Donaco International Limited / 2017 Annual Report Donaco International Limited / 2017 Annual Report 58 59 Donaco International Limited / 2017 Annual Report Donaco International Limited / 2017 Annual Report 58 Notes to the Financial Statements for the year ended 30 June 2017 Notes to the Financial Statements for the year ended 30 June 2017 59 Financing arrangements Unrestricted access was available at the reporting date to the following lines of credit (current and non current): Consolidated 2017 2016 $ $ Total facilities Bank loans 108,462,225 151,801,133 Used at the reporting date Bank loans 108,462,225 151,801,133 Unused at the reporting date Bank loans – – Note 19. Current liabilities – financial liabilities Consolidated 2017 2016 $ $ Derivative financial liability at fair value through profit and loss Warrants 681,507 1,794,520 Floating chips The number of floating chips is determined as the difference between the number of chips in use and the actual chips counted by the casino as at the reporting date. Note 18. Current liabilities – borrowings Consolidated 2017 2016 $ $ Joint Stock Commercial Ocean Bank 2,791,979 2,942,907 Mega International Commercial Bank Co. Limited 52,116,619 37,164,227 54,908,598 40,107,134 Refer to note 28 for further information on financial instruments. Total secured liabilities The total secured current liabilities are as follows: Consolidated 2017 2016 $ $ Joint Stock Commercial Ocean Bank 2,791,979 2,942,907 Mega International Commercial Bank Co. Limited 52,116,619 37,164,227 54,908,598 40,107,134 Assets pledged as security The loan from Mega International Commercial Bank Co. Limited is secured by the following: i. a parent company guarantee from the parent entity for the debt owed by Donaco Hong Kong Limited; ii. a pledge of the shares in Donaco Hong Kong Limited owned by the parent entity (carrying value $293,608,393, 2016: $293,608,393); iii. a pledge of the shares in DNA Star Vegas Co., Ltd owned by Donaco Hong Kong Limited (carrying value $426,270,598, 2016: $441,516,797); iv. a pledge of the debt service reserve account maintained by Donaco Hong Kong Limited; v. a security assignment of contractual rights held by the parent entity under the purchase agreement for DNA Star Vegas; vi. a security agreement over the assets of DNA Star Vegas; and vii. a hypothec agreement over the land and buildings of DNA Star Vegas. Mortgage to Joint Stock Commercial Ocean Bank The loans from Ocean Bank of Vietnam are secured by first mortgages over the land and buildings in Vietnam, more specifically the Aristo International Hotel operation (carrying value $67,974,718, 2016: $74,479,953). A mortgage was registered by the Ocean Bank of Vietnam over the assets of the Aristo International Hotel, on 11 July 2011. Total borrowings as per the Statement of Financial Position as at 30 June 2017 under this arrangement were $9,771,928 (2016: $13,243,081).