Caseware UK (AP4) 2022.0.179 2022.0.179 Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method. The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date. Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.Useful economic lives of tangible fixed assets The annual depreciation on tangible fixed assets is sensitive to changes in the estimated useful lives and residual values of the assets. The useful economic lives and residual values are reviewed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or in case of an out-right short-term loan that is not at market rate, the financial asset or liability is measured, initially at the present value of future cash flows discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost, unless it qualifies as a loan from a director in the case of a small company, or a public benefit entity concessionary loan. Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of comprehensive income. For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract. Financial assets and liabilities are offset and the net amount reported in the Statement of financial position when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. Financial assets are derecognised when the contractual rights to the cash flows from the financial assets expire, or when the financial asset and substantially all the risks and rewards are transferred. A financial liability is derecognised when it is extinguished, discharged, cancelled or expires.falsetrue2022-04-012122truefalse 03407169 2022-04-01 2023-03-31 03407169 2021-04-01 2022-03-31 03407169 2023-03-31 03407169 2022-03-31 03407169 2021-04-01 03407169 1 2022-04-01 2023-03-31 03407169 d:CompanySecretary1 2022-04-01 2023-03-31 03407169 d:Director1 2022-04-01 2023-03-31 03407169 d:Director1 2023-03-31 03407169 d:Director2 2022-04-01 2023-03-31 03407169 d:Director3 2022-04-01 2023-03-31 03407169 d:RegisteredOffice 2022-04-01 2023-03-31 03407169 d:Agent1 2022-04-01 2023-03-31 03407169 c:Buildings c:LongLeaseholdAssets 2022-04-01 2023-03-31 03407169 c:Buildings c:LongLeaseholdAssets 2023-03-31 03407169 c:Buildings c:LongLeaseholdAssets 2022-03-31 03407169 c:FurnitureFittings 2022-04-01 2023-03-31 03407169 c:FurnitureFittings 2023-03-31 03407169 c:FurnitureFittings 2022-03-31 03407169 c:FurnitureFittings c:OwnedOrFreeholdAssets 2022-04-01 2023-03-31 03407169 c:OwnedOrFreeholdAssets 2022-04-01 2023-03-31 03407169 c:CurrentFinancialInstruments 2023-03-31 03407169 c:CurrentFinancialInstruments 2022-03-31 03407169 c:UKTax 2022-04-01 2023-03-31 03407169 c:UKTax 2021-04-01 2022-03-31 03407169 c:ShareCapital 2023-03-31 03407169 c:ShareCapital 2022-03-31 03407169 c:ShareCapital 2021-04-01 03407169 c:RetainedEarningsAccumulatedLosses 2022-04-01 2023-03-31 03407169 c:RetainedEarningsAccumulatedLosses 2023-03-31 03407169 c:RetainedEarningsAccumulatedLosses 2021-04-01 2022-03-31 03407169 c:RetainedEarningsAccumulatedLosses 2022-03-31 03407169 c:RetainedEarningsAccumulatedLosses 2021-04-01 03407169 c:AcceleratedTaxDepreciationDeferredTax 2023-03-31 03407169 c:AcceleratedTaxDepreciationDeferredTax 2022-03-31 03407169 d:OrdinaryShareClass1 2022-04-01 2023-03-31 03407169 d:OrdinaryShareClass1 2021-04-01 2022-03-31 03407169 d:OrdinaryShareClass1 2023-03-31 03407169 d:FRS102 2022-04-01 2023-03-31 03407169 d:Audited 2022-04-01 2023-03-31 03407169 d:FullAccounts 2022-04-01 2023-03-31 03407169 d:PrivateLimitedCompanyLtd 2022-04-01 2023-03-31 03407169 c:WithinOneYear 2023-03-31 03407169 c:WithinOneYear 2022-03-31 03407169 c:MoreThanFiveYears 2023-03-31 03407169 c:MoreThanFiveYears 2022-03-31 03407169 c:PlantEquipmentOtherAssetsUnderOperatingLeases c:WithinOneYear 2023-03-31 03407169 c:PlantEquipmentOtherAssetsUnderOperatingLeases c:WithinOneYear 2022-03-31 xbrli:shares iso4217:GBP xbrli:pure

