Page 29 - GMT and GMT Bond Issuer Annual Report 2017

GENERAL INFORMATION
continued
For the year ended 31 March 2017
New accounting standards not yet effective
The following new standards have not been early adopted in these consolidated nancial statements:
NZ IFRS 9
Financial Instruments
NZ IFRS 15
Revenue from Contracts with Customers
NZ IFRS 16 Leases
This standard will eventually replace NZ IAS 39 Financial Instruments – Recognition and Measurement. It addresses the classi cation, measurement and recognition of nancial assets and nancial liabilities, through a simpli ed mixed measurement model. It is required to be adopted by GMT in the nancial statements for the year ending 31 March 2019.
GMT has assessed the impact of this standard and no signi cant changes are expected to the recognition and reporting of nancial instruments compared to existing accounting policies.
This standard addresses the recognition of revenue from contracts with customers. It speci es the revenue recognition criteria governing the transfer of promised goods or services to customers in an amount that re ects the consideration to which the entity expects to be entitled in exchange for those goods or services. It is required to be adopted by GMT in the nancial statements for the year ending 31 March 2019.
GMT has assessed the impact of this standard and no signi cant changes are expected to the recognition of revenue compared to existing accounting policies.
This standard will replace the current guidance in NZ IAS 17. NZ IFRS 16 requires a lessee to recognise a lease liability re ecting future lease payments and a ‘right-of-use asset’ for almost every lease contract and does not distinguish between a nance lease and an operating lease. Included is an optional exemption for certain short-term leases and leases of low-value assets, which can only be applied by lessees but not lessors.
For lessors, the accounting for leases under NZ IFRS 16 is similar to NZ IAS 17.
The standard is required to be adopted by GMT in the nancial statements for the year ending 31 March 2020. Early adoption is permitted but only in conjunction with NZ IFRS 15.
GMT has assessed the impact of this standard and no signi cant changes are expected for reporting as a lessor (i.e. the owner of buildings) compared to existing accounting policies.
GMT is currently assessing the impact of NZ IFRS 16 on GMT’s occupational ground leases. The maximum impact of the standard will be determined by the ground leases in existence at the date of adoption, which is not yet practicable to determine.
GOODMAN PROPERTY TRUST ANNUAL REPORT 2017 FINANCIAL STATEMENTS
27 GENERAL INFORMATION