Lendlease Annual Report 2022

Financial Statements 147 June 2022 June 2021 20.c. Investment Properties $m $m At balance date, capital commitments existing in respect of the purchase, construction or development of investment properties, contracted but not provided for in the financial statements, are as follows: Due within one year 76 5 Due between one and five years 162 227 Due later than five years - - Total 238 232 21. Loans and Receivables Accounting Policies Loans and receivables, which include trade and other receivables, are non derivative financial assets with fixed or determinable payments that are not equity securities. They arise when the Group provides money, goods or services directly to a debtor with no intention of trading the receivable. Contract debtors represent receivables where the right to receive payment from customers remains conditional. Other receivables include receivables related to investment management, property development and miscellaneous items. Loans and receivables are carried at amortised cost using the effective interest method, which applies the interest rate that discounts estimated future cash receipts over the term of the loans and receivables. Cash flows relating to short term trade and other receivables are not discounted if the effect of discounting is immaterial. The discount, if material, is then recognised as revenue over the remaining term. The Group assesses provision for impairment of loans and receivables based on expected loss, and books a provision if material. The Group considers reasonable and supportable information that is relevant and available. This includes both quantitative and qualitative information and analysis, based on the Group’s historical impairment experience, credit assessment of customers and any relevant forward looking information. The amount of the provision is recognised in the Income Statement. Retentions receivable on construction contracts represent deposits held by the Group until the satisfaction of conditions specified in the contract are met. June 2022 June 2021 Note $m $m Current Trade receivables 726 602 Less: Impairment (13) (12) 713 590 Related parties 208 185 Retentions 259 279 Contract debtors 21.a 291 247 Accrued income 21.a 82 78 Other receivables 480 362 Total Current 2,033 1,741 Non Current Trade receivables 2 - Related parties 589 570 Less: Impairment (5) (4) 586 566 Retentions 71 70 Other receivables 1,239 1,235 Total non current 1,896 1,871 Total loans and receivables 3,929 3,612 As at the reporting date, $603 million of the trade receivables were current (30 June 2021: $478 million) and $123 million were past due (30 June 2021: $124 million). Of the past due amount, $110 million was not impaired (30 June 2021: $112 million). ‘Past due’ is defined under accounting standards to mean any amount outstanding for one or more days after the contractual due date. Of the total trade debtors, 7.7 per cent (30 June 2021: 6.5 per cent) are aged greater than 90 days. Other than trade debtors, no other loans and receivables are considered past due at 30 June 2022 (30 June 2021: $nil).