Annual and transition report of foreign private issuers pursuant to Section 13 or 15(d)

Provisions

v3.19.3.a.u2
Provisions
12 Months Ended
Jan. 31, 2019
Provisions [abstract]  
Provisions

20 Provisions

 

    31 January 2019
NZ $000’s
    31 January 2018
NZ $000’s
    31 January 2017
NZ $000’s
 
CURRENT                  
Lease contributions     179       412       480  
Onerous contracts     -       264       377  
Make good     742       430       671  
      921       1,106       1,528  

 

    31 January 2019
NZ $000’s
    31 January 2018
NZ $000’s
    31 January 2017
NZ $000’s
 
NON-CURRENT                  
Lease contributions     906       910       702  
Onerous contracts     -       -       176  
Make good     1,466       1,801       1,371  
      2,372       2,711       2,249  

 

    Lease contributions
NZ $000’s
    Onerous contracts
NZ $000’s
    Make good
NZ $000’s
    Total
NZ $000’s
 
Opening balance at 1 February 2018     1,321       264       2,230       3,815  
Additional provisions recognised     337       -       717       1,054  
Unused amounts reversed     -       -       (600 )     (600 )
Unwinding of discounts     -       -       (84 )     (84 )
Amounts used during the year     (510 )     (264 )     -       (774 )
Exchange differences     (62 )     -       (56 )     (118 )
Balance at 31 January 2019     1,086       -       2,208       3,294  

  

    Lease contributions
NZ $000’s
    Onerous contracts
NZ $000’s
    Make good
NZ $000’s
    Total
NZ $000’s
 
Opening balance at 1 February 2017     1,182       553       2,042       3,777  
Additional provisions recognised     635       -       595       1,230  
Unused amounts reversed     -       -       (658 )     (658 )
Unwinding of discounts     -       -       271       271  
Amounts used during the year     (547 )     (289 )     (77 )     (913 )
Exchange differences     50       (0 )     58       108  
Balance at 31 January 2018     1,321       264       2,230       3,815  

 

    Lease contributions
NZ $000’s
    Onerous contracts
NZ $000’s
    Make good
NZ $000’s
    Total
NZ $000’s
 
Opening balance at 1 February 2017     1,318       275       1,817       3,410  
Additional provisions recognised     145       508       353       1,006  
Unused amounts reversed     -       -       (112 )     (112 )
Unwinding of discounts     -       -       (9 )     (9 )
Amounts used during the year     (269 )     (230 )     -       (499 )
Exchange differences     (12 )     -       (7 )     (19 )
Balance at 31 January 2018     1,182       553       2,042       3,777  

 

  Onerous contracts
   
  The onerous provision relates to a head office lease for which the space is not fully utilised. The provision is calculated using a pre-tax discount rate of 10.25% (2018: 11.4%, 2017: 11.4%).
   
  Make good
   
  In accordance with certain lease agreements, the Group must refurbish and restore the lease premises to a condition agreed with the landlord at the end of the lease term or as prescribed. The provision has been calculated using a pre-tax discount rate of 2% (2018: 2%, 2017: 2%), and other market assumptions and re-assessed annually.
   
  During the 2018 financial year an additional $595 thousand was recognised in relation to new retail leases in Australia. As a result of the new Auckland office lease, make good requirements were reversed.