NOTES TO THE FINANCIAL STATEMENTS
For the financial year ended 31 December 2014
Financial Statements
140
COSCO Corporation (Singapore) Limited
34.
Financial risk management
(continued)
(f)
Financial instruments by category
The carrying amount of different categories of financial instruments is as disclosed on the face of the
balance sheets and in Note 18 to the financial statements, except for the following:
The Group
The Company
2014
2013
2014
2013
$’000
$’000
$’000
$’000
Loans and receivables
5,637,305
4,384,175
77,575
86,182
Financial liabilities at
amortised cost
7,075,241
5,824,510
17,378
18,149
(g)
Offsetting financial assets and financial liabilities
The financial assets and liabilities of the Group and the Company are not subject to enforceable
master netting arrangements or similar agreement. Financial assets and liabilities are settled on a
gross basis.
35.
Immediate and ultimate holding corporation
The Company’s immediate and ultimate holding corporation is China Ocean Shipping (Group) Company,
registered in the People’s Republic of China.
36.
Related party transactions
(a)
The Company is controlled by China Ocean Shipping (Group) Company (“COSCO”), the parent
company and a state-owned enterprise established in the PRC.
COSCO itself is controlled by the PRC government, which also owns a significant portion of the
productive assets in the PRC. In accordance with amendment to FRS 24, other government-
related entities and their subsidiaries (other than COSCO group companies), directly or indirectly
controlled, jointly-controlled or significantly influenced by the PRC government are also defined as
related parties of the Group. On that basis, related parties include COSCO and its subsidiaries, other
government-related entities and their subsidiaries directly or indirectly controlled, jointly controlled
or significantly influenced by the PRC government, other entities and corporations in which the
Company is able to control or exercise significant influence and key management personnel of the
Company and COSCO as well as their close family members.
The transactions conducted with government-related entities are based on terms agreed between
the parties.
