McConnell Dowell 2020 Annual Review

87 Annual Review 2020 All figures are in A$ 000’s 2020 2019 2020 2019 18. Commitments Minimum Payments Minimum Payments Present Value of Payments Present Value of Payments Finance lease commitments The future minimum lease payments under finance leases are as follows: - - less than one year 121 54 114 51 - more than one year but less than five years 361 193 341 182 - more than five years - - - - Total minimum lease payments 482 247 455 233 Less amounts representing finance charges (70) (43) (66) (41) Present value of minimum lease payments 412 204 389 192 Lease liabilities Maturity analysis - contractual undiscounted cash flows - less than one year 9,713 - - more than one year but less than five years 15,808 - - more than five years 4,731 - Total undiscounted lease liabilities 30,252 - Less: future finance charges (4,197) - Present value of minimum lease payments 26,055 - Current 8,300 - Non-current 17,755 - The Group has applied AASB 16 using the modified retrospective approach. As such, the prior year lease liability disclosure includes finance lease liabilities under AASB 117, and not restated AASB 16 lease liabilities. 19. Contingent Liabilities Contingent liabilities at balance date, not otherwise provided for in the annual financial statements, arising from guarantees in the normal course of business from which it is anticipated that no material liabilities will arise: - bank guarantees 25,806 33,016 - letters of credit 12,166 1,091 - insurance bonds 287,402 262,435 Total contingent liabilities 325,374 296,542 The Group has banking and bonding facilities of $465.0 million (2019: $479.0 million). The assets of the Group are pledged under a fixed and floating charge as security for the United Overseas Bank facility of $100.0 million. As at 30 June 2020, the Group had $139.0 million (2019: $182.5 million) available (unused) under these facilities. The Group sometimes has claims that arise out of engineering and construction contracts that have been made by or against the Group in the ordinary course of business. Please refer to Significant Accounting Judgements, Estimates and Assumptions in Note 1 for further information. The Group is subject to routine tax audits via the ATO in Australia and in certain other overseas jurisdictions. The ultimate outcome of any tax audit cannot be determined within any acceptable degree of reliability at this time. The Group believes that it is making adequate provision for its taxation liabilities (including amounts shown as current and deferred tax liabilities). However, there may be an impact to the Group if any revenue authority investigations results in an adjustment that increases the Group’s taxation liabilities. Consolidated