Notes to the Company financial statements

1. Adoption of new accounting standards	5. Derivative financial instruments	9. Reconciliation of movements in shareholders’ funds
2. Fixed asset investments	6. Borrowings	10. Commitments and contingencies
3. Debtors	7. Called up share capital	11. Directors and employees
4. Creditors (amounts falling due within one year)	8. Reserves

10. Commitments and contingencies

The Company has guaranteed the repayment of the principal sum, any associated premium and interest on specific loans due from certain subsidiary undertakings to third parties. At 31 March 2008, the sterling equivalent amounted to £1,088m (2007: £650m). The guarantees are for varying terms from 3 years to open-ended.

The Company has also guaranteed the lease obligations of a former associate to a subsidiary undertaking, amounting to £13m (2007: £23m).