36 SIGNIFICANT RELATED PARTY DISCLOSURES
The Group is a subsidiary of Johor Corporation, a state government related entity. During the ordinary course of business,
the Group transacts with various state related government agencies and departments, mainly relating to land premiums,
utilities payments and administrative services. These are based on normal commercial terms and are individually immaterial
to warrant separate disclosure.
In addition to the related party disclosures elsewhere in the financial statements, set out below are other significant related
party transactions and balances. The related party transactions described below were carried out on negotiated terms.
(a) Significant related party transactions
Group
Company
2015
RM’000
2014
RM’000
2015
RM’000
2014
RM’000
Type of transactions
Group and Company
Project management fee to associate
14,385
8,716
–
–
Proceeds from disposal of land and
buildings to associate*
43,150
3,590
–
–
Rental expense to associate*
111,234
101,451
–
–
Payments under Development Agreement
(Note 25) on behalf of an associate*
18,555
20,320
–
–
Management fee from subsidiaries
–
–
(43,211)
(39,029)
Dividend received (net) from subsidiaries
–
–
(111,482)
(107,118)
Interest expense to subsidiaries
–
–
13,827
10,867
Interest income from subsidiaries
–
–
(1,896)
(1,516)
* Al–‘Aqar Healthcare REIT
Johor Corporation group of companies
Secretarial fee
316
306
–
–
Insurance premiums
3,736
5,073
–
–
Dividend paid
–
–
27,893
14,430
Contribution to Klinik Waqaf An–Nur
3,120
3,120
–
–
Management fees charged to subsidiaries are in respect of operational and administrative function of the subsidiaries which
are performed by employees of the Company.
Information regarding outstanding balances arising from related party transactions as at the financial year end are disclosed
in Note 25 and 28.
319
KPJ Healthcare Berhad
Annual Report
2015
NOTES TO THE
FINANCIAL STATEMENTS
FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2015 (CONTINUED)
