NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the period ended 28 July 2018 G2 DEED OF CROSS GUARANTEE The following entities are parties to a deed of cross guarantee under which each company guarantees the debts of the others: •Myer Holdings Limited • Myer Group Finance Limited •NB Elizabeth Pty Ltd • The Myer Emporium Pty Ltd •NB Russell Pty Ltd • Boogie & Boogie Pty Ltd •Myer Group Pty Ltd • sass & bide Pty Ltd •NB Lonsdale Pty Ltd • sass & bide Retail Pty Ltd •NB Collins Pty Ltd • sass & bide Retail (NZ) Pty Ltd • Warehouse Solutions Pty Ltd • Marcs David Lawrence Pty Ltd •Myer Pty Ltd By entering into the deed, the wholly-owned entities within note reference 1 in note G1 have been relieved from the requirements to prepare a financial report and directors' report under ASIC Corporations (Wholly-owned Companies) Instrument 2016/785. The above companies represent a 'closed group' for the purposes of the ASIC Legislative Instrument, and as there are no other parties to the deed of cross guarantee that are controlled by Myer Holdings Limited, they also represent the 'extended closed group'. (a) Consolidated income statement, statement of comprehensive income and summary of movements in consolidated retained earnings Set out below is a consolidated income statement, statement of comprehensive income and a summary of movements in consolidated retained earnings for the closed group for the year ended 28 July 2018: 2018 2017 52 weeks 52 weeks $'000 $'000 Income statement Total sales value 3,100,554 3,201,427 Concession sales (653,983) (701,678) Sale of goods 2,446,571 2,499,749 Sales revenue deferred under customer loyalty program (36,583) (34,847) Revenue fromsale of goods 2,409,988 2,464,902 Other operating revenue 162,299 176,487 Cost of goods sold (1,387,693) (1,423,209) Operating gross profit 1,184,594 1,218,180 Selling expenses (831,122) (819,100) Administration expenses (297,736) (292,178) Share of net profit/(loss) of equity-accounted associate - (1,176) Dilution of investment in equity-accounted associate - (1,338) Restructuring and store exit costs, onerous lease expense and impairment of assets (541,190) (65,615) Earnings/(loss) before interest and tax (485,454) 38,773 Finance revenue 397 436 Finance costs (9,471) (11,259) Net finance costs (9,074) (10,823) Profit/(loss) before income tax (494,528) 27,950 Income tax benefit/(expense) 8,838 (17,520) Profit/(loss) for the period attributable to Deed of Cross Guarantee group (485,690) 10,430 Statement of comprehensive income Profit/(loss) for the period (485,690) 10,430 Other comprehensive income Items that may be reclassified to profit or loss: Cash flow hedges 13,552 547 Exchange differences on translation of foreign operations 81 (180) Other comprehensive income for the period, net of tax 13,633 367 Total comprehensive income/(loss) for the period (472,057) 10,797 Summary of movements in retained earnings/(accumulated losses) Opening balance 347,408 386,254 Profit/(loss) for the period (485,690) 10,430 Dividends paid (16,426) (49,276) Closing balance (154,708) 347,408 Myer Annual Report 2018 77