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Financial Statements
Alliance One International Services Limited
For the year ended 31 March 2023





































Registered number: 03407169

 
Alliance One International Services Limited
 

Company Information


Directors
Joan Teresa Goulden (resigned 30 September 2023)
Paul Thornton 
Simon Mark Usher 




Company secretary
Amanda Kaberle



Registered number
03407169



Registered office
Building A
Riverside Way

Camberley

Surrey

GU15 3YL




Independent auditor
Grant Thornton
Chartered Accountants & Statutory Auditors

13-18 City Quay

Dublin 2
D02 ED70




Bankers
Lloyds TSB Bank plc
49 High Street

Godalming

Surrey

GU7 1AT
United Kingdom





 
Alliance One International Services Limited
 

Contents



Page
Directors' report
1 - 2
Directors' responsibilities statement
3
Independent auditor's report
4 - 7
Statement of comprehensive income
8
Statement of financial position
9
Statement of changes in equity
10
Notes to the financial statements
11 - 23


 
Alliance One International Services Limited
 
 
Directors' report
For the year ended 31 March 2023

The directors present their report and the financial statements for the year ended 31 March 2023.

Principal activity

The principal activity of the Company is to provide sales support and accounting services to another company within the Pyxus International Inc. group (formerly Alliance One International Inc. group) and recharges its costs by way of a service fee.

Results and dividends

The profit for the year, after taxation, amounted to £10,854 (2022: £434,835).

The directors do not recommend the payment of a dividend for the year (2021: £Nil). 

Directors

The directors who served during the year were:

Joan Teresa Goulden (resigned 30 September 2023)
Paul Thornton 
Simon Mark Usher 

Going concern

In preparing the financial statements, the directors consider it appropriate to continue to use the going concern assumption, which assumes that the company will have sufficient resources to enable it to meet its liabilities as they fall due. 

There were no significant changes in the company's principal activity during the financial year 2023 and the directors are not aware at the date of this report of any likely major changes in either the nature or level of the company's activities in the next year. The company is in a strong financial position. After making inquiries, the directors believe the company has adequate financial resources to continue operating for the foreseeable future.

The directors believe that the going concern basis of preparation is appropriate for the financial statements.

Disclosure of information to auditor

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the company's auditor is unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the company's auditor is aware of that information.

Auditor

The auditor, Grant Thorntonwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

Post balance sheet events

There have been no significant events affecting the Company since the year end.

Page 1

 
Alliance One International Services Limited
 

Directors' report (continued)
For the year ended 31 March 2023

Small companies note

In preparing this report, the directors have taken advantage of the small companies exemptions provided by section 415A of the Companies Act 2006.

This report was approved by the board and signed on its behalf.
 





Simon Mark Usher
Director

Date: 9 November 2023

Page 2

 
Alliance One International Services Limited
 

Directors' responsibilities statement
For the year ended 31 March 2023

The directors are responsible for preparing the Directors' report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period.

 In preparing these financial statements, the directors are required to:

select suitable accounting policies for the company's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and to enable them to ensure that the financial statements comply with the Companies Act 2006The directors are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

On behalf of the board




Simon Mark Usher
Director

Date: 9 November 2023
Page 3

 
 
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Independent auditor's report to the members of Alliance One International Services Limited
 
Opinion


We have audited the financial statements of Alliance One International Services Limited ("the company"), which comprise the Statement of comprehensive income, the Statement of financial position, the Statement of changes in equity for the year ended 31 March 2023, and the related notes to the financial statements, including a summary of significant accounting policies.  

The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion, Alliance One International Services Limited's financial statements:


give a true and fair view in accordance with United Kingdom Generally Accepted Accounting Practice of the assets, liabilities and financial position of the company as at 31 March 2023 and of its financial performance for the year then ended; and


have been prepared in accordance with the requirements of the Companies Act 2006.


