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FRONTKEN CORPORATION BERHAD
(651020-T)
ANNUAL REPORT
2015
26.
FINANCIAL INSTRUMENTS (CONT’D)
(d) Fair Value Information (Cont’d)
As the Company does not have any financial instruments carried at fair value, the following table sets out only the
fair value profile of financial instruments that are carried at fair value at the end of the reporting period.
Fair Value Of Financial Instruments Not
Total
Carrying
Carried At Fair Value
Fair Value
Amount
Level 1
Level 2
Level 3
The Company
RM
RM
RM
RM
RM
2015
Financial Liability
Term loans
-
6,065,353
-
6,065,353
6,065,353
Fair Value Of Financial Instruments Not
Total
Carrying
Carried At Fair Value
Fair Value
Amount
Level 1
Level 2
Level 3
The Company
RM
RM
RM
RM
RM
2014
Financial Liability
Term loans
-
7,876,178
-
7,876,178
7,876,178
The fair values, which are for disclosure purpose, have been determined using the following basis:-
(i)
The fair value of hire purchase payables, short term borrowing and term loans determined by discounting
the relevant cash flows using current market interest rates for similar instruments at the end of the reporting
period. The interest rates used to discount the estimated cash flows are as follows:-
The Group
The Company
2015
2014
2015
2014
%
%
%
%
Hire purchase
payables
1.51% - 5.64% 1.51% - 7.42%
-
-
Short-term
borrowings
2.36% - 3.33% 2.12% - 2.39%
-
-
Term loans
1.68% - 6.72% 1.68% - 6.79%
6.72
6.79
27.
CONTINGENT LIABILITY
The Company provided corporate guarantees to banks and financial institutions to secure banking facilities and leasing
of equipment provided to certain subsidiaries amounting to RM35,426,387 (2014 : RM37,661,459).
NOTES TO THE FINANCIAL STATEMENTS
(cont’d)