FGV Annual Report 2017

FELDA GLOBAL VENTURES HOLDINGS BERHAD FINANCIAL STATEMENTS 256 NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2017 25 RECEIVABLES (CONTINUED) Impaired and provided for (continued) Receivables balances (excluding prepayments and GST receivable) of RM845,028,000 (2016: RM1,231,719,000) and RM19,145,000 (2016: RM21,936,000) of the Group and of the Company are neither past due nor impaired as they have yet to exceed the credit period. These balances mainly relate to external parties with no recent history of default. The credit quality of receivables excluding prepayments and GST receivable that are neither past due nor impaired can be assessed to historical information about counterparty default rates: Group Company 2017 RM’000 2016 RM’000 2017 RM’000 2016 RM’000 Group 1 1,048 5,197 - - Group 2 843,980 1,171,019 19,145 21,936 Group 3 - 55,503 - - 845,028 1,231,719 19,145 21,936 Group 1 – new customers (less than 6 months). Group 2 – existing customers (more than 6 months) with no defaults in the past. Group 3 – existing customers (more than 6 months) with some defaults in the past. All defaults were fully recovered. The fair value of the receivables excluding the prepayments and GST receivable approximates their carrying values, as the impact of discounting is not significant.