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Notes to the consolidated financial statements
Year ended 31 July 2007
39. Contingent liabilities
The Group has quantifiable contingent liabilities under sundry guarantees, performance bonds and indemnities of £37 million (2006: £114 million) which arose in the ordinary course of business and which have not been provided in these accounts since no actual liability is expected to arise.
At 31 July 2007, the Group has counterparty exposure of £232 million (2006: £497 million) in respect of unsettled currency swaps. These currency swaps have a fair value of nil and further details are included in note 20.
As of 31 July 2007, cash deposits of Wolseley Insurance Limited amounting to £58 million (2006: £52 million) were charged in favour of Lloyds TSB Bank plc to secure letters of credit provided by that bank.