Page 243 - Capricorn IAR 2020

NOTES TO THE CONSOLIDATED AND SEPARATE ANNUAL FINANCIAL STATEMENTS (continued)
for the year ended 30 June 2020
28. OTHER LIABILITIES
28.2 Lease liabilities
Group
2020 2019 N$’000 N$’000
Company
2019 N$’000
– – –
–
–
2020 INTEGRATED ANNUAL REPORT
Maturity analysis – contractual undiscounted cash flows
– Within one year 70,118 – Later than one year but not later than five years 163,510 – Later than five years 94,291
Total undiscounted lease liabilities 327,919
Lease liabilities included in statement of financial
position 327,919
Current 70,118 Non-current 257,801
The Group leases various offices, branches and houses. Rental contracts are typically made for fixed periods of five to 10 years, but may have extension options. The lease terms do not contain restrictions on the Group’s activities concerning further leasing, distribution of dividends or obtaining additional funding.
The weighted average lessee’s incremental borrowing applied to the lease liabilities on 1 July was 7.64%.
Amounts recognised in profit or loss
Interest on lease liabilities 29,230 Variable lease payments not included in measurement of
lease liabilities – Expenses relating to short-term leases 2,883 Expenses relating to leases of low value assets, excluding
short-term lease of low-value assets –
32,113
Amounts recognised in statement of cash flows
Total cash outflow for leases 89,617 – Interest rate sensitivities
The following interest rate sensitivity is based on the effect of changes to the incremental borrowing rate over a 12-month period on the interest expense
on lease liabilities.
100 basis points increase
– Increase in interest expense on lease liabilities 1,867 – 100 basis points decrease
– Decrease in interest expense on lease liabilities 2,788 –
–
– –
– –
–
– –
– – –
–
–
– –
–
– –
–
–
2020 N$’000
–
–
–
–
–
–
–
– –
–
–
–
–
–
–
–
–
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