101
17.Share Capital and Members’ Shares (cont’d)
18.Provisions
December 31,
2014
December 31,
2013
December 31,
2014
December 31,
2013
$’000
$’000
$’000
$’000
At beginning of the year/period
28,335
23,660
27,255
22,498
Utilisation of provision
(676)
(198)
(513)
-
Provisions made during the year/period
3,298
4,873
3,025
4,757
At end of the year/period
30,957
28,335
29,767
27,255
(iii) be co-opted to hold office in the Society, where applicable;
(iv) participate and vote at general meetings; and
(v) enjoy all other rights, privileges or benefits provided under the By-Laws.
(e)
The Co-operative’s ordinary shares carry no right to fixed income.
This relates to the provision for reinstatement cost for the estimated costs of dismantlement, removal or restoration of
property, plant and equipment arising from the acquisition or use of assets, which are capitalised and included in the cost
of property, plant and equipment.
Movements in the provision are as follows:
A provision for reinstatement cost is recognised when the Group and the Co-operative have a legal and constructive
obligation to rectify wear and tear to leased premises under property lease agreements with external parties. The unexpired
lease terms range from 1 months to 12 years (December 31, 2013 : 2 month to 13 years). The provision is based on the best
estimate of the expenditure with reference to past experience. It is expected that these costs will be incurred after one year
from the date of the financial year. The provision is discounted using a current rate of 5% (December 31, 2013 : 5%) that
reflects the risks specific to the liability.
Notes to Financial Statements
December 31, 2014
GROUP
CO-OPERATIVE
