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NOTES TO THE GROUP ANNUAL FINANCIAL STATEMENTS
CONTINUED
For the year ended 31 May 2015
147
BLUE LABEL INTEGRATED ANNUAL REPORT 2015
2014
R’000
9.
TRADE AND OTHER RECEIVABLES continued
Provision for impairment of receivables
Balance at the beginning of the year
15 665
7 639
Allowances made during the year
6 994
5 097
Acquisition/(disposal) of subsidiaries
—
6 462
Amounts utilised and reversal of unutilised amounts
(11 732)
(3 533)
At 31 May
10 927
15 665
Impairment of receivables is determined after assessing the nature of the customer, their geographic
location and specific circumstances.
The Group believes that the above provision for impairment of receivables sufficiently covers the risk
of default.
There is a cession of trade receivables of R2.485 billion (2014: R2.011 billion) in favour of Investec
Bank Limited as security for facilities referred to in note 3.
2015
R’000