2020 UEM Edgenta Annual Report

36. PERFORMANCE BONDS AND GUARANTEES Group RM’000 2020 2019 Secured: Performance bond extended to Government of Malaysia in respect of security for the due performance of the Hospital Support Services Concession Agreement dated 28 October 1996 (Note 27(d)) 21,166 26,519 Bank guarantee issued to authorities 1,523 3,356 Bank guarantees and performance bonds issued to others 119,307 90,838 141,996 120,713 Unsecured: Bank guarantees extended to third parties – trade related 21,855 65,121 Performance bond extended to third parties – trade related – 23,296 Retention guarantee extended to third parties – trade related – 11,648 21,855 100,065 As at the reporting date, no values are ascribed on these guarantees provided by the Group for the purpose described above as the directors regard the value of the credit enhancement provided by these guarantees as minimal and the probability of default, based on historical track records of the parties receiving the guarantees are not probable. ANNUAL REPORT 2020 281 1 2 3 4 5 6 7 8