Basis for opinion


We conducted our audit in accordance with International Standards on Auditing (UK) ('ISAs (UK)') and applicable law. Our responsibilities under those standards are further described in the 'Responsibilities of the auditor for the audit of the financial statements' section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, namely the FRC's Ethical Standard and the ethical pronouncements established by Chartered Accountants Ireland, applied as determined to be appropriate in the circumstances of the entity. We have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.


Conclusions relating to going concern


In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. 

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from the date when the financial statements are authorised for issue.

Our responsibilities, and the responsibilities of the directors, with respect to going concern are described in the relevant sections of this report.




Page 4

 
 
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Independent auditor's report to the members of Alliance One International Services Limited (continued)
 
Other information


Other information comprises the information included in the annual report, other than the financial statements and our auditor's report thereon, including the Directors' report. The directors are responsible for the other information. Our opinion on the financial statements does not cover the information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.


In connection with our audit of the financial statementsour responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies in the financial statements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.


We have nothing to report in this regard.


Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:
the information given in the Directors' report for the year for which the financial statements are prepared is consistent with the financial statements, and 
the Directors' report has been prepared in accordance with applicable legal requirements. 

Matters on which we are required to report by exception


In the light of the knowledge and understanding of the company and its environment we have obtained in the course of the audit, we have not identified material misstatements in the Directors' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:


adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

the financial statements are not in agreement with the accounting records and returns; or

certain disclosures of directors' remuneration specified by law are not made; or

we have not received all the information and explanations we require for our audit; or

the directors were not entitled to take advantage of the small companies' exemptions from the  requirement to prepare a strategic report or in preparing the Directors' report.

Page 5

 
 
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Independent auditor's report to the members of Alliance One International Services Limited (continued)

Responsibilities of management and those charged with governance for the financial statements
 

Management is responsible for the preparation of the financial statements which give a true and fair view in accordance with United Kingdom Generally Accepted Accounting Practice, including FRS102 and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
 
In preparing the financial statements, management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intend to liquidate the Company or to cease operations, or has no realistic alternative but to do so.


Those charged with governance are responsible for overseeing the Company's financial reporting process.

Responsibilities of the auditor for the audit of the financial statements
 

The objectives of an auditor are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes their opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

A further description of an auditor's responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. Owing to the inherent limitations of an audit, there is an unavoidable risk that material misstatement in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with ISAs (UK).

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below:

Based on our understanding of the Company and industry, we identified that the principal risks of non-compliance with laws and regulations related to compliance with data protection and Employment laws, Health and Safety Regulation and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulation that have a direct impact on the preparation of the financial statements such as Companies Act 2006 and UK tax legislation. We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries to manipulate financial performance and management bias through judgements and assumptions in significant accounting estimates, in particular in relation to significant one-off or unusual transactions. We apply professional scepticism through the audit to consider potential deliberate omission or concealment of significant transactions, or incomplete/inaccurate disclosures in the financial statements.
Page 6

 
 
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Independent auditor's report to the members of Alliance One International Services Limited (continued)

Responsibilities of the auditor for the audit of the financial statements (continued)

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud (continued)

In response to these principal risks, our audit procedures included but were not limited to:
inquiries of management and board on the policies and procedures in place regarding compliance with laws and regulations, including consideration of known or suspected instances of non-compliance and whether they have knowledge of any actual, suspected or alleged fraud;
inspection of the Company’s legal correspondence and review of minutes of board meetings during the year to corroborate inquiries made;
gaining an understanding of the internal controls established to mitigate risk related to fraud;
discussion amongst the engagement team in relation to the identified laws and regulations and regarding the risk of fraud, and remaining alert to any indications of non-compliance or opportunities for fraudulent manipulation of financial statements throughout the audit;
identifying and testing journal entries to address the risk of inappropriate journals and management override of controls;
designing audit procedures to incorporate unpredictability around the nature, timing or extent of our testing;
challenging assumptions and judgements made by management in their significant accounting estimates, including estimating allowance for impairment of debtors, estimating the useful lives of tangible fixed assets; and 
review of the financial statements disclosures to underlying supporting documentation and inquiries of management.

The primary responsibility for the prevention and detection of irregularities including fraud rests with those charged with governance and management. As with any audit, there remains a risk of non-detection or irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or override of internal controls.

