Financial Statements

Date

20 October 1999

Department of the Treasury
Statement by the Departmental Secretary

In my opinion, the attached financial statements give a true and fair view of the matters required by Schedule 2 to the Finance Minister

’s Orders made under section 63 of the Financial Management and Accountability Act 1997.

Signed

E. A. Evans
Secretary to the Treasury
October 1999

Agency Revenues and Expenses

for the year ended 30 June 1999


	Notes	1998-99 $’000	1997-980 $’00

NET COST OF SERVICES
Expenses
Employees	4A	36,242	31,886
Suppliers	4B	16,602	17,451
Depreciation and amortisation	4C	1,949	1,643
Loss on sale of assets		556
Interest		10	13
Expenses of business operations	4D	30,808	24,520

Total expenses		86,167	75,513

Revenues from independent sources
Net gains from sale of assets	7A		2
Other revenues from independent sources	8	2,193	972
Revenues of business operations	7B	30,930	25,312

Total revenues from independent sources		33,123	26,286

Net cost of services		53,044	49,227


REVENUES FROM GOVERNMENT
Appropriations used for:
Ordinary annual services (net appropriations)	9A,20	50,449	50,137
Other services		350	113
Resources received free of charge	9B	293	534

Total revenues from government		51,092	50,784

Operating surplus before extraordinary items		(1,952)	1,557

Net revenues or expenses from extraordinary items:
Restructuring	6A	(499)	(62)
Company tax equivalent for business operations	2.17	(598)

Operating surplus		(3,049)	1,495
Accumulated results at 1 July		8,340	6,845
Capitalisation of assets	6B	7,652
Capital injection (1998-99 carryover)		3,763

Accumulated results at 30 June	12A	16,706	8,340

The above statement should be read in conjunction with the accompanying notes.

Administered Revenues and Expenses

for the year ended 30 June 1999


	Notes	1998-99 $'000	1997-98 $’000

REVENUES
Non taxation
Interest revenue	7C	1,880,638	1,692,913
Dividend revenue	2.21		2,729,654
Net Foreign exchange gains	2.19	586,196
Revenue arising from securities other than trading securities	7E	281,139	246,267
Other administered revenue	7F	9,337,712	9,136,515

Total revenues		12,085,685	13,805,349


EXPENSES
Grants	5	17,394,217	16,931,550
Net foreign exchange losses			2,698,393
Interest and other financing costs	4F	8,549,837	8,728,490
Other administered expenses	4G	999,121	7,125,009

Total expenses		26,943,175	35,483,442

Net cost to government		(14,857,490)	(21,678,093)

TRANSFERS
Cash from the Official Commonwealth Public Account		101,178,986	106,369,105
Special appropriations accrued		3,195,537
Cash to the Official Commonwealth Public Account		(79,330,137)	(76,016,938)

Net change in administered net assets before extraordinary items		10,186,896	8,674,074

Net revenues from extraordinary items			95,910

Net change in administered net assets		10,186,896	8,769,984

Accumulated results at 1 July		(92,453,310)	(127,687)
Change in accounting policy			(101,095,607)

Accumulated results at 30 June		(82,266,414)	(92,453,310)

The above statement should be read in conjunction with the accompanying notes.

Agency Assets and Liabilities

as at 30 June 1999


	Notes	1998-99 $’000	1997-98 $’000

DEBT
Leases	10A	1,501	22

Total debt		1,501	22

PROVISIONS AND PAYABLES
Employees	11A	13,408	12,742
Suppliers	11B	1,126	1,044
Other	11C	4,965	1,147

Total provisions and payables		19,499	14,933

Total liabilities		21,000	14,955

EQUITY
Accumulated results		16,706	8,340
Reserves		5,673	4,463

Total equity	12A	22,379	12,803

Total liabilities and equity		43,379	27,758

FINANCIAL ASSETS
Cash	13A	547	36
Receivables	13B	4,732	5,246
Investments	13C		1,368

Total financial assets		5,279	6,650

NON-FINANCIAL ASSETS
Infrastructure, plant and equipment	14A,B	10,576	8,085
Inventories	14C	13,193	5,962
Intangibles	14 A,B	7,505	366
Other	14D	6,826	6,695

Total non-financial assets		38,100	21,108

Total assets		43,379	27,758

Current liabilities		9,999	5,341
Non-current liabilities		11,001	9,614
Current assets		22,091	16,174
Non-current assets		21,288	11,584

The above statement should be read in conjunction with the accompanying notes.

