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65 Acquisition of Spire Thames Valley Hospital trade and property ( STV Group) Acquiree'sFair valueAcquisition book valuesadjustmentsamounts £ 000£ 000£ 000 Property, plantand equipment( 1) 11,0407,89018,930 Inventory194- 194 Deferred tax ( 2)-( 2,385)( 2,385) Netidentifiable assets and liabilities11,2345,50516,739 Goodwill6,002 Total purchase price22,741 ( 1) As atthe completion date the property was valued by Colliers CRE, external chartered surveyors on an existing use basis, following which the book value of freehold property was increased by £ 7.89 million. ( 2) Deferred tax has been provided on the upliftin the fair value of the properties. The Spire Thames Valley Hospital contributed revenue of £ 5.6 million and a loss after taxation of £ 1.5 million in the period from the date of acquisition to the balance sheetdate. 29Related party transactions Trading transactions During the year, Group companies entered into the following transactions with entities controlled by the ultimate parentundertaking: 20082007 £ 000£ 000 Rozier S. ar. lInterestpayable49,9642,492 Cinven FundsInterestpayable1,017- Loans due to related parties 20082007 £ 000£ 000 Rozier S. ar. l479,657358,507 Cinven Funds23,839- Amounts payable to Rozier S. ar. l carry interestof 12% ( 2007: 12%) per annum. Amounts payable to Cinven Funds carry interestof LIBOR plus 1.25% per annum. Other transactions with Cinven Fees of £ 1.5 million ( 2007:£ 14.4 million) were paid to Cinven Limited, the ultimate controlling party of the Group, in respectof equity, bank and shareholder loan arrangementfees in relation to acquisitions in the period. There was no amountoutstanding ( 2007:£ nil) atthe balance sheetdate. Monitoring fees totalling £ 0.5million ( 2007:£ 0.1million) were paid to Cinven Limited in respectof the monitoring of the performance of the company on behalf of the Cinven Funds. As at31 December 2008,£ 0.1million ( 2007:£ 0.1million) was unpaid. Transactions with key managementpersonnel The Group made payments to key managementpersonnel for services provided to the Group. The total remuneration to key managementpersonnel is £ 2,846,000 ( 2007:£ 625,000), which includes pension costs of £ 286,000 ( 2007:£ 78,000). Spire Healthcare Limited Partnership 66Spire Healthcare Annual Review 2008 Designed by Pauffley. Cover image: Thanks to Spire Dunedin Hospital and staff. The paper used for this reportis produced using 100% virgin wood fibre from well- managed forests and Elemental Chlorine Free ( ECF) pulps. Both manufacturing mill and printer have been accredited with ISO14001 environmental managementsystem. The inks used in the printing of this reportare all vegetable- based. Printed atStIves Westerham Press Ltd, ISO14001 certified and CarbonNeutral ® . Spire Healthcare Limited Partnership |