RE: Gaelic Resources14 Feb 2022 12:40
The loan to the subsidiary has been provided by way of a Loan Note Instrument and is subject to interest rates at the short term monthly (compounded annually) Applicable Federal Rates published by the Internal Revenue Service of the United States federal government. The loan has no fixed repayment date and is denominated in USD. Subject to the subsidiary being solvent, the loan is repayable by giving the subsidiary not less than one month's written notice. The accrued interest on the loan as at 31 December 2020 was US$231,000 (2019: US$183,000), equivalent to £169,000 (2019: £139,000)
The amount of the loan to the subsidiary as at 31 December 2020 was US$8,587,000 (2019: US$7,964,000), equivalent to £6,292,000 (2019: £6,029,000).