CSS Chill Chain Limited - Limited company accounts 17.3

REGISTERED NUMBER: 03936084 (England and Wales)

REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2017

FOR

CSS CHILL CHAIN LIMITED

Page

Company Information

1

Report of the Directors

2

Report of the Independent Auditors

3

Income Statement

5

Balance Sheet

6

Notes to the Financial Statements

7

DIRECTORS:

P W Hilder

D J Wood

SECRETARY:

P W Hilder

REGISTERED OFFICE:

Unit 7-8 Birdham Business Park

Birdham Road

Chichester

West Sussex

PO20 7BT

REGISTERED NUMBER:

03936084 (England and Wales)

AUDITORS:

Lewis Brownlee (Chichester) Limited

Chartered Accountants

Statutory Auditors

Appledram Barns

Birdham Road

Chichester

West Sussex

PO20 7EQ

The directors present their report with the financial statements of the company for the year ended 30 June 2017.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 July 2016 to the date of this report.

P W Hilder

D J Wood

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The directors are responsible for preparing the Report of the Directors and the financial statements in accordance with

applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors

have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting

Practice (United Kingdom Accounting Standards and applicable law). 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 and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	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

enable them to ensure that the financial statements comply with the Companies Act 2006. They 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.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act

2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have

taken as a director in order to make himself aware of any relevant audit information and to establish that the company's

auditors are aware of that information.

AUDITORS

The auditors, Lewis Brownlee (Chichester) Limited, will be proposed for re-appointment at the forthcoming Annual

General Meeting.

This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small

companies.

ON BEHALF OF THE BOARD:

P W Hilder - Director

28 March 2018

Opinion

We have audited the financial statements of CSS Chill Chain Limited (the 'company') for the year ended 30 June 2017 on

pages five to ten. 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).

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 a Report of the Auditors 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.

In our opinion the financial statements:

-	give a true and fair view of the state of the company's affairs as at 30 June 2017 and of its profit for the year then ended;

-	have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; 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 Auditors' responsibilities 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 UK, including the FRC's Ethical Standard, and 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

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to

you where:

-	the directors' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or

-

the directors have not disclosed in the financial statements any identified material uncertainties that may cast
significant doubt about the company's ability to continue to adopt the going concern basis of accounting for a period
of at least twelve months from the date when the financial statements are authorised for issue.

Other information

The directors are responsible for the other information. The other information comprises the information in the Report of

the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and we do not express any form of

assurance conclusion thereon.

In connection with our audit of the financial statements, our 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, 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.

Opinion 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 Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Report of the Directors 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 obtained in the course of the audit,

we have not identified material misstatements in the Report of the Directors.

We have nothing to report in respect of the following matters where 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 prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Directors.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page two, the directors are responsible

for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such

internal control as the directors determine 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, the directors are 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 the directors either intend to liquidate the company or to cease operations, or have no realistic

alternative but to do so.

Our responsibilities for the audit of the financial statements

Our objectives 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 a Report of the Auditors that includes our 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 our 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 Report of the Auditors.

Christine Loosley (Senior Statutory Auditor)

for and on behalf of Lewis Brownlee (Chichester) Limited

Chartered Accountants

Statutory Auditors

Appledram Barns

Birdham Road

Chichester

West Sussex

PO20 7EQ

28 March 2018

TURNOVER

2,557,208

1,125,368

Cost of sales

2,538,580

1,108,702

GROSS PROFIT

18,628

16,666

Administrative expenses

29,714

23,407

OPERATING LOSS

(11,086

)

(6,741

)

Interest receivable and similar income

11,757

-

PROFIT/(LOSS) BEFORE TAXATION

671

(6,741

)

Tax on profit/(loss)

-

PROFIT/(LOSS) FOR THE FINANCIAL
YEAR

671

(6,741

)

CURRENT ASSETS

Stocks

12,124

3,456

Debtors

5

384,635

353,991

Cash at bank

11,306

11,127

408,065

368,574

CREDITORS

Amounts falling due within one year

6

414,134

375,314

NET CURRENT LIABILITIES

(6,069

)

(6,740

)

TOTAL ASSETS LESS CURRENT
LIABILITIES

(6,069

)

(6,740

)

CAPITAL AND RESERVES

Called up share capital

1

Retained earnings

(6,070

)

(6,741

)

SHAREHOLDERS' FUNDS

(6,069

)

(6,740

)

The financial statements have been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies.

