Page 124 - ar2013.pdf

NOTES TO THE FINANCIAL STATEMENTS
For the Ànancial year ended 31 December 2013
122
COSCO Corporation (Singapore) Limited
F i nanc i a l Statement s
27. Borrowings (continued)
(c) Fair values of non-current borrowings
At the balance sheet date, the carrying amounts of non-current borrowings approximated their fair values.
The fair values were determined from cash flow analyses, discounted at the market borrowing rates which
the directors expected to be available to the Group as follows:
2013 2012
USD RMB USD RMB
Bank borrowings 2.67% 4.22% 3.26% 4.59%
28. Provisions for other liabilities
The Group
2013 2012
$’000 $’000
Provision for off hire claim [Note (a)] 2,321 2,794
Provision for warranties [Note (b)] 43,449 44,057
Provision for legal claims [Note (c)] 9,482 8,868
Provision for an onerous contract [Note (d)] 144 –
55,396 55,719
(a) Movements in provision for off hire claim on hire income are as follows:
The Group
2013 2012
$’000 $’000
Beginning of financial year 2,794 3,840
Provision made during the financial year 332 604
Provision utilised during the financial year (904) (1,413)
Currency translation differences 99 (237)
End of financial year 2,321 2,794
Provision for off hire claim on charter hire income is in respect of refund to be made to customers for period
in which the motor vessels are not available for use.