REG - Athelney Trust plc - Annual Financial Report <Origin Href="QuoteRef">ATTR.L</Origin> - Part 2

Athelney TrustAnnouncement

04/03/2016 07:00

- Part 2: For the preceding part double click  ID:nRSD8408Qa 

     2015       2014       
                                                £          £          
 Fair value through profit or loss investments  4,709,749  4,432,113  
 
 
Market risk also arises from changes in interest rates and exchange risk.  All
of the Company's assets are in sterling and accordingly the Company has
limited currency exposure.  The majority of the Company's financial assets are
non-interest bearing, as a result the Company's financial assets are not
subject to significant risk due to fluctuations in the prevailing levels of
market interest rates. 
 
The carrying amounts of financial assets best represent the maximum credit
risk exposure at the balance sheet date. Bankruptcy or insolvency of the
custodian may cause the Company's rights with respect to securities held with
the custodian to be delayed. 
 
Liquidity Risk 
 
Liquidity Risk is the risk that the Company may have difficulty in meeting
obligations associated with financial liabilities.  The company is able to
reposition its investment portfolio when required so as to accommodate
liquidity needs.  However it may be difficult to realise its investment
portfolio in adverse market conditions. 
 
Maturity Analysis of Financial Liabilities 
 
The Company's financial liabilities comprise of creditors as disclosed in note
10. All items are due within one year. 
 
Capital management policies and procedures 
 
The Company's capital management objectives are: 
 
·      to ensure the company's ability to continue as a going concern; 
 
·      to provide an adequate return to shareholders; 
 
·      to support the company's stability and growth; 
 
·      to provide capital for the purpose of further investments. 
 
The company actively and regularly reviews and manages its capital structure
to ensure and optimal capital structure, taking into consideration the future
capital requirements of the company and capital efficiency, projected
operating cash flows and projected strategic investments opportunities. The
management regards capital as total equity and reserves, for capital
management purposes. 
 
Fair values of financial assets and financial liabilities 
 
Fixed asset investments (see note 8) are valued at market bid price where
available which equates to their fair values. The fair values of all other
assets and liabilities are represented by their carrying values in the balance
sheet. 
 
Financial instruments by category 
 
The financial instruments of the Company fall into the following categories 
 
 31 December 2015                      At Amortised Cost£  Assets at fair value through profit or loss£  Total£     
 Assets as per the balance sheet                                                                                    
 Investments                           -                   4,709,749                                     4,709,749  
 Debtors                               124,368             -                                             124,368    
 Cash at bank                          39,493              -                                             39,493     
 Total                                 163,861             4,709,749                                     487,610    
                                                                                                                    
 Liabilities as per the balance sheet                                                                               
 Creditors                             15,379              -                                             15,379     
 Total                                 15,379              -                                             15,379     
 
 
 31 December 2014                      At Amortised Cost£  Assets at fair value through profit or loss£  Total£     
 Assets as per the balance sheet                                                                                    
 Investments                           -                   4,432,113                                     4,432,113  
 Debtors                               87,246              -                                             87,246     
 Cash at bank                          18,137              -                                             18,137     
 Total                                 105,383             4,432,113                                     4,537,496  
                                                                                                                    
 Liabilities as per the balance sheet                                                                               
 Creditors                             15,826              -                                             15,826     
 Total                                 15,826              -                                             15,826     
 
 
Fair value hierarchy 
 
In accordance with FRS 102, the Company must disclose the fair value hierarchy
of financial instruments. 
 
This classification has changed from previous disclosures under Financial
Reporting Standard 29. 
 
The fair value hierarchy consists of the following three classifications: 
 
Classification A - Quoted prices in active markets for identical assets or
liabilities. 
 
Quoted in an active market in this context means quoted prices are readily and
regularly available and those prices represent actual and regularly occurring
market transactions on and arm's length basis. 
 
Classification B - The price of a recent transaction for an identical asset,
where quoted prices are unavailable. 
 
The price of a recent transaction for an identical asset provides evidence of
fair value as long as there has not been a significant change in economic
circumstances or a significant lapse of time since the transaction took place.
If it can be demonstrated that the last transaction price is not a good
estimate of fair value (e.g. because it reflects the amount that an entity
would receive or pay in a forced transaction, involuntary liquidation or
distress sale), that price is adjusted. 
 
Classification C - Inputs for the asset or liability that are based on
observable market data and unobservable market data, to estimate what the
transaction price would have been on the measurement data in an arm's length
exchange motivated by normal business considerations. 
 
The Company only holds classification A investments (2014: classification A
investments only). 
 
13. Net Asset Value per Share 
 
The net asset value per share is based on net assets of £4,858,239 (2014:
£4,521,670) divided by 1,983,081 (2014: 1,983,081) ordinary shares in issue at
the year end. 
 
                    2015      2014    
                                      
 Net asset value    245.0p    228.0p  
 
 
14. Dividends paid to directors 
 
During the year the following dividends were paid to the directors of the
company as a result of their total shareholding: 
 
Mr Robin Boyle                                    £27,551 
 
Mr Hugo Deschampsneufs                £5,228 
 
Mr David Horner                                  £Nil 
 
This information is provided by RNS
The company news service from the London Stock Exchange