The purpose of our audit work and to whom we owe our responsibilities
 

This report is made solely to the company’s members, as a body, in accordance with chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

 
 
Tracey Sullivan (Senior statutory auditor)
for and on behalf of
Grant Thornton
Chartered Accountants &
Statutory Auditors
13-18 City Quay
Dublin 2

Date: 09/11/2023
Page 7

 
Alliance One International Services Limited
 

Statement of comprehensive income
For the year ended 31 March 2023

2023
2022
Note
 £
£

  

Turnover
  
3,863,454
3,564,158

Gross profit
  
3,863,454
3,564,158

Administrative expenses
  
(3,681,909)
(3,397,025)

Other operating charges
  
(542,729)
-

Operating (loss)/profit
 4 
(361,184)
167,133

Interest receivable and similar income
 7 
468,105
274,505

Profit before tax
  
106,921
441,638

Tax on profit
 8 
(96,067)
(6,803)

Profit for the year
  
10,854
434,835

All amounts relate to continuing operations.

There was no other comprehensive income for 2023 (2022: £Nil).

The notes on pages 11 to 23 form part of these financial statements.

Page 8

 
Alliance One International Services Limited
Registered number: 03407169

Statement of financial position
As at 31 March 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible fixed assets
 9 
50,529
61,842

  
50,529
61,842

Current assets
  

Debtors: amounts falling due within one year
 10 
9,916,221
9,844,270

Cash at bank and in hand
 11 
45,845
70,321

  
9,962,066
9,914,591

Current liabilities
  

Creditors: amounts falling due within one year
 12 
(291,293)
(265,939)

Net current assets
  
 
 
9,670,773
 
 
9,648,652

Deferred tax
 13 
(2,865)
(2,911)

  
 
 
(2,865)
 
 
(2,911)

Net assets
  
9,718,437
9,707,583


Capital and reserves
  

Called up share capital 
 14 
10,000
10,000

Profit and loss account
  
9,708,437
9,697,583

Shareholders' funds
  
9,718,437
9,707,583


The company's financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime within Part 15 of the Companies Act 2006 and in accordance with the
provisions of FRS102 Section 1A - Small Entities.

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 9 November 2023.




Simon Mark Usher
Director

The notes on pages 11 to 23 form part of these financial statements.

Page 9

 
Alliance One International Services Limited
 

Statement of changes in equity
For the year ended 31 March 2023


Called up share capital
Profit and loss account
Total equity

£
£
£

At 1 April 2022
10,000
9,697,583
9,707,583


Comprehensive income for the year

Profit for the year
-
10,854
10,854


At 31 March 2023
10,000
9,708,437
9,718,437



Statement of changes in equity
For the year ended 31 March 2022


Called up share capital
Profit and loss account
Total equity

£
£
£

At 1 April 2021
10,000
9,262,748
9,272,748


Comprehensive income for the year

Profit for the year
-
434,835
434,835


At 31 March 2022
10,000
9,697,583
9,707,583


The notes on pages 11 to 23 form part of these financial statements.

Page 10

 
Alliance One International Services Limited
 
 
Notes to the financial statements
For the year ended 31 March 2023

1.


General information

Alliance One International Services Limited is a private company limited by shares, and incorporated in the United Kingdom. It's registered office is Building A, Riverside Way, Camberley, Surrey, GU15 3YL. The principal activity of the Company is to provide sales support and accounting services to another company within the Pyxus International Inc. group (formerly Alliance One International Inc. group) and recharges its costs by way of a service fee.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the company's accounting policies (see note 3).

The following principal accounting policies have been applied:

  
2.2

Going concern

In preparing the financial statements, the directors consider it appropriate to continue to use the going concern assumption, which assumes that the company will have sufficient resources to enable it to meet its liabilities as they fall due. 
There were no significant changes in the company's principal activity during the year 2023 and the directors are not aware at the date of this report of any likely major changes in either the nature or level of the company's activities in the next year. The company is in a strong financial position. After making inquiries, the directors believe the company has adequate financial resources to continue operating for the foreseeable future.

