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## Notes to the Consolidated Financial Statements for the Year Ended 30 June 2014 

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## Foreign currency risk 

The Group has transactional currency exposures. Such exposure arises from licensing fees and royalties as well as expenditure by the Group in currencies other than the unit’s measurement currency. With the exception of unrealised movements on intercompany loans, foreign currency income and expenditure accounts for less than 15% of the Groups transactions and therefore management have assessed that movements in foreign exchange would not materially impact the financial statements. 

## Credit risk 

Credit risk arises from the financial assets of the Group, which comprise cash and cash equivalents, and trade and other receivables. The Group’s exposure to credit risk arises from potential counter party payment default, with a maximum exposure equal to the carrying amount. Exposures at each reporting date are assessed and disclosed in the financial statements. 

The Group does not hold any credit derivatives to offset its credit exposure. The Group trades only with recognised, creditworthy third parties and as such collateral is not requested. The Group does not securitise its trade and other receivables. 

Customers who wish to trade on credit terms are subject to credit assessment procedures which may include an assessment of their independent credit rating, financial position, past experience and industry reputation. Receivable balances are regularly monitored. There are no significant concentrations of credit risk within the Group. 

## NOTE 20: FINANCIAL INSTRUMENTS 

## Fair values 

Fair values of financial assets and liabilities are equivalent to carrying values due their short term to maturity. 

## NOTE 21: SHARE BASED PAYMENTS 

## Benitec Biopharma Limited Employees Share Option Plan (ESOP): 

## Description of plan 

The Group may from time to time issue employees options to acquire shares in the parent at a fixed price. Each option when exercised entitles the option holder to one share in the Company. Options are exercisable on or before an expiry date, do not carry any voting or dividend rights and are not transferable except on death of the option holder. 

## Share Options granted during the year 

The following options were issued to executives by Benitec Biopharma Limited under its ESOP and are unlisted. 

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