notes to the
financial statements
31 December 2015
28.
Other financial liabilities
Group
2015
$’000
2014
$’000
Current
Trust receipts
416
935
SGD term loan at SOR + 1.25% p.a.
800
–
MYR term loan at 6.25% p.a.
520
–
MYR term loan at BLR - 2% p.a.
1,440
1,705
MYR term loan at BECOF + 1% p.a.
855
–
MYR term loan at BECOF + 1.5% p.a.
44
52
VND term loans at BLR + up to 2% p.a.
973
2,133
Finance leases
15
18
Current, total
5,063
4,843
Non-current
SGD term loan at SOR + 1.25% p.a.
2,934
–
MYR term loan at 6.25% p.a.
3,965
–
MYR term loan at BECOF + 1.5% p.a.
1,396
1,656
Finance leases
27
15
Non-current, total
8,322
1,671
Current and non-current, total
13,385
6,514
The range of floating interest rates per annum paid was as follows:
Trust receipts
8.35%
8.10% to 8.35%
SGD term loan at SOR + 1.25% p.a.
2.33%
–
MYR term loan at BLR - 2% p.a.
4.85%
4.60% to 4.85%
MYR term loan at BECOF + 1% p.a.
4.45% to 4.88%
–
MYR term loan at BECOF + 1.5% p.a.
5.11% to 5.14%
4.78% to 5.13%
VND term loans at BLR + up to 2% p.a.
9.00% to 9.40%
7.50% to 9.75%
The range of fixed interest rates per annum paid was as follows:
MYR term loan at 6.25% p.a.
6.25%
–
Finance leases
3.35% to 10.90%
3.75% to 16.80%
The carrying amounts of the Group’s non-current SGD term loan at SOR + 1.25% p.a. and MYR term loan at BECOF
+ 1.5% p.a. are reasonable approximation of their fair values as they are floating rate instruments that are repriced to
market interest rate on or near the end of the reporting year.
The fair values of the Group’s non-current MYR term loan at 6.25% p.a. and finance leases are determined to be $3,957,000
(2014: $Nil) and $23,000 (2014: $9,000) respectively which are estimated by discounting expected future cash flows at
market incremental lending rates for similar types of arrangements.
The details of the loans and borrowings are as follows:
Trust receipts
The trust receipts are denominated in Malaysian Ringgit (“MYR”), bear interest at bank lending rate (“BLR”) + 1.5%
(2014: BLR + 1.5%) per annum and are fully repayable within the next twelve months. The trust receipts are secured by a
first mortgage over freehold land and building with an aggregate net carrying amount of $1,732,000 (2014: $2,014,000),
corporate guarantees given by the Company and a subsidiary, Kingsmen Sdn Bhd and personal guarantees given by
certain directors of subsidiaries, Kingsmen-Keb Systems Sdn Bhd and Kingsmen Keb Designers & Producers Sdn Bhd.
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