NOTICE OF ANNUAL GENERAL MEETING
statisTICS OF SHAREHOLDINGs
FINANCIAL CONteNts
CORPORATE GOVERNANCE REPORT
79
Navigating Challenges • EMBRACING DIVERSITY | ANNUAL REPORT 2015
Notes to the financial statements
12 Loans and borrowings (Cont’d)
Terms and debt repayment schedule
Terms and conditions of outstanding loans and borrowings are as follows:
Nominal
interest rate
Year of
maturity
Face
value
Carrying
amount
%
$’000
$’000
2015
Term loans
- Fixed rate
1.80 – 6.63
2016 – 2019
3,530
3,530
- Floating rate
2.95 – 4.25
2017 – 2019
10,094
10,094
Finance lease liabilities
2.00 – 4.18
2016 – 2022
10,890
10,230
24,514
23,854
2014
Term loans
- Fixed rate
2.00 – 3.50
2015 – 2018
2,705
2,705
- Floating rate
4.25
2018
3,562
3,562
Finance lease liabilities
1.35 – 3.45
2015 – 2019
1,982
1,860
8,249
8,127
The following is related to a a breach of loan covenant by one of the subsidiaries as at 31 December 2015.
There was no breach of loan covenants as at 31 December 2014.
Breach of loan covenant
One of the subsidiaries has secured term loans with carrying amounts of $2,511,000 as at 31 December 2015
(2014: $3,562,000). The loans are repayable in tranches over the next 3 years. The loans contain a covenant
that the subsidiary must maintain an adjusted net worth of not less than $35,000,000 at all times. Adjusted
net worth has been defined to include the share capital and reserves. The subsidiary’s adjusted net worth was
$33,795,000 as at 31 December 2015 which was lower than the stipulated threshold. Management has obtained
a waiver from the bank in February 2016. Notwithstanding the waiver, contractual non-current portion of the
loans, amounting to $1,329,000 was re-classified to current liabilities.
