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Investments - Schedule of Investments (Detail)
AUD in Millions, $ in Millions
Jun. 30, 2015
USD ($)
Jun. 30, 2015
AUD
Jun. 30, 2014
USD ($)
Nov. 30, 2012
Schedule of Investments [Line Items]        
Other investments $ 345   $ 425  
Available-for-sale securities [1] 185   151  
Cost method investments [2] 205   140  
Total Investments 2,379   2,609  
Foxtel [Member]        
Schedule of Investments [Line Items]        
Equity method investments [3] $ 1,476   1,869  
Equity method investment, ownership percentage 50.00% [3] 50.00% [3]   50.00%
Loan Receivable from Foxtel [Member]        
Schedule of Investments [Line Items]        
Other investments $ 345 [4] AUD 451 425 [4]  
Other Equity Method Investments [Member]        
Schedule of Investments [Line Items]        
Equity method investments [5] $ 168   $ 24  
[1] During fiscal 2015, the Company purchased a 14.99% interest in APN News and Media Limited ("APN") for approximately $112 million. APN operates a portfolio of Australian and New Zealand radio and outdoor media assets and small regional print interests. In August 2014, REA Group completed the sale of a minority interest held in marketable securities for total cash consideration of $104 million. As a result of the sale, REA Group recognized a pre-tax gain of $29 million, which was reclassified out of accumulated other comprehensive (loss) income and included in Other, net in the Statement of Operations.
[2] Cost method investments primarily include the Company's investment in SEEKAsia Limited ("SEEK Asia") and certain investments in China. In November 2014, SEEK Asia, in which the Company owned a 12.1% interest, acquired the online employment businesses of JobStreet Corporation Berhad ("JobStreet"), which were combined with JobsDB, Inc., SEEK Asia's existing online employment business. The transaction was funded primarily through additional contributions by SEEK Asia shareholders which did not have an impact on the Company's ownership. The Company's share of the funding contribution was approximately $60 million. In June 2015, the Company purchased an additional 0.8% interest in SEEK Asia for approximately $7 million, which increased the Company's investment to approximately 12.9%.
[3] The change in the Foxtel investment for the fiscal year ended June 30, 2015 was primarily due to the impact of foreign currency fluctuations. For the fiscal years ended June 30, 2015 and 2014, the Company received dividends from Foxtel of $107 million and $151 million, respectively. The Company's investment in Foxtel exceeds its equity in the underlying net assets by approximately $1.6 billion as of June 30, 2015. This amount represented the excess cost over the Company's proportionate share of its investment's underlying net assets. This has been allocated between finite-lived intangible assets, indefinite-lived intangible assets and goodwill. The finite-lived intangible assets of approximately $0.5 billion primarily represent subscriber relationships with a weighted remaining average useful life of 8 years.
[4] In May 2012, Foxtel purchased Austar United Communications Ltd. The transaction was funded by Foxtel bank debt and Foxtel's shareholders made pro rata capital contributions in the form of subordinated shareholder notes based on their respective ownership interests. The Company's share of the subordinated shareholder notes was approximately A$451 million ($345 million and $425 million as of June 30, 2015 and June 30, 2014, respectively). The subordinated shareholder note can be repaid beginning in July 2022 provided that Foxtel's senior debt has been repaid. The subordinated shareholder note has a maturity date of July 15, 2027, with interest of 12% payable on June 30 each year and at maturity. Upon maturity, the principal advanced will be repayable.
[5] In July 2014, REA Group purchased a 17.22% interest in iProperty Group Limited (ASX: IPP) ("iProperty") for total cash consideration of approximately $100 million. iProperty has online property advertising operations primarily in Malaysia, Indonesia, Hong Kong, Macau, Thailand and Singapore. In December 2014, REA Group sold Squarefoot, its Hong Kong based business, to iProperty in exchange for an additional 2.2% interest in iProperty. As of June 30, 2015, including an acquisition of additional shares of iProperty in October 2014, REA Group owns an approximate 19.9% interest in iProperty. The Company retroactively applied the equity method of accounting in the second quarter of fiscal 2015 in accordance with ASC 323, "Investments-Equity Method and Joint Ventures." The carrying value of the investment in iProperty was $90 million as of June 30, 2015. The change in the iProperty investment was primarily due to the impact of foreign currency fluctuations.