There have been no material changes to the Group's concentration of credit risk or the maturity analysis of its financial liabilities since the year end.

As at 28 February 2021, there is one customer in Latin America, with a gross value of $56.4 million, which represents approximately 5% of the total balance of trade receivables (FY20: one customer with a gross value of $72.6 million, (over 5% of the total balance).

Covid-19 has had a minimal impact on trade receivables. Collections from customers during FY21 have remained in line with historic norms and the ageing profile of receivables improved. As intermediaries in the supply chain, both Logicalis and Westcon International are working with vendors to provide support to their supply chains during the pandemic. Management has concluded that the likelihood of material expected credit losses is low.

The following table details the credit risk profile of trade receivables based on the Group's provision matrix.

Days past due:
US$'000		North  America	Latin   America	Europe	Asia  Pacific	MEA	Total
AUDITED
Year ended 28 February 2021
Current		53 766	115 771	563 157	137 742	99 730	970 166
1 – 30 days past due		9 060	3 675	26 259	23 364	10 705	73 063
31 – 60 days past due		2 766	3 592	9 644	9 036	6 337	31 375
61 – 90 days past due		743	1 095	4 135	4 449	1 286	11 708
91 – 120 days past due		530	193	2 606	1 795	2 035	7 159
Over 120 days past due		1 863	1 782	7 170	7 618	23 113	41 546
Gross trade receivables		68 728	126 108	612 971	184 004	143 206	1 135 017
Expected credit loss allowance		(158)	(489)	(9 024)	(3 707)	(13 534)	(26 912)
Net trade receivables		68 570	125 619	603 947	180 297	129 672	1 108 105
AUDITED
Year ended 29 February 2020
Current		57 829	160 795	478 075	102 133	81 299	880 131
1 – 30 days past due		18 807	8 381	42 451	39 197	15 080	123 916
31 – 60 days past due		522	2 591	7 237	14 492	4 922	29 764
61 – 90 days past due		1 229	2 752	5 507	3 859	2 133	15 480
91 – 120 days past due		235	463	5 464	2 948	3 857	12 967
Over 120 days past due		1 652	7 246	27 144	11 041	30 671	77 754
Gross trade receivables		80 274	182 228	565 878	173 670	137 962	1 140 012
Expected credit loss allowance		(59)	(833)	(10 017)	(4 658)	(13 935)	(29 502)
Net trade receivables		80 215	181 395	555 861	169 012	124 027	1 110 510

The past due receivables ageing categories above are shown gross, before taking into account expected credit loss allowances. US$24.3 million expected credit losses have been allocated to the US$48.7 million over 90 days past due receivables, resulting in a net over 90 days past due receivables balance of US$24.4 million. Where there are no expected credit loss allowances, the balances are deemed to be recoverable and there are either payment plans in place with the relevant customers or discussions with the customers are ongoing to resolve the payment of the outstanding balances.

In light of the Covid-19 crisis, particular attention has been given to assessing the outlook for liquidity across the Group and ensuring that sufficient cash will continue to be generated to settle liabilities as they fall due.

In February 2020, Logicalis completed a new three-year US$155 million banking facility for its subsidiaries. This senior facility covers Logicalis' operations throughout the world, excluding Latin America, which has its own separate credit facilities. The facility is used to fund working capital requirements and also includes a new acquisition credit line. In FY21, Logicalis successfully renegotiated the covenants under this facility, to ensure greater covenant headroom. In addition, the Latin American credit facilities are considered adequate in the current environment.

Westcon International completed two significant refinancing arrangements during FY21:

• A two-year US$80 million new receivables securitisation facility for its Asia-Pacific subsidiaries ("Westcon APAC"). The new facility has been entered into with Westpac Banking Corporation, replacing Westcon APAC's uncommitted financing facilities in Australia, New Zealand and Singapore and was effective from 25 September 2020.
• A three-year EUR275 million new invoice assignment facility for its European subsidiaries ("Westcon Europe").The new facility was entered into with a European banking syndicate, led by Crédit Agricole Leasing & Factoring and was effective 1 October 2020 ("CAL&F facility"). The CAL&F facility replaced the previous syndicated invoice finance facility led by HSBC ("HIF facility"). The HIF facility was disclosed under bank overdrafts in the statement of financial position. Due to the different nature of the CAL&F facility, it is disclosed under short-term interest-bearing liabilities in the statement of financial position. Net cash/debt under both facilities remain unchanged.

The Group performed covenant projections for the next 12 months to confirm that banking covenants are likely to be met. The Covid-19 pandemic is not expected to impact the Group's ability to meet its banking covenants.

Further information relating to debt covenants are included in the full set of the Group's consolidated annual financial statements for the year ended 28 February 2021 via the link https://www.datatec-reports.co.za/annual-2021/pdf/afs-2021.pdf.

WestconGroup South Africa's trading during Q1 of FY21 was impacted due to the Covid-19 pandemic. Limited hardware was shipped during this period and the ZAR/USD exchange rate also deteriorated significantly resulting in abnormal realised forex losses. These losses triggered a technical breach in one of the covenants relating to the securitisation facility with Futuregrowth Asset Management. Trading recovered in subsequent periods and after consultation with the lenders the specific covenant was temporarily waived by the lenders and the facility was not withdrawn. No other covenants of the facility were breached during the period.

The new financing facilities, as well as the very strong operating cash flow generated during FY21, significantly improved the Group's liquidity position, despite the impact
of the Covid-19 pandemic.