The directors believe that the going concern basis of preparation is appropriate for the financial statements. The financial statements do not include the adjustments that would result if the company were unable to continue as a going concern.

  
2.3

Operating leases: the company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the lease term. 

Benefits received and receivable as an incentive to sign an operating lease are recongised on a straight line basis over the lease term, unless other systematic  basis is representative of the time pattern of the lessee's benefit from the use of the leased asset. 

Page 11

 
Alliance One International Services Limited
 
Notes to the financial statements
For the year ended 31 March 2023

2.Accounting policies (continued)

 
2.4

Foreign currency translation

Functional and presentation currency

The company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of comprehensive income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

 
2.5

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.6

Pensions

Defined benefit pension scheme

The company participates in a defined benefit plan, which is a multi-employer plan that due to insufficient information is accounted for as if the plan were a defined contribution plan. Where the company has entered into an agreement with the multi-employer plan that determines how the company will fund a deficit, the entity shall recognise a liability for the contributions payable that arise from the agreement and the resulting expense in profit or loss, but only to the extent that they relate to the deficit. If the scheme is in surplus the company recognises contributions as paid unless there is sufficient evidence to their recoverability and then an asset would be recognised.

Defined contribution pension scheme

The company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of financial position. The assets of the plan are held separately from the company in independently administered funds.

Page 12

 
Alliance One International Services Limited
 
Notes to the financial statements
For the year ended 31 March 2023

2.Accounting policies (continued)

 
2.7

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the Statement of financial position date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

 
2.8

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Long-term leasehold property
-
10%
Fixtures and fittings
-
20%

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.9

 Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, including transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

Page 13

 
Alliance One International Services Limited
 
Notes to the financial statements
For the year ended 31 March 2023

2.Accounting policies (continued)

 
2.10

 Cash at bank and in hand

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours.

 
2.11

 Creditors

Short term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, including transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.12

 Provisions for liabilities

Provisions are made where an event has taken place that gives the company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation.
Provisions are charged as an expense to profit or loss in the year that the company becomes aware of the obligation, and are measured at the best estimate at the reporting date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.
When payments are eventually made, they are charged to the provision carried in the Statement of financial position.

 
2.13

 Financial instruments

The company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, and other third parties, amounts owed to and by group undertakings.

Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or in case of an out-right short-term loan that is not at market rate, the financial asset or liability is measured, initially at the present value of future cash flows discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost, unless it qualifies as a loan from a director in the case of a small company, or a public benefit entity concessionary loan.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Statement of comprehensive income.

For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.

Page 14

 
Alliance One International Services Limited
 
Notes to the financial statements
For the year ended 31 March 2023

2.Accounting policies (continued)


2.13
 Financial instruments (continued)

Financial assets and liabilities are offset and the net amount reported in the Statement of financial position when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Financial assets are derecognised when the contractual rights to the cash flows from the financial assets expire, or when the financial asset and substantially all the risks and rewards are transferred.

A financial liability is derecognised when it is extinguished, discharged, cancelled or expires. 


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

The preparation of the financial statements requires management to make significant judgments and estimates. The items in the financial statements where these judgments and estimates have been made include:

Impairment of debtors
Management estimates the allowance for impairment of debtors based on the assessment of specific accounts where management has objective evidence comprising default in payment terms or significant financial difficulty that certain counterparties are unable to meet their financial obligations. In these cases, judgment used was based on the best available facts and circumstances including but not limited to, the length of relationship (see note 10).

Useful economic lives of tangible fixed assets
The annual depreciation on tangible fixed assets is sensitive to changes in the estimated useful lives and residual values of the assets. The useful economic lives and residual values are reviewed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.


4.


Operating (loss)/profit

The operating (loss)/profit is stated after charging:

2023
2022
£
£

Exchange differences
(54)
912

Operating lease
55,086
56,491

Page 15

 
Alliance One International Services Limited
 
 
Notes to the financial statements
For the year ended 31 March 2023

5.


