FGV Annual Report 2016

ANNUAL INTEGRATED REPORT 2016 291 FINANCIAL REPORT NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2016 27 AMOUNTS DUE FROM/(TO) A SIGNIFICANT SHAREHOLDER, SUBSIDIARIES, JOINT VENTURES, ASSOCIATE AND OTHER RELATED COMPANIES (CONTINUED) Impaired and provided for (continued) Movement of the provision for impairment of amount due from is as follows: Group Company 2016 RM'000 2015 RM'000 2016 RM'000 2015 RM'000 Amount due from a significant shareholder At 1 January 5,491 2,066 2,308 - Charged to profit or loss - 3,425 - 2,308 At 31 December 5,491 5,491 2,308 2,308 Amounts due from other related companies At 1 January 2,244 - 1,725 - Charged to profit or loss - 2,244 - 1,725 At 31 December 2,244 2,244 1,725 1,725 Amounts due from joint ventures At 1 January 3,481 - - - Charged to profit or loss* 13,893 3,481 - - At 31 December 17,374 3,481 - - Amounts due from subsidiaries At 1 January/31 December - - 684 684 Total 25,109 11,216 4,717 4,717 * Fair value of the amount due from a joint venture which principal activity relates to developing, constructing, operating and maintaining a power plant, has been determined based on discounted cash flow calculations using cash flow projections based on approved financial budgets covering the concession period of 16 years. The key assumptions used to compute the fair value of the amount due from joint venture are as follows: (a) Gross Dependable Capacity 12.50 MW (b) Net Dependable Capacity 10.00 MW (c) Concession periods 16 years (d) Last operation date 23/10/2032 As a result, the Group has recognised impairment loss of RM13.9 million for the amount due from the joint venture during the financial year (2015: RM3.5 million).