The financial statements were approved by the Board of Directors on 28 March 2018 and were signed on its behalf by:

D J Wood - Director

P W Hilder - Director

1.	STATUTORY INFORMATION

CSS Chill Chain Limited is a private company, limited by shares , registered in England and Wales. The company's

registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with the provisions of Section 1A "Small Entities" of Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Significant judgements and estimates

In the process of applying the Company's accounting policies management has made the following judgements

that have the most significant effect on the amounts recognised in the financial statements.

The key assumptions concerning the future, and other key sources of estimation uncertainty at the balance sheet

date, that have a significant risk of cause a material adjustment to the carrying amounts of asses and liabilities

withing the next financial year, are also discussed below:

Impairment of trade receivables

Balances owed from third parties are reviewed for impairment on a regular basis and whenever events or

circumstances indicate that the related balance may not be recoverable. Management undertake such steps as

they consider necessary to minimise the risk of impairment including the use of credit references and insurance

against debtor default.

Stock obsolescence

Management review all stock lines on a regular basis and whenever an indication exists that individual lines may

be over-valued, an appropriate adjustment is made.

Turnover

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and

the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or

receivable, excluding rebates, value added tax and other sales taxes. The following criteria must also be met

before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied;

- the Company has transferred the significant risks and rewards of ownership to the buyer;

- the Company retains neither continuing managerial involvement to the degree usually associated with ownership

nor effective control over the goods sold;

- the amount of revenue can be reliably measured;

- it is probable that the Company will receive the consideration due under the transaction; and

- the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow

moving items.

Financial instruments

The company only enters into basic financial instrument transactions that result in the recognition of financial

assets and liabilities such as trade debtors and creditors, other debtors and creditors, loans from banks and other

third parties, loans to related parties and investments in non putable ordinary shares.

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 costs using the effective interest method. Debt instruments that are payable or receivable within one

year, typically trade payables or receivables, 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 financed at a rate of interest that is not a market rate or in case of an out-right short-term loan

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.

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 Profit and Loss account.

For finance assets measured at amortised cost, the impairment loss is measured as the difference between the

asset's carrying amount and the present value of estimated cash flows discounted at the assets 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.

For financial assets measured at cost less impairment, the impairment loss is measured as the difference between

an asset's carrying amount and best estimate, which is an approximation of the amount that the company would

receive for the asset if it were to be sold at the balance sheet date.

Financial assets and liabilities are offset and the net amount reported in the Balance Sheet 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.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to

the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or

substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all material timing differences that have originated but not reversed at the

balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from

those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that

have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the

timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they

will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Going concern

The company made a profit of £671 (2016: loss of £6,741) and had net current liabilities of £6,069 (2016:

£6,740) as at the balance sheet date.

The company is reliant upon the continued support of its parent, Compass Supply Solutions Limited. That

company has committed to provide such financial support as is necessary to allow the company to continue to

trade for the foreseeable future. On this basis, the directors consider that it is appropriate for the accounts to be

prepared on a going concern basis.

Comparatives

The company was dormant up until November 2015, comparatives are therefore for an eight month trading

period.

3.	EMPLOYEES AND DIRECTORS

The Company has no employees other than the 2 directors, who did not receive any remuneration (2016: £Nil).

Directors remuneration was paid through another group company, Compass Supply Solutions Limited, the parent

of CSS Chill Chain Limited.

4.	AUDITORS' REMUNERATION

2017

2016

£

Fees payable to the company's auditors for the audit of the company's
financial statements

3,416

3,500

5.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2017

2016

£

Amounts owed by group undertakings

373,498

345,783

Other debtors

11,137

8,208

384,635

353,991

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2017

2016

£

Trade creditors

411,116

354,916

Other creditors

3,018

20,398

414,134

375,314

7.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

2017

2016

£

Within one year

24,440

Between one and five years

3,760

28,200

52,640

8.	CONTINGENT LIABILITIES

As a result of group registration for VAT purposes, the company is held jointly and severally liable for VAT

liabilities that may fall due in other companies within the VAT group which at the balance sheet date amounted to

a debtor of £22,808 (2016: Creditor £16,532).

The company provides security on behalf of Compass Supply Solutions to HSBC bank for the loan of £16,667

(2016: £121,311) in the form of a cross guarantee.

9.	RELATED PARTY DISCLOSURES

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The

Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party

transactions with wholly owned subsidiaries within the group.

All sales of the company are with Compass Supply Solutions Limited, the immediate parent company.

10.	ULTIMATE CONTROLLING PARTY

The immediate parent company is Compass Supply Solutions Limited which itself is a wholly owned subsidiary of

CSS Group Limited. This company is incorporated in England and is controlled by its directors, P W Hilder and D

Wood. The results of the company are included in the consolidated financial statements of CSS Group Limited

which are available from Companies House, Crown Way, Cardiff, CF13 3UZ.