8. INVESTMENTS IN SUBSIDIARIES (continued) (c) The Company reviews the investments in subsidiaries for impairment when there is an indication of impairment. The recoverable amounts of the investments in subsidiaries are assessed by reference to the fair value less cost to sell of the underlying assets or the value in use of the respective subsidiaries. The value in use is the net present value of the projected future cash flows derived from the business operations of the respective subsidiaries discounted at an appropriate discount rate. For such discounted cash flow method, it involves the use of estimated future results and a set of assumptions to reflect their income and cash flows. Judgement had also been used to determine the discount rate for the cash flows and the future growth of the businesses of the subsidiaries. Impairment losses are made when the carrying amount of the investments in subsidiaries exceed its recoverable amount. The key assumptions for the impairment testing are disclosed in Note 7(d)(i) to the financial statements. (d) In the previous financial year, the Company made an impairment of RM80,000 in respect of a subsidiary due to its poor financial position. The recoverable amount of the cost of investment in the subsidiary was based on its fair value less cost to sell (<FVLCTS=) of the underlying assets. The net assets of the subsidiary were used as a proxy for its recoverable amount based on FVLCTS method and were within Level 3 of the fair value hierarchy. (e) In the previous financial year, on 18 April 2023, a wholly-owned subsidiary of the Company, The Malaya Press Sdn. Bhd. had disposed of its ownership of shares in Media Distribution Sdn. Bhd. to Malaysian Book Promotions Sdn. Bhd., another wholly-owned subsidiary of the Company for a total consideration of RM10,000. 9. OTHER INVESTMENTS Group Company 2024 2023 2024 2023 RM9000 RM9000 RM9000 RM9000 Fair value through profit or loss Club membership 37 37 - - Fair value through other comprehensive income Unquoted shares outside Malaysia 1,411 - 1,411 - 1,448 37 1,411 - (a) Club membership of the Group was categorised as Level 3 in the fair value hierarchy. Fair value of club memberships is determined by reference to prevailing offer price of these club memberships price. Responsible Corpor-|; bঞ;mv_br Integrity & Honesty Accountable P-u|m;uv_br Excellence & Inno-ঞom Financial Statements (continued) 111
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