Annual Report & ACCOUNTS for the year ended 30 June 2014

HYR 2014

2014
£000
2013
£000
Current liabilities:
Bank loans10,000
Finance lease obligations103338
Arrangement fees netted off(588)
1039,750
Non-current liabilities:
Bank loans32,039105,073
Finance lease obligations7142
Arrangement fees netted off(386)(1,375)
31,660103,840
Total borrowings31,763113,590

At 30 June 2014, the Group's borrowing facilities comprise a £65.0 million revolving credit facility committed until 31 October 2016, of which £32.0 million was drawn down at 30 June 2014, and various finance lease obligations. In September 2013, the proceeds from the divestment of the Services Segment were used to pay down the term loan in full and partly pay down the revolving credit facility. This gave rise to a loss on extinguishment of debt of £1,213,000.

Resetting of foreign currency borrowings within the Consolidated Statement of Cash Flows relates to the cash adjustment required to ensure the movements in foreign exchange rates do not result in the committed revolving credit facility being exceeded.

In September 2014, the Group refinanced its existing bank facility, which will give rise to a loss on extinguishment of debt of £386,000 in the year ending 30 June 2015. The Group's revised borrowing facility comprises a £90.0 million revolving credit facility and a £30.0 million Accordion facility committed until September 2019 and various finance lease obligations.

At the year end, the Group had the following unutilised borrowing facilities:

2014
£000
2013
£000
Bank overdraft facility10,000

The current revolving credit facility is secured by a fixed and floating charge on the assets of the Group. Interest is charged at 2.50% over LIBOR or the applicable base rate. All covenants were met during the year ended 30 June 2014.

The revised borrowing facility is not secured on any assets of the Group but is supported by a joint and several cross-guarantee structure. Interest will be charged at 1.30% over LIBOR.

The maturity of the bank loans and overdrafts is as follows:

2014
£000
2013
£000
Payable:
Within one year10,000
Between one and two years32,03910,000
Between two and five years95,073
32,039115,073

The minimum lease payments and the present value of minimum lease payments payable under finance lease obligations are:

Minimum lease
payments
Present value of
minimum lease
payments
2014
£000
2013
£000
2014
£000
2013
£000
Within one year103361103338
Between one and two years71377134
Between two and five years88
Total minimum lease payments110506110480
Future finance charges(26)
Present value of lease obligations110480110480

Further information on the interest profile of borrowings is shown in note 22.