Employees

2023
2022
£
£

Wages and salaries
1,855,656
1,828,042

Social security costs
171,706
165,188

Cost of defined contribution scheme
263,426
303,899

2,290,788
2,297,129


The average monthly number of employees, including the directors, during the year was as follows:


        2023
        2022
            No.
            No.







Management and administration
14
14



Sales
7
8

21
22


6.


Directors' remuneration

2023
2022
£
£

Directors' emoluments
459,385
406,504

Directors pension costs
26,184
24,515

485,569
431,019


The above amounts for remuneration include the following in respect of the highest paid director: 



2023
2022


£
£

Directors' emoluments 
188,867
160,381

Company contributions to defined contribution pension schemes 
9,021
8,606


197,888
173,639





Page 16

 
Alliance One International Services Limited
 
 
Notes to the financial statements
For the year ended 31 March 2023

7.


Interest receivable

2023
2022
£
£


Interest receivable from group companies
467,597
274,364

Other interest receivable
508
141

468,105
274,505

8.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year
96,113
-


Total current tax
96,113
-

Deferred tax


Origination and reversal of timing differences
(46)
6,803

Total deferred tax
(46)
6,803


Taxation on profit on ordinary activities
96,067
6,803

Factors affecting tax charge for the year

The tax assessed for the year is higher than (2022: lower than) the standard rate of corporation tax in the UK of 19% (2022:19%). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
106,921
441,638


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 19% (2022: 19%)
20,315
83,911

Effects of:


Expenses not deductible for tax purposes
108,943
275

Capital allowances in excess of depreciation
1,273
740

Deferred tax movement
(46)
6,803

Group relief
(34,418)
(84,926)

Total tax charge for the year
96,067
6,803

Page 17

 
Alliance One International Services Limited
 
 
Notes to the financial statements
For the year ended 31 March 2023
 
8.Taxation (continued)


Factors that may affect future tax charges

There were no factors that may affect future tax charges.


9.


Tangible fixed assets





Long-term leasehold property
Fixtures and fittings
Total

£
£
£



Cost or valuation


At 1 April 2022
70,571
41,873
112,444


Additions
-
3,743
3,743


Disposals
-
(4,800)
(4,800)



At 31 March 2023

70,571
40,816
111,387



Depreciation


At 1 April 2022
15,184
35,418
50,602


Charge for the year on owned assets
13,564
1,492
15,056


Disposals
-
(4,800)
(4,800)



At 31 March 2023

28,748
32,110
60,858



Net book value



At 31 March 2023
41,823
8,706
50,529



At 31 March 2022
55,387
6,455
61,842


10.


Debtors: Amounts falling due within one year

2023
2022
£
£


Trade debtors
-
1,224

Amounts owed by group undertakings
9,860,446
9,748,949

Other debtors
23,826
46,354

Prepayments and accrued income
31,949
47,743

9,916,221
9,844,270


Amounts owed by group undertakings bear interest of 5% and are repayable on demand.
Page 18

 
Alliance One International Services Limited
 
 
Notes to the financial statements
For the year ended 31 March 2023

11.


Cash at bank and in hand

2023
2022
£
£

Cash at bank and in hand
45,845
70,321



12.


Creditors: Amounts falling due within one year

2023
2022
£
£

Trade creditors
61,407
87,457

Amounts owed to group undertakings
15,974
14,796

Corporation tax
69,470
-

Other creditors
64,461
76,128

Accruals
79,981
87,558

291,293
265,939



13.


Deferred taxation




2023


£



At beginning of year
(2,911)


Charged to profit or loss
46



At end of year
(2,865)

The deferred tax (liability)/asset is made up as follows:

2023
2022
£
£


Accelerated capital allowances
(2,865)
(2,911)

14.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



10,000 Ordinary shares of £1.00 each
10,000
10,000


Page 19

 
Alliance One International Services Limited
 
 
Notes to the financial statements
For the year ended 31 March 2023

15.


Related party transactions

The Company has availed of the exemptions under FRS102 Section 33.1A Related Party Disclosures not to disclose transactions with fellow wholly owned group companies.

16.


Pension commitments

The Company operates a Defined benefit pension scheme.

