FGV Annual Report 2014

29 Biological Assets (continued) Impairment test for biological assets – non-current (i) Oil palm and rubber plantation estates Changes in pricing assumption and an amendment to management plan to replant different crop for certain areas resulted in a reassessment of the impairment of certain biological assets in the current financial year. The key assumptions used for the value in use calculation are as follows: (i) Discount rate of 11.5% (2013: 11.5%), which reflects specific industry risks relating to the plantation business, adjusted for other risk in respect of the planted area, for instance, size and age. (i) Other key assumptions being similar to the key assumptions used to compute the fair value of the LLA liability (Refer Note 45). The Group has recognised an impairment reversal of RM2,486,000 (2013: Impairment loss of RM663,000) which is recorded in costs of sales for the financial year ended 31 December 2014. The balance carrying amount continues to be subject to accelerated depreciation over the period to the year of planned replanting with a different crop. (ii) Livestock Based on a decision to dispose all cattle, an impairment of RM2,676,000 was recorded using fair value less costs to sell in costs of sales for the financial year ended 31 December 2014 while the remaining carrying amount of RM8,910,000 has been reclassified as assets held for sale (Refer Note 35). 30 Available-for-Sale Financial Assets Group 2014 2013 RM’000 RM’000 (Restated) At 1 January, as restated 225,305 – Acquisition of subsidiaries – 225,305 Additions 715 – Fair value gain transferred to available-for-sale reserve 17,665 – At 31 December 243,685 225,305 Available-for-sale financial assets comprise the following: Quoted equity securities: – In Malaysia 4,084 4,101 Unquoted equity securities: – In Malaysia 218,839 201,032 Quoted unit trust securities: – Outside Malaysia 20,762 20,172 243,685 225,305 Introduction Performance Highlights About FGV Reports Financial Statements Others Strategy and Value Creation Performance Review & Progress Foreword to Shareholders Annual General Meeting Annual Report 2014 pg 287