27. CAPITAL AND FINANCIAL RISK MANAGEMENT
(continued)
Fair value hierarchy
(continued)
Offsetting financial assets and financial liabilities
(continued)
Under the agreements signed, the Trust and its counterparties neither have a legal obligation
nor intend to settle on a net basis or to realise the assets and settle the liabilities simultaneously.
In addition, the right of set-off of recognised amounts is enforceable only following the
occurrence of a termination event as set out in the agreements. Accordingly, the ISDA
agreements do not meet the criteria for offsetting and the derivatives financial instruments
presented below are not offset in the Statement of Financial Position.
Financial assets and liabilities subject to offsetting and enforceable master netting
arrangement under termination events
Gross
amounts of
recognised
financial
instruments
Gross amount
of recognised
financial
instruments
offset in the
statement of
financial
position
Net amounts
of financial
instruments
presented in
the statement
of financial
position
Related
amounts not
offset in the
statement of
financial
position Net amounts
$’000
$’000
$’000
$’000
$’000
31 December 2014
Financial assets
Interest rate swaps
1,481
–
1,481
(13)
1,468
Non-deliverable forward
66
–
66
(66)
–
1,547
–
1,547
(79)
1,468
Financial liabilities
Interest rate swaps
19
–
19
(13)
6
Non-deliverable forward
8,586
–
8,586
(66)
8,520
8,605
–
8,605
(79)
8,526
31 December 2013
Financial assets
Interest rate swaps
302
–
302
(139)
163
Non-deliverable forward
1,742
–
1,742
(1,240)
502
2,044
–
2,044
(1,379)
665
Financial liabilities
Interest rate swaps
1,090
–
1,090
(139)
951
Non-deliverable forward
4,118
–
4,118
(1,240)
2,878
5,208
–
5,208
(1,379)
3,829
28. SUBSEQUENT EVENTS
On 29 January 2015, the Manager declared a distribution of 4.83 cents per Unit to Unitholders
in respect of the period from 1 July 2014 to 31 December 2014.
Notes to the Financial Statements
146 | CapitaRetail China Trust Annual Report 2014
