63
62
Best World International Limited
Annual Report 2011
Best World International Limited
Annual Report 2011
3. Related Party Relationships and Transactions
FRS 24 defnes a related party as a person or entity that is related to the reporting entity and it includes
(
a
)
A person or a close member of that person’s family if that person:
(
i
)
has control or joint control over
the reporting entity;
(
ii
)
has signifcant infuence over the reporting entity; or
(
iii
)
is a member of the key
management personnel of the reporting entity or of a parent of the reporting entity.
(
b
)
An entity is
related to the reporting entity if any of the following conditions apply:
(
i
)
The entity and the reporting
entity are members of the same group.
(
ii
)
One entity is an associate or joint venture of the other entity.
(
iii
)
Both entities are joint ventures of the same third party.
(
iv
)
One entity is a joint venture of a third entity
and the other entity is an associate of the third entity.
(
v
)
The entity is a post-employment beneft plan for
the beneft of employees of either the reporting entity or an entity related to the reporting entity.
(
vi
)
The entity is controlled or jointly controlled by a person identifed in
(
a
)
.
(
vii
)
A person identifed in
(
a
)(
i
)
has signifcant infuence over the entity or is a member of the key management personnel of the entity
(
or
of a parent company of the entity
)
.
The ultimate controlling parties are Dr Dora Hoan Beng Mui and Dr Doreen Tan Nee Moi.
3.1 Related companies
Related companies in these fnancial statements include the members of the parent’s group
of companies.
There are transactions and arrangements between the reporting entity and members of the group and
the effects of these on the basis determined between the parties are refected in these fnancial‘
statements. The current intercompany balances are unsecured without fxed repayment terms and
interest unless stated otherwise. For non-current balances if signifcant an interest is imputed unless
stated otherwise.
Intragroup transactions and balances that have been eliminated in these consolidated fnancial
statements are not disclosed as related party transactions and balances.
3.2 Other related parties
There are transactions and arrangements between the reporting entity and related parties and the
effects of these on the basis determined between the parties are refected in these fnancial
statements. The current related party balances are unsecured without fxed repayment terms and
interest unless stated otherwise. For non-current balances if signifcant an interest is imputed unless
stated otherwise.
3. Related Party Relationships and Transactions
(
Cont’d
)
3.2 Other related parties
(
Cont’d
)
Signifcant related party transactions:
In addition to the transactions and balances disclosed elsewhere in the notes to the fnancial statements,
this item includes the following:
3.3 Key management compensation
The above amounts are included under employee benefts expense. Included in the above amounts are
the following items:
Further information about the remuneration of individual directors is provided in the report on
corporate governance.
Key management personnel are the directors and those persons having authority and responsibility for
planning, directing and controlling the activities of the company, directly or indirectly. The above
amounts for key management compensation are for all the directors and other key management personnel.
Group
2011
$’000
2010
$’000
Sales of goods
99
99
Commission expenses
232
250
Subsidised travel expenses
5
17
Consultancy fee expenses
30
55
Group
2011
$’000
2010
$’000
Remuneration of directors of the company
1,831
1,747
Fees to directors of the company
120
120
Fees to a company in which a director has an interest
17
77
Group
2011
$’000
2010
$’000
Salaries and other short-term employee benefts
2,926
2,879
NOTES TO THE
FINANCIAL STATEMENTS
31 DECEMBER 2011