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NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2016
Annual Report 2016 91
Notes to the consolidated financial statements
30 June 2016
(continued)
18 Reserves (continued)
(a) Movements in reserves (continued)
Hedging
reserve
$'000
Share- based
payments
reserve
$'000
Acquisition
reserve
$'000
Foreign
currency
translation
reserve
$'000
Total
$'000
Balance at 1 July 2015
-
13,057
3,142
(8)
16,191
Reclassification on adoption of AASB
9, net of tax
(1,036)
-
-
-
(1,036)
Adjusted balance at 1 July 2015
(1,036)
13,057
3,142
(8)
15,155
Revaluation - gross
577
-
-
-
577
Deferred tax
(173)
-
-
-
(173)
Share-based payment expenses
-
819
-
-
819
Issue of shares under the Employee
Performance Rights Plan
-
(3,505)
-
-
(3,505)
Balance at 30 June 2016
(632)
10,371
3,142
(8)
12,873
Balance at 1 July 2014
(2,038)
12,372
3,142
-
13,476
Revaluation - gross
4,349
-
-
-
4,349
Deferred tax
(1,305)
-
-
-
(1,305)
Transfer to profit or loss - gross
(1,237)
-
-
-
(1,237)
Deferred tax
231
-
-
-
231
Currency translation differences -
current period
-
-
-
(8)
(8)
Share-based payment expenses
-
2,949
-
-
2,949
Issue of shares under the Employee
Performance Rights Plan
-
(2,264)
-
-
(2,264)
Balance at 30 June 2015
-
13,057
3,142
(8)
16,191
(b) Nature and purpose of reserves
Hedging reserve
The hedging reserve is used to record gains or losses on derivatives that are designated and qualify as cash flow
hedges and that are recognised in other comprehensive income. Amounts are reclassified to profit or loss when the
associated hedged transaction affects profit or loss.
Share-based payments reserve
The share-based payments reserve is used to record the value of share-based payments provided to employees,
including key management personnel, as part of their remuneration. Refer to note 26 for further details of these plans.
Foreign currency translation reserve
Exchange differences arising on translation of the foreign controlled entity are recognised in other comprehensive
income and accumulated in a separate reserve within equity. The cumulative amount is reclassified to profit or loss
when the net investment is disposed of.
Acquisition reserve
The acquisition reserve is used to record differences between the carrying value of non-controlling interests and the fair
value of the shares issued, where there has been a transaction involving non-controlling interests that do not result in a
loss of control. The reserve is attributable to the equity of the parent.
Independence Group NL
63