Regulatory News

REG - Nordic Land PLC - Half Yearly Report - Part 2

Released: 16/12/2009

- Part 2: For the preceeding part double click [ID:nRSP1849Ea]

Note 14 Borrowings

             As at                 As at                 As at
             30 September          30 September          31 March 
             2009                   2008                 2009
             £000                  £000                  £000
 
Amounts
falling due
after more
than one
year:
 
Bank loans   53,895                47,685                50,013
 
Unamortised  (279)                 (353)                 (317)
borrowing
costs
 
             53,616                47,332              49,696
 
The bank loans represent borrowings of SEK 602.7 million (30 September 2008:
SEK 592.7 million; 31 March 2009: SEK 592.7 million).  The
weighted-average interest rate on loans of SEK 592.7 million is 5.45% per
annum. The interest rates on these loans are fixed until maturity of the
borrowings in April 2012, with an option to extend for a further year. The
interest rate on the loan of SEK 10 million is variable.

The bank loans are secured on the shares of the borrowing subsidiaries and
their investment properties. There are no loan to value covenants.

The loans have been accounted for at amortised cost at the Statement of
Financial Position date, in accordance with IFRS, and the fair value is
disclosed below.  Nordic Land's only obligation is to repay the loans at
par value at maturity.

The Group has now drawndown SEK 10 million (£0.9 million) from the capital
expenditure facility with the lender, leaving a further SEK 100 million
(£8.9 million) available for future drawdown. However, the facility expires
on 30 December 2009.

The Directors estimate that the book value and fair value of the Group's
bank loans are:

           Book      Fair     Book      Fair      Book    Fair
            value    value     value    value      value   value
           30        30        30        30         31     31
           September  September  September   September  March   March
           2009      2009      2008       2008       2009   2009
           £000     £000     £000     £000      £000   £000
                                                                  
Bank loans 53,895     57,208     47,685     47,616      50,013   54,013

The gearing ratio at the period end is as follows:

                                As at
             As at              30           As at
             30 September       September    31 March
             2009               2008       2009
             £000               £000        £000
                                                                    
Bank loans   53,616             47,332        49,696
Cash and
cash
equivalents  (5,638)            (5,702)       (5,336)
                            
Net debt     47,978              41,630       44,360
                                                                         
Value of
investment
properties   64,568              63,281       64,203
                                                                         
Net gearing        
ratio         74.3%               65.8%         69.1%
                                                                         
Gross
gearing
ratio          83.0%              74.8%         77.4%
        

Note 15 Deferred tax liability


                             As at        As at        As at    
                             30 September 30 September 31 March 
                             2009          2008        2009     

                             £000         £000         £000     

                                                                      

Opening balance              1,403          2,138          2,138      

Net credit for period        (967)          (156)          (710)      

Foreign exchange differences    16          (117)          (25)       

Closing balance                452          1,865         1,403 


Note 16 Net asset value per share

                       As at           As at           As at
                       30 September    30 September    31 March
                       2009             2008           2009
                       £000            £000            £000
                                                            
Net assets             13,843            18,100          16,645
Adjust for:                                                 
      Fair value
of derivative
financial instruments  -                 (69)              -
      Deferred
tax on revaluation of
investment properties    452             1,865             1,403
EPRA net assets       14,295            19,896            18,048
                                                            
Net asset value per
share – basic and
diluted                £0.70             £0.91             £0.84
                                                            
EPRA net asset value
per share – basic
and diluted            £0.72             £1.00             £0.91
                                                            
Number of ordinary
shares in issue at
period end         19,859,561        19,859,561        19,859,561
                                                                 

Net asset value per share has been calculated by dividing the net assets
attributable to the equity shareholders of the Company by the number of
ordinary shares in issue at the period end.

EPRA net asset value per share is the net asset value per share of the
Company adjusted to exclude the effect of deferred tax relating to the
revaluation of investment properties and the fair value of derivative
financial instruments net of attributable taxation.

Basic and diluted net asset value per share are the same, as the issued
share options are currently anti-dilutive.

Note 17 Financial risk management

During the six months to 30 September 2009, the Group's financial risk
management policies were consistent with those disclosed in the consolidated
financial statements for the year ended 31 March 2009.

Note 18 Interim report

The report is available on the Company's website: www.nordicland.com

The interim report for the period from 1 April to 30 September 2009 will
be sent to shareholders in due course.

This information is provided by RNS
The company news service from the London Stock Exchange
 
END 
 
IR FFUEEISUSEIE

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