instrument. The Company is exposed to credit risk through its holdings 
of loan stock in investee companies, cash deposits and debtors. 
 
   The Manager manages credit risk in respect of loan stock with a similar 
approach as described under "Investment risks" above. In addition the 
credit risk is partially mitigated by registering floating charges over 
the assets of certain investee companies. The strength of this security 
in each case is dependent on the nature of the investee company's 
business and its identifiable assets.  Similarly the management of 
credit risk associated with interest, dividends and other receivables is 
covered within the investment management procedures. 
 
   Cash is mainly held by Bank of Scotland plc and Royal Bank of Scotland 
plc, both of which are A-rated financial institutions and both also 
ultimately part-owned by the UK Government. Consequently, the Directors 
consider that the credit risk associated with cash deposits is low. 
 
   There have been no changes in fair value during the period that are 
directly attributable to changes in credit risk. 
 
   Liquidity risk 
 
   Liquidity risk is the risk that the Company encounters difficulties in 
meeting obligations associated with its financial liabilities. Liquidity 
risk may also arise from either the inability to sell financial 
instruments when required at their fair values or from the inability to 
generate cash inflows as required. As the Company has a relatively low 
level of creditors, (GBP304,000, 2013: GBP363,000) and has no borrowings, 
the Board believes that the Company's exposure to liquidity risk is low. 
The Company always holds sufficient levels of funds as cash in order to 
meet expenses and other cash outflows as they arise. For these reasons, 
the Board believes that the Company's exposure to liquidity risk is 
minimal. 
 
   The Company's liquidity risk is managed by the Investment Manager in 
line with guidance agreed with the Board and is reviewed by the Board at 
regular intervals. 
 
   ANNOUNCEMENT BASED ON AUDITED ACCOUNTS 
 
   The financial information set out in this announcement does not 
constitute the Company's statutory financial statements in accordance 
with section 434 Companies Act 2006 for the period ended 31 December 
2013, but has been extracted from the statutory financial statements for 
the period ended 31 December 2013 which were approved by the Board of 
Directors on 28 April 2014 and will be delivered to the Registrar of 
Companies. The Independent Auditor's Report on those financial 
statements was unqualified and did not contain any emphasis of matter 
nor statements under s 498(2) and (3) of the Companies Act 2006. 
 
   The statutory accounts for the year ended 31 January 2013 have been 
delivered to the Registrar of Companies and received an Independent 
Auditors report which was unqualified and did not contain any emphasis 
of matter nor statements under s 498(2) and (3) of the Companies Act 
2006. 
 
   A copy of the full annual report and financial statements for the period 
ended 31 December 2013 will be printed and posted to shareholders 
shortly. Copies will also be available to the public at the registered 
office of the Company at 10 Lower Grosvenor Place, London, SW1W 0EN and 
will be available for download from www.downing.co.uk. 
 
   This announcement is distributed by NASDAQ OMX Corporate Solutions on 
behalf of NASDAQ OMX Corporate Solutions clients. 
 
   The issuer of this announcement warrants that they are solely 
responsible for the content, accuracy and originality of the information 
contained therein. 
 
   Source: Downing Planned EXIT VCT 3 plc via Globenewswire 
 
   HUG#1780675
Downing Three C (LSE:DP3C)
Historical Stock Chart
From Jun 2024 to Jul 2024 Click Here for more Downing Three C Charts.
Downing Three C (LSE:DP3C)
Historical Stock Chart
From Jul 2023 to Jul 2024 Click Here for more Downing Three C Charts.