Administered Assets and Liabilities

as at 30 June 1999


	Notes	1998-99 $'000	1997-98 $’000

DEBT
Government securities	10B	89,053,504	97,746,374
Loans	10C	4,346,721	3,523,963

Total debt		93,400,225	101,270,337

PROVISIONS AND PAYABLES
Grants	11D	25,000	27,500
Payables due to other financial institutions	11E	1,406,834	2,783,627
Other	11F	3,905,407	4,323,022

Total provisions and payables		5,337,241	7,134,149

Total liabilities		98,737,466	108,404,486

EQUITY
Accumulated results		(82,266,414)	(92,453,310)
Reserves		8,039,640	8,039,640

Total equity	12B	(74,226,774)	(84,413,670)

Total liabilities and equity		24,510,692	23,990,816

FINANCIAL ASSETS
Cash	13D	12,781	11,433
Receivables due from other financial institutions	13E	148,367	89,019
Loans and advances	13F	5,783,453	7,305,705
Other receivables	13G	3,287,225	2,806,067
Investments	13H	15,266,681	13,756,776

Total financial assets		24,498,507	23,969,000

NON-FINANCIAL ASSETS
Other deferred acquisition costs		12,185	21,816

Total non-financial assets		12,185	21,816

Total assets		24,510,692	23,990,816


Current liabilities		23,023,759	23,197,539
Non-current liabilities		75,713,707	85,206,947
Current assets		4,108,546	3,052,509
Non-current assets		20,402,146	20,938,307

The above statement should be read in conjunction with the accompanying notes.

Agency Revenues and Expenses by Program

for the year ended 30 June 1999


	Treasury		Royal Australian Mint		Total
	1998-99	1997-98	1998-99	1997-98	1998-99	1997-98
	$’000	$’000	$’000	$’000	$’000	$’000

NET COST OF SERVICES
Expenses
Employees	36,242	31,886			36,242	31,886
Suppliers	16,602	17,451			16,602	17,451
Depreciation and amortisation	1,949	1,643			1,949	1,643
Loss on sale of assets	556				556
Interest	10	13			10	13
Expenses of business operations			30,808	24,520	30,808	24,520

Total expenses	55,359	50,993	30,808	24,520	86,167	75,513

Revenues from independent sources
Net gains from sales of assets		2				2
Other revenues from independent sources	653	972	1,540		2,193	972
Revenues of business operations			30,930	25,312	30,930	25,312

Total revenues from independent sources	653	974	32,470	25,312	33,123	26,286

Net cost of services	54,706	50,019	(1,662)	(792)	53,044	49,227


REVENUES FROM GOVERNMENT
Appropriations used for:
Ordinary annual services (net appropriations)	50,449	50,137			50,449	50,137
Other services	350	113			350	113
Resources received free of charge	293	534			293	534

Total revenues from government	51,092	50,784			51,092	50,784

Operating result before extraordinary items	(3,614)	765	1,662	792	(1,952)	1,557
Restructuring	(499)	(62)			(499)	(62)
Company tax equivalent			(598)		(598)

Operating surplus/(deficit)	(4,113)	703	1,064	792	(3,049)	1,495

The above statement should be read in conjunction with the accompanying notes.

Administered Revenues and Expenses by Program

for the year ended 30 June 1999


	Treasury		Royal Australian Mint		Total
	1998-99	1997-98	1998-99	1997-98	1998-99	1997-98
	$’000	$’000	$’000	$’000	$’000	$’000

REVENUES
Non taxation
Interest revenue	1,880,638	1,692,913			1,880,638	1,692,913
Dividend revenue		2,729,654				2,729,654
Foreign exchange gains	586,196				586,196
Revenue from securities other than trading securities	281,139	246,267			281,139	246,267
Other	9,337,712	9,136,515			9,337,712	9,136,515

Total revenues	12,085,685	13,805,349			12,085,685	13,805,349

EXPENSES
Grants	17,394,217	16,931,550			17,394,217	16,931,550
Net foreign exchange losses		2,698,393				2,698,393
Interest and other financing costs	8,549,837	8,728,490			8,549,837	8,728,490
Other	999,121	7,125,009			999,121	7,125,009

Total expenses	26,943,175	35,483,442			26,943,175	35,483,442

Net cost to govt	(14,857,490)	(21,678,093)			(14,857,490)	(21,678,093)

TRANSFERS
Cash from the Official Commonwealth Public Account	101,178,986	106,369,105			101,178,986	106,369,105
Special appropriations accrued	3,195,537				3,195,537
Cash to the Official Commonwealth Public Account	(79,330,137)	(76,016,938)			(79,330,137)	(76,016,938)

Net change in administered net assets before extraordinary items	10,186,896	8,674,074			10,186,896	8,674,074

Net revenue from extraordinary items		95,910				95,910
Net change in administered net assets	10,186,896	8,769,984			10,186,896	8,769,984
Accumulated results at 1 July	(92,453,310)	(127,687)			(92,453,310)	(127,687)
Change in accounting policy		(101,095,607)				(101,095,607)

Accumulated results at 30 June	(82,266,414)	(92,453,310)			(82,266,414)	(92,453,310)

The above schedules should be read in conjunction with the accompanying notes.

