Annual Report and Accounts 2006
Notes to the Financial Statements
30. Minority interests
| Equity £m |
Non-equity £m |
Total £m |
|
|---|---|---|---|
| At 29 December 2003 | 18 | 225 | 243 |
| Exchange rate adjustments | (1) | (16) | (17) |
| Share of profit after taxation | 4 | 18 | 22 |
| Dividends declared | – | (19) | (19) |
| At 2 January 2005 | 21 | 208 | 229 |
| Exchange rate adjustments | 3 | 11 | 14 |
| Share of profit after taxation | 5 | 6 | 11 |
| Redemption of QUIPS | – | (219) | (219) |
| Dividends declared | (1) | (6) | (7) |
| Purchase of shares from minorities | (1) | – | (1) |
| At 1 January 2006 | 27 | – | 27 |
| Exchange rate adjustments | (1) | – | (1) |
| Share of profit after taxation | (4) | – | (4) |
| Dividends declared | (4) | – | (4) |
| Share of other movements in equity | (1) | – | (1) |
| Purchase of shares from minorities | (9) | – | (9) |
| At 31 December 2006 | 8 | – | 8 |
As at 31 December 2006, Cadbury Nigeria is in a net liabilities position. The minority interest has no contractual obligation to meet these liabilities, consequently no minority interest asset has been recognised.
On 12 April 1995, Cadbury Schweppes Delaware LP, a wholly owned subsidiary, issued 16 million 8.625% Cumulative Guaranteed Quarterly Income Preferred Securities with an aggregate liquidation preference of USD 400 million (the “QUIPS”) for proceeds of USD 400 million. On 18 April 2005, the QUIPS were redeemed in full for a total consideration of £219 million. Distributions on the QUIPS were cumulative and payable at an annual rate of 8.625% of the liquidation amount, quarterly in arrears. The QUIPS were not subject to redemption, but were repayable solely at the issuer's option, in the whole or in part, since 12 April 2002 for a cash redemption price equal to USD 25 per preferred security. These securities were traded on the New York Stock Exchange. The Company fully and unconditionally guaranteed any distributions declared by Cadbury Schweppes Delaware to the holders of QUIPS. In the event that dividends to the holders of QUIPS had been in arrears, the Company would have been unable to declare a dividend on its ordinary share capital until such time as the outstanding dividends to the holders of the QUIPS had been satisfied in full.