A defined benefit pension plan is operated for all eligible employees of Alliance One International Services Limited, and fellow subsidiaries, Standard Commercial Tobacco Company (UK) Limited and Standard Commercial Tobacco Services (UK) Limited. The plan is funded by contributions from the employer determines in accordance with the advice of a professionally qualified actuary. The plan's assets are held separately from the company's assets and form no part of these financial statements.
The assets and liabilities of the scheme are not separately identifiable, therefore the Company accounts for the scheme as a defined contribution scheme. The charge recorded by the Company in the year in respect of this scheme was £Nil (2021: £Nil) which equals the amount paid in both years. The following information is given in respect of the scheme as a a whole.
The scheme is in an asset position, this asset is not believed to be fully recoverable and therefore no asset has been recognised within the financial statements. A full actuarial valuation was carried out as at 29 June 2023 by a qualified actuary. There were no changes to the scheme during the year and no amounts owing to the scheme at the year end. The major assumptions used for the actuarial valuation are presented below:



Reconciliation of present value of plan liabilities:


2023
2022
£'000
£'000

Reconciliation of present value of plan liabilities


At the beginning of the year
23,701
25,092

Interest cost
648
521

Benefits paid
(892)
(969)

Remeasurements - effects of changes in assumptions
(6,696)
(1,939)

Effect of experience adjustments
1,359
996

At the end of the year
18,120
23,701


Page 20

 
Alliance One International Services Limited
 
 
Notes to the financial statements
For the year ended 31 March 2023
 
16.Pension commitments (continued)



Reconciliation of present value of plan assets:


2023
2022
£'000
£'000


At the beginning of the year
32,754
33,222

Interest income on plan assets
899
693

Benefits paid
(892)
(969)

Return on plan assets (excluding interest income)
(8,390)
(192)

Asset write down due to full scheme buy-in
(3,045)
-

At the end of the year
21,326
32,754


Composition of plan assets:

2023
2022
£'000
£'000


Debt instruments
-
27,635

Cash
3,206
5,119

Buy-in contract
18,120
-

Total plan assets
21,326
32,754

2023
2022
£'000
£'000


Fair value of plan assets
21,326
32,754

Present value of plan liabilities
(18,120)
(23,701)

Net pension scheme assets
3,206
9,053

The amounts recognised in profit or loss are as follows:

Total


Actual return on scheme assets
(7,491)
501



Page 21

 
Alliance One International Services Limited
 
 
Notes to the financial statements
For the year ended 31 March 2023
 
16.Pension commitments (continued)


Principal actuarial assumptions at the Statement of financial position date (expressed as weighted averages):
 
2023
2022
%
%
Discount rate


4.87

2.78
 
Future salary increases


N/A

N/A
 
Inflation assumption


3.2

3.7
 
Mortality rates



 
- aged 65 now


23.3 (M)/ 25.7 (F)

23.5 (M) / 24.6 (F)
 
- aged 45 now


24.8 (M)/ 26.9 (F)

25.2 (M) / 26.4 (F)
 

The company operates a defined contribution pension scheme. The assets of the scheme are held separately from the company in an independently administered fund. The pension charge represents contributions payable by the company to the fund and amounted to £263,426 (2022: £303,899). 









17.


Commitments under operating leases

At 31 March 2023 the company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2023
2022
£
£

Land and buildings


Within 1 year
47,520
31,919

2-4 years
98,761
146,281

146,281
178,200

2023
2022

£
£

Other items


Within 1 year
-
172


18.


Post balance sheet events

There have been no significant events affecting the Company since the year-end.

Page 22

 
Alliance One International Services Limited
 
 
Notes to the financial statements
For the year ended 31 March 2023

19.


Controlling party

The ultimate parent company is Pyxus International Inc. (formerly Alliance One International Inc.), a company incorporated in the United States of America. The largest and smallest group in which the results of the company are consolidated is that headed by Pyxus International, Inc. (formerly Alliance One International Inc.). Copies of the group financial statements of the ultimate parent company are available from The Corporate Secretary, Pyxus International Inc (formerly Alliance One International Inc.), 8001 Aerial Center Parkway, PO Box 2009, Morrisville NC 27560, USA. 

Page 23