RWS Annual Report 2022 web - Flipbook - Page 159
8. DEBTORS
Amounts owed by Group undertakings
Prepayments
Amounts due within one year
2022
£m
2021
£m
232.0
212.5
0.3
0.4
232.3
212.9
Included within amounts owed by Group undertakings is an amount of £5.0m (2021: £5.0m) that is due after more than
one year. The debtor incurs interest at a rate equivalent to the Parent Company’s external debt facility and is repayable
on 18 October 2027. All other amounts owed by Group undertakings are unsecured, interest free and repayable on
demand. An Expected Credit Loss (ECL) is recognised against amounts owed, only when it is considered to be material
and there is evidence that the credit worthiness of a counterparty may render the balances irrecoverable. Management
have considered the balances owed by Group undertakings and concluded any ECL to be immaterial.
9. LOANS
Loans due in more than one year
2022
£m
2021
£m
29.3
35.2
On 3 August 2022, the Group entered into an Amendment and Restatement Agreement (“ARA”) with its banking
syndicate which amended its existing US$120m RCF maturing on 10 February 2024, to a US$220m RCF Facility maturing
on 3 August 2026 with an option to extend maturity to 3 August 2027.
Under the terms of the ARA, the Group’s interest margin over the Secured Overnight Financing Rate (“SOFR”) reference
interest rate ranges from 95bps to 195bps and is dependent on the Group’s net leverage. Commitment fees are payable
on all committed, undrawn funds at 35% of the applicable interest margin. The ARA also contains a US$100 million
uncommitted accordion facility.
The debt refinancing was accounted for as a debt modification without extinguishment resulting in a nominal debt
modification gain being recognised in the parent company’s statement of comprehensive income of £5k.
All transaction costs incurred in amending and re-stating the RCF have been capitalised and are being amortised over
the 4-year term of the facility on a straight-line basis. Currently all Group borrowings under the RCF are denominated in
USD.
10. TRADE AND OTHER PAYABLES
Amounts owed to Group undertakings
2022
£m
2021
£m
-
7.6
Other taxes and social security costs
0.1
-
Other payables
1.0
0.8
Accruals
2.7
2.4
Deferred consideration
1.5
1.5
Total Other creditors
5.3
12.3
Trade Creditors
0.6
0.1
Amounts due within one year
5.9
12.4
Amounts owed to Group undertakings are unsecured, interest free, have no fixed date of repayment and are repayable
on demand.
NOTES TO THE PARENT COMPANY FINANCIAL STATEMENTS
RWS — Annual Report 2022
159
