Notes to the Financial Statements

For the short period 1 April 2006 to 3 March 2007

11. NET FINANCING COSTS

      2007
£m
  2006
£m
Finance income:          
Bank deposits     13.8   7.9
Expected return on retirement benefit asset     37.8   27.5
Interest receivable from GUS Group companies     3.9   10.3
Total finance income     55.5   45.7
Finance expense:          
Interest cost of perpetual securities     (11.1)   (11.2)
Discount unwind on provisions     (1.9)   (0.5)
Financing fair value remeasurements     (0.1)   (2.0)
Interest expense on retirement benefit liabilities     (25.7)   (24.9)
Interest expense on OFT fine     (1.5)  
Interest payable to GUS Group companies     (47.5)   (67.6)
Total finance expense     (87.8)   (106.2)
Less: finance expense charged to Financial Services cost of sales     16.4   15.8
Total net finance expense     (71.4)   (90.4)
Net financing costs pre exceptional     (15.9)   (44.7)
Exceptional finance income     6.9  
Net financing costs     (9.0)   (44.7)

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