Wah Seong Corporation Berhad Annual Report 2018

23 CASH AND BANK BALANCES Group Company 2018 2017 2018 2017 RM’000 RM’000 RM’000 RM’000 Cash and bank balances 156,363 189,612 854 2,221 The Group’s and the Company’s cash and cash equivalents exposure to foreign currency (a currency which is other than the functional currency of the Group entities and the Company) risk, based on carrying amounts as at the end of the financial year, were: Group Company 2018 2017 2018 2017 RM’000 RM’000 RM’000 RM’000 - United States Dollar 10,082 34,544 241 740 - Euro Dollar 4,573 4,302 - 19 - Singapore Dollar 3,834 5,054 110 174 - Indonesian Rupiah 1,593 1,518 - - - Japanese Yen 1,243 1,711 - - - Norwegian Kroner 650 148 - - - China Renminbi 310 343 - - - Australian Dollar 20 22 20 22 - Ringgit Malaysia - 1,602 - - 22,305 49,244 371 955 Cash and bank balances are deposits held at call with banks and earn no interest. 24 ASSETS CLASSIFIED AS HELD FOR SALE (a) On 22 June 2018, the Company’s 70% owned subsidiary, Wasco Coatings Insulation Sdn. Bhd. (“WCI”) entered into a sale and purchase agreement for the disposal of plant and machineries for a consideration of RM2,207,000. The completion of the disposal is subject to fulfilment of the condition precedent as stipulated in the sales and purchase agreement. Pursuant to MFRS 5 “Non-current Assets Held for Sales and Discontinued Operations”, the carrying amount of the plant and machineries have been classified as assets held for sale. (b) On 8 August 2017, the Company’s wholly-owned subsidiary, Wasco Engineering International Limited (“WEIL”) entered into a sale and purchase agreement for the disposal of compressor units for a consideration of USD11,464,000 (equivalent to approximately RM46,286,000). The consideration includes additional refurbishment and modification cost on the existing compressor units. On 14 January 2018, WEIL completed the disposal of the said compressor units by fulfilling condition precedent as stipulated in the sales and purchase agreement. Accordingly, the carrying amount of the said compressor units was derecognised as asset held for sale, resulting in a gain on disposal of USD1,123,000 (equivalent to approximately RM4,534,000) being recognised in the statement of profit or loss. Details of the assets classified as held for sale are as follows: Group 2018 2017 RM’000 RM’000 Property, plant and equipments 2,207 18,143 NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2018 ANNUAL REPORT 2018 151