Skip to Content

Note 9: Provisions

Provisions
  2013 2012
  $'000 $'000
Note 9A. Employee Provisions Annual leave 23,142 22,943
Long service leave 45,092 50,444
Other employee provisions 209 192
Total employee provisions 68,443 73,579
Employee provisions are expected to be settled in: No more than 12 months 20,424 21,075
More than 12 months 48,019 52,504
Total employee provisions 68,443 73,579
Note 9B. Other Provisions Provision for restoration obligations 5,880 6,106
Operating leases straight-lining 2,318 1,586
Other - 1,630
Total other provisions 8,198 9,322
Other provisions are expected to be settled in: No more than 12 months - 1,630
More than 12 months 8,198 7,692
Total other provisions 8,198 9,322

Reconciliation of other provisions:

Reconciliation of Other Provisions
  Operating leases straight-lining Provision for restoration on leased property Other Total
  $’000 $’000 $’000 $’000
Carrying amount 1 July 2012 1,586 6,106 1,630 9,322
Additional provisions made 732 - - 732
Amounts used - - (1,630) (1,630)
Amounts reversed - - - -
Unwinding of discount or change in discount rate - (226) - (226)
Closing balance 2013 2,318 5,880 - 8,198

DVA currently has 17 agreements for the leasing of premises which have provisions requiring DVA to restore the premises to their original condition at the conclusion of the lease. DVA has made a provision to reflect the present value of this obligation.

Operating lease payments are expensed on a straight-line basis which is representative of the pattern of benefits derived from the leased assets.

Other provisions were recognised as a result of a liability of $1,630,000 as at 30 June 2012 in connection with vacated leased premises. The liability was paid in full during 2013.

Average: 1 (2 votes)