Year ended 31 July 2006
39. Contingent liabilities
The Group has the following quantifiable contingent liabilities which arose in the ordinary course of business and which have not been provided in these accounts since no actual liability is expected to arise:
| 2006
£m |
2005
£m |
|
|---|---|---|
| Sundry guarantees, performance bonds and indemnities | 114 | 78 |
| Obligations under forward foreign exchange contracts | 497 | 413 |
An amount of £499 million (2005: £402 million) is expected to be received from counterparties in respect of the obligations under forward foreign exchange contracts detailed above.
As of 31 July 2006, cash deposits of Wolseley Insurance Limited amounting to £52 million (2005: £41 million) were charged in favour of Lloyds TSB Bank plc to secure letters of credit provided by that bank.
