Note 01
Summary of significant accounting policies
The principal accounting policies adopted in the
preparation of the financial report are set out
below. These policies have been consistently
applied to all the years presented, unless
otherwise stated. The financial report includes
financial statements for the consolidated entity
consisting of ARTC and its subsidiaries.
ARTC (the parent) is a company limited by shares
incorporated in Australia located off Sir Donald
Bradman Drive, Passenger Rail Terminal Rd, Mile
End, South Australia. The consolidated financial
statements of the Company as at and for the
year ended 30 June 2012 comprise the Company
and its subsidiaries together referred to as the
“Group”. The ultimate controlling entity of the
Group is the Commonwealth Government.
The financial report of ARTC for the year ended
30 June 2012 was authorised for issue in
accordance with a resolution of the Directors on
29 August 2012.
(a) Basis of preparation of
financial report for the year ended
30 June 2012
This general purpose financial report has
been prepared in accordance with Australian
Accounting Standards, the requirements of the
Corporations Act 2001 and other authoritative
pronouncements of the Australian Accounting
Standards Board. Australian Rail Track
Corporation Ltd is a for profit entity for the
purpose of preparing the financial statements.
The financial report is presented in Australian
dollars and all values are rounded to the nearest
thousand dollars ($’000) unless otherwise stated
under the option available to the Group under
ASIC Class order 98/100. The Group is an entity
to which the class order applies.
The financial report is prepared on a historical
cost basis except for certain classes of plant
and equipment, the defined benefit fund plan
liability and derivatives which are measured at
fair value.
(i) Compliance with IFRS
The financial report complies with Australian
Accounting Standards as issued by the Australian
Accounting Standards Board and International
Financial Report Standards (IFRS) as issued by
the International Accounting Standards Board.
(ii) New and amended standards adopted by
the Group
The following new standards and amendments to
standards are mandatory for the first time for the
financial year beginning 1 July 2011
••
Revised AASB 124 Related Party Disclosures
and AASB 2009‑12 Amendments to
Australian Accounting Standards (effective
from 1 January 2011)
••
AASB 2009‑14 Amendments to Australian
Interpretation ‑ Prepayments of a Minimum
Funding Requirement (effective from
1 January 2011)
••
AASB 2010‑3 Amendments to Australian
Accounting Standards arising from the
Annual Improvements Project and AASB
2010‑4 Further Amendments to Australian
Accounting Standards arising from the
Annual Improvements Project (effective from
1 January 2011)
••
AASB 2010‑6 Amendments to Australian
Accounting Standards ‑ Disclosures on
Transfers of Financial Assets (effective for
annual reporting periods beginning on or
after 1 July 2011)
The adoption of these standards did not have any
material impact on the current period or any prior
period and is not likely to affect future periods.
(iii) Early adoption of standards
The Group has not elected to apply any
pronouncements before their operative date in
the annual reporting period beginning 1 July 2011.
(iv) Significant accounting estimates
and judgements
The preparation of financial statements in conform-
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