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## Environmental regulation 

The Group is not subject to significant environmental regulation. 

## Events occurring after balance date 

On 13 July 2012, the Company announced that the Company and Plan B Group Holdings Limited (Plan B) had entered into a Bid Implementation Deed under which the Company, through a wholly owned subsidiary, proposes to acquire all of the ordinary shares in Plan B. Under the terms of the Bid Implementation Deed, the Company has agreed to pay $0.60 cash per Plan B share. The deed is subject to Plan B shareholder approval and as a result, no amounts have been recognised in the profit or loss or financial position of the Group at balance date. If accepted, the total consideration payable to shareholders is estimated at $49.1 million. 

IOOF will seek to enter into a Debt Facility with a suitable financial institution before or during the Offer Period. A suitable financial institution is one which has a suitable credit rating and significant experience in provision of credit to Australian corporate entities. 

Under the intended Debt Facility, IOOF will seek funding up to $50 million for the purpose of funding the acquisition of Plan B Shares pursuant to the terms of the Offer, as well as all related transaction costs. 

The Directors have declared the payment of a final dividend of 18.0 cents per ordinary share franked to 100% based on tax paid at 30%, to be paid in October 2012. 

The Directors are not aware of any other matter or circumstance not otherwise dealt with in this report, or the accompanying financial statements and notes thereto, that has arisen since 30 June 2012 that has significantly affected, or may significantly affect: 

a the Group’s operations in future financial years; 

b the results of those operations in future financial years; or 

c the Group’s state of affairs in future financial years. 

## Non-audit services 

The Directors are satisfied that the provision of non-audit services, during the year, by the auditor (or by another person or firm on the auditor’s behalf) is compatible with the general standard of independence for auditors imposed by the Corporations Act 2001. 

• fees earned from non-audit work undertaken by KPMG are capped at 1.0 times the total audit fee; 

• all non-audit services have been reviewed and approved to ensure that they do not impact the integrity and objectivity of the auditor; and 

• none of the services undermine the general principles relating to auditor independence as set out in Code of Conduct APES 110 Code of Ethics for Professional Accountants issued by the Accounting Professional & Ethical Standards Board, including reviewing or auditing the auditor’s own work, acting in a management or decision- making capacity for the Company, acting as advocate for the Company or jointly sharing economic risks and rewards. 

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## Lead auditor’s independence declaration 

The lead auditor’s independence declaration is included on page 53 of the Annual Report and forms part of the Directors’ Report for the financial year ended 30 June 2012. 

## Rounding off of amounts 

The Company is a company of the kind referred to in ASIC Class Order 98/100, dated 10 July 1998, and in accordance with that Class Order amounts in the annual financial report are rounded off to the nearest thousand dollars, unless otherwise indicated. The amounts disclosed in the Directors’ Report (with the exception of the Remuneration Report) are rounded off to the nearest thousand dollars but expressed in whole dollars, unless otherwise indicated. 

