kAThMANdu  annual report 2012 69 Capital risk management Externally imposed capital requirements In order to maintain or adjust the capital structure, the Group  may adjust the amount of dividends paid to shareholders,  return capital to shareholders, issue new shares or sell assets  to reduce debt or draw down more debt. the Group’s capital includes contributed equity, reserves and  retained earnings. the Group’s objectives when managing capital are to  safeguard the Group’s ability to continue as a going concern in  order to provide returns for shareholders and benefits for other  stakeholders and to maintain an optimal capital structure to  reduce the cost of capital. the Group is subject to various covenants with its banking  syndicate in relation to the ratios of earnings to total debt and  interest on that debt, which were complied with during and at  the end of the year. the Group operates in three geographical areas: new Zealand, australia and the united Kingdom. 27 SEGMENTAL INFORMATION 31 July 2012 Australia nZ$’000 new Zealand nZ$’000 united  Kingdom nZ$’000 elimination nZ$’000 total nZ$’000 Segment profit / (loss) before income tax 29,240 26,977 (3,435) (1,656) 51,126 Income tax expense (8,746) (7,528) - - (16,274) Profit / (loss) after tax 34,852 Segment profit / (loss) before income tax includes the following  specific income and (expenses): Sales to external customers 213,974 126,127 7,003 - 347,104 Sales to Group entities 896 1,357 297 (2,550) - Cost of sales (70,839) (53,489) (3,231) - (127,559) Interest income 48 83 - - 131 Interest expense (2,420) (1,850) (4) - (4,274) Other finance costs (882) (705) - - (1,587) Intercompany net finance income/(expense) (3,867) 3,867 - - - Intercompany recharges income/(expense) (8,135) 8,135 - - - Depreciation and software amortisation (5,882) (3,321) (328) - (9,531) Exchange gain/(loss) on foreign currency borrowing 1,583 (123) 87 (1,656) (109) Additions of non-current assets 13,817 7,831 205 - 21,853 Total current assets 42,676 407,330 3,954 (375,351) 78,609 Total non-current assets 150,085 338,718 246 (194,828) 294,221 Total assets 192,761 746,048 4,200 (570,179) 372,830 Total current liabilities (97,826) (9,928) (7,510) 76,556 (38,708) Total non-current liabilities  (27,739) (26,749) - - (54,488) Total liabilities (125,565) (36,677) (7,510) 76,556 (93,196)