Agency Cash Flows

for the year ended 30 June 1999


	Notes	1998-99 $'000	1997-98 $’000

OPERATING ACTIVITIES
Cash received
Appropriations		54,642	49,740
Sale of goods and services		33,613	24,651

Total cash received		88,255	74,391

Cash used
Employees		35,576	38,105
Suppliers		52,445	39,884
Interest		10	17

Total cash used		88,031	78,006

Net cash from operating activities	15A	224	(3,615)

INVESTING ACTIVITIES
Cash received
Proceeds from sales of infrastructure, plant and equipment		88	277

Total cash received		88	277

Cash used
Purchase of infrastructure, plant and equipment		2,740	1,658
Purchase of investments			750

Total cash used		2,740	2,408

Net cash used by investing activities		(2,652)	(2,131)


FINANCING ACTIVITIES
Cash Received
Transfer from Trust Fund		3,503

Total cash received		3,503

Cash used
Repayment of leases		564
Trust fund surplus transferred			505

Total cash used		564	505

Net cash used by financing activities		2,939	(505)

Net increase in cash held		511	(6,251)
add cash at 1 July		36	6,287

Cash at 30 June		547	36

The above schedules should be read in conjunction with the accompanying notes.

Administered Cash Flows

for the year ended 30 June 1999


	Notes	1998-99 $'000	1997-98 $’000

OPERATING ACTIVITIES
Cash received
Non taxation
Interest		1,851,497	1,991,220
Dividends		2,725,983	1,706,728
Cash from Official Commonwealth Public Account		26,666,714	31,841,379
Other		763,454	1,070,270

Total cash received		32,007,648	36,609,597

Cash used
Borrowing costs		8,857,424	9,467,110
Grants		17,396,717	16,934,050
Cash to Official Commonwealth Public Account		5,326,889	4,757,919
Other		111,946	5,351,744

Total cash used		31,692,976	36,510,823

Net cash from operating activities	15B	314,672	98,774

INVESTING ACTIVITIES
Cash received
Repayments of advances		1,671,837	158,119
Cash from Official Commonwealth Public Account		4,145,813	2,165,211
Other		3,599,074	2,101,654

Total cash received		9,416,724	4,424,984

Cash used
Purchase of equity instruments		11,330	19,772
Cash to Official Commonwealth Public Account		5,258,031	2,259,773
Other		4,134,483	2,158,319

Total cash used		9,403,844	4,437,864

Net cash from investing activities		12,880	(12,880)

FINANCING ACTIVITIES
Cash received
Proceeds from borrowing		61,077,791	60,038,086
Cash from Commonwealth Public Account		70,366,459	72,362,515
Other		8,606,106	10,166,867

Total cash received		140,050,356	142,567,468

Cash used
Repayment of debt		71,350,234	75,487,035
Cash to Commonwealth Public Account		68,745,218	68,999,246
Other		281,108	460,812

Total cash used		140,376,560	144,947,093

Net cash from financing activities		(326,204)	(2,379,625)

Net increase in cash held		1,348	(2,293,731)
Add cash at 1 July		11,433	2,305,164

Cash at 30 June	13D	12,781	11,433

The above schedules should be read in conjunction with the accompanying notes.

Schedule of Commitments

as at 30 June 1999


	Agency		Administered
	1998-99	1997-98	1998-99	1997-98
	$’000	$’000	$’000	$’000

OTHER COMMITMENTS
Operating leases	4,709	6,213
Other commitments	74	557

Total other commitments	4,783	6,770

COMMITMENTS RECEIVABLE

Net commitments	4,783	6,770


BY MATURITY
All net commitments
One year or less	2,769	3,405
From one to two years	1,016	2,790
From two to five years	998	575
Over five years

Net commitments	4,783	6,770


Operating lease commitments
One year or less	2,717	3,092
From one to two years	994	2,546
From two to five years	998	575
Over five years

Net commitments	4,709	6,213

Schedule of Contingencies

as at 30 June 1999


	Agency		Administered
	1998-99	1997-98	1998-99	1997-98
	$’000	$’000	$’000	$’000

CONTINGENT LOSSES
Uncalled shares			8,004,195	8,636,836
Claims for damages/costs ^{(Note 1)}	747	500

Total contingent losses	747	500	8,004,195	8,636,836


CONTINGENT GAINS
Claims for damages	10

Total contingent gains	10

Net contingencies	737	500	8,004,195	8,636,836

Note 1: This amount represents injury accident claims against Treasury. An amount of $400,000 has been settled subsequent to balance date.

The above schedules should be read in conjunction with the accompanying notes.

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