| NOTES TO THE GROUP ANNUAL FINANCIAL STATEMENTS l NOTE 3.1.1 |
|
| 3.1.1 |
Loans receivable
Loans and receivables
Loans and receivables are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market. These assets are included in current assets, except for maturities greater than 12 months after the statement of financial position date, which are classified as non-current assets. |
| |
2016
R’000 |
|
2015
R’000 |
|
| Interest-free loans |
53 189 |
|
41 041 |
|
| Interest-bearing loans receivable |
50 938 |
|
33 261 |
|
| |
104 127 |
|
74 302 |
|
| Less: Amounts included in current portion of loans receivable |
(98 217) |
|
(44 569) |
|
| |
5 910 |
|
29 733 |
|
All loans receivable are unsecured and repayable within five years. Interest-bearing loans bear interest at a range of between prime and prime plus 4%.
The loans receivable are neither past due nor impaired with a low risk of default. Of this amount, R47 million (2015: R19 million) relates to loans receivable from related parties, of which R21 million (2015: R19 million) is interest free. Refer to note 8.
The Group considers its maximum exposure in respect of loans receivable, without taking into account any collateral and financial guarantees, to be as follows:
| |
2016
R’000 |
|
2015
R’000 |
|
| Group 1 |
5 427 |
|
— |
|
| Group 2 |
98 340 |
|
74 083 |
|
| Group 3 |
360 |
|
219 |
|
| |
104 127 |
|
74 302 |
|
The rating groups for counterparties are categorised as follows:
Group 1 – New customers/related parties (less than six months).
Group 2 – Existing customers/related parties (more than six months) with no defaults in the past.
Group 3 – Existing customers/related parties (more than six months) with some defaults in the past.
All defaults were fully recovered or are in the process of being recovered. |
| NOTES TO THE GROUP ANNUAL FINANCIAL STATEMENTS l NOTE 3.1.1 |
|
|