EFTA01367062.pdf

Amendment #4 Page 633 of 868 liehk ofcelSefen The Operating Entities recorded clepteoaton expense related to property. plant and equipment of R29 324 589 and Wiz for the years ended December 31. 2014 and 2013. respectively Inducted in the bats me of solar energy systems es captalized interest an expenditixes dreg,/ globule:1e to the construction of the sour energy systems of R115 407 221 and R19 031 454 as al December 31. 2014 and 2013 ru.szednth. Also inckcled n the balanm of solar energy systems is an asset fogging to the ARO, which is depreciated over the remaining term of the land lease Arnaunts totaling R41 264 442 and R14 670 965 were captalzed as at December 31. 2014 and 2013, respective)/ The ful value of the solar energy systems has been pledged as collateral against the longterm debt of lee Ogerabrg EMIes The far value of the property, ptant and equipment is considered to approximate is carrying amount for the years ended December 31. 2014 and 2013 7. Deferred financing costs OM issuance costs, compming legal fees wech were incurred by both Core and Enka in estadishing their loan beiges with ter Standard Bark of South Afnca Longed ('Standard Banc'). have been deferred on the balance sheet and are amateed based on the effectrxe interest rate over the period of Ire loan TM Omitting Entibes are also reamed to pay to an agent (for onward *stealon to Ire relevant lenders) a commitment fee don the facility anng a speeded availabaity penod The commitment tee is calculated daily dung me defined avat gamy period and is payable cparteny n arrears on March 31 June 30, September 30 and December 31 of each year. If an/ partion of Me avaiabla commitment under the I wady is canceled the ccrnmtnent fee is payable on any canceled amount at the tare the carcelabon is effective Corrrnament fees are deferred and amoneed on a straghsene basis acting the avaitalaity penod As at December 31, 2014 and 2013, deferred 1nanceg costs consist of December 31, December 31. Figures In ZAR 100 2014 2013 Current 150 1 004 Intnicutrent 1 472 1 622 1 822 2 828 Arrodizabon of debt issuance costs anointed to R146 974 and R39 421 for IM years ended December 31. 2014 and 2013 respectrrely Amoneaten of Calmatmerit fees arnourted to RI 054 893 and R13 720 873 for the years ended December 31, 2014 and 2013. respectively 8. Derivatives As part of the Operating Entities risk management strategy. Core and Enka separately entered info interest rate swaps to mibgate interest rate exposure Interest rate swap agreements are dilued ri order to econzencaly hedge the vanabilty of Operating Ertita' expected future cash interest payments, and are rot utilized for speculabve purposes These nap agreements were initiated in November 2012 concurrent with the inception rffl the term loan facilities with Standard Bark Because these hedges are deemed economic hedges and not acdounted for kilder hedge accounting the changes in fair value are recorded to the combined statement 01 operatons and comprehensive income F-313 http://cfdocs.btogo.com:27638/cf/drv7/pub/edgar/2015/07/20/0001193125-15-256461/d78... 7/20/2015 CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0058590 CONFIDENTIAL SDNY_GM_00204774 EFTA01367062