PRG Holdings Berhad Annual Report 2019

ANNUAL REPORT 2019 159 NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2019 cont’d 25. LEASE LIABILITIES (continued) (c) The following are the amounts recognised in profit or loss in relation to lease arrangements during the financial year: Group 2019 RM’000 Depreciation charge of right-of-use assets - included in cost of sales 457 - included in administrative expenses 1,589 - included in distribution costs 2,411 - included in discontinued operations 86 Interest expense on lease liabilities - included in finance costs 1,124 - included in discontinued operations 79 Expense relating to short-term leases - included in administrative expenses 207 - included in discontinued operations 11 Expense relating to leases of low-value assets (included in administrative expenses) 29 5,993 (d) The following table sets out the carrying amounts, the weighted average incremental borrowing rates and the remaining maturities of the lease liabilities of the Group that are exposed to interest rate risk: Weighted average incremental borrowing rate per annum Within 1 year 1 - 2 years 2 - 5 years More than 5 years Total % RM’000 RM’000 RM’000 RM’000 RM’000 Group 31 December 2019 Lease liabilities Fixed rates 3.7% - 7.9% 4,059 4,254 9,687 2,165 20,165 (e) The table below summarises the maturity profile of the lease liabilities of the Group at the end of the reporting period based on contractual undiscounted repayment obligations as follows: On demand or within one year One to five years Over five years Total RM’000 RM’000 RM’000 RM’000 Group 31 December 2019 Lease liabilities 5,410 16,547 2,839 24,796