NOTES TO THE
FINANCIAL STATEMENTS
Year ended 31 December 2014
4
INVESTMENT PROPERTIES (CONT’D)
Key unobservable inputs
Key unobservable inputs correspond to:
•
Capitalisation rate corresponds to a rate of return on investment properties on the expected income that
the property will generate.
•
Discount rates, based on the risk-free rate for bonds issued by government in the relevant market, adjusted
for a risk premium to reflect the increased risk of investing in the asset class.
5
INTERESTS IN SUBSIDIARIES
Trust
2014
2013
$’000
$’000
Equity investments, at cost
583,643
500,951
Amount due from subsidiary (non-trade)
4,075
4,075
587,718
505,026
Amount due from subsidiary is unsecured and interest-free. The settlement of the amount is neither planned nor
likely to occur in the foreseeable future. As this balance is, in substance, part of the Trust’s net investment in the
subsidiary, it is stated at cost less accumulated impairment losses.
Details of the subsidiaries are as follows:
Place of
incorