This excerpt taken from the CEDC 8-K filed Jul 5, 2005.
Interest Rate Risk
We may have an exposure to interest rate movements through our bank deposits and indebtedness. In Financial Year 2004, we used derivative financial instruments (forward foreign currency contracts) to hedge transactions denominated in foreign currencies in order to reduce the currency risk associated with fluctuating exchange rates. The duration of the hedge contract typically did not exceed six months. At March 31, 2005, we had no open derivative contracts.
Because all of our debts are at floating rates, changes in interest rates may impact our net interest expense, positively by way of a reduction in base rates and adversely should base rates increase. Our sensitivity to interest rate movements is expressed in the table below.