Increase/(Decrease) in trade payables and other liabilities
Increase in provisions
Net cash generated from/(utilised in) operating activities
(159,103)
1,558,870
4,315
-
-
(666,897)
21,762
-
(413,785)
-
- 2,868,786
4,349,536
(441,734)
(1,495,630)
(90,904)
(635,758)
31,076
-
(1,000,973)
(738,626)
(1,554,194)
1,274,780
4,791,696
905,397
7,317,035 (806,512)
(2,403,182)
544,485
(1,373,630)
(b) Reconciliation of Cash and Cash Equivalents
For the purposes of the cash flow statement, cash and cash equivalents include cash at bank and on hand. Cash
and cash equivalents at the end of the financial year as shown in the Statement of Cash Flows is reconciled to
the related items in the balance sheet as follows:
Cash and cash equivalents
26,091,197
31,281,091
Cash includes $5,535,706 (2013: $3,159,928) which is held for disbursement in accordance with government
funding agreements and $6,727,274 (2013: $4,197,832) in relation to Work Based Services.
23. Term deposits
Term deposits
12,000,000
12,000,000
-
-
Term deposits comprise term deposit investments held with various banks. The maturity periods on these investments
from the date of purchase range between 6 to 7 months. In 2013, term deposits amounted to $12,000,000 and
matured within 3 months of the purchase date and were thus classified under cash and cash equivalents.
119th Annual Report 2014
39