Financial Statements

30. Contingencies and commitments

Capital expenditure commitments

Group Company
1 May 2011 2 May 2010 1 May 2011 2 May 2010
£m £m £m £m
Property, plant and equipment 1.2 0.6
Total capital expenditure commitments 1.2 0.6

The Group believes that future cash flows and funding will be sufficient to cover these commitments.

Operating lease contingent liability

On 6 October 2009 Cult Retail LLP signed an operating lease agreeing to act as a guarantor to a related party (note 6) on retail premises in Kildare, Republic of Ireland. The lease is for a period of two years and the annual operating lease commitment to which Cult Retail LLP could be liable is €79,400, plus a turnover linked element. As such a contingent liability exists as at 1 May 2011.

Contingent liability

The Company is party to an unlimited cross guarantee over all liabilities of the Group.