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Notes to the Consolidated Financial Statements


                                                                                                 31st March 2017


             2    SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)


                  2.18 Borrowings

                       Borrowings are recognised initially at fair value, net of transaction costs incurred. Borrowings are
                       subsequently  stated  at  amortised  cost;  any  difference  between  the  proceeds  (net  of  transaction
                       costs)  and  the  redemption  value  is  recognised  in  the  consolidated  income  statement  over  the
                       period of the borrowings using the effective interest method.


                       Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to
                       the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee
                       is deferred until the draw-down occurs. To the extent there is no evidence that it is probable that
                       some or all of the facility will be drawn down, the fee is capitalised as a pre-payment for liquidity
                       services and amortised over the period of the facility to which it relates.

                       Borrowings are classified as current liabilities unless the Group has an unconditional right to defer
                       settlement of the liability for at least 12 months after the end of the reporting period.


                  2.19 Borrowing costs

                       All borrowing costs are recognised in the consolidated income statement in the period in which
                       they are incurred.

                  2.20 Current and deferred income tax


                       The  tax  expense  for  the  year  comprises  current  and  deferred  tax  and  is  recognised  in  the
                       consolidated income statement, except to the extent that it relates to items recognised in other
                       comprehensive  income  or  directly  in  equity.  In  this  case  the  tax  is  also  recognised  in  other
                       comprehensive income or directly in equity, respectively.

                      (a)  Current income tax


                           The  current  income  tax  charge  is  calculated  on  the  basis  of  the  tax  laws  enacted  or
                           substantively  enacted  at  the  balance  sheet  date  in  the  countries  where  the  Company  and
                           its  subsidiaries  operate  and  generate  taxable  income.  Management  periodically  evaluates
                           positions taken in tax returns with respect to situations in which applicable tax regulation is
                           subject to interpretation. It establishes provisions where appropriate on the basis of amounts
                           expected to be paid to the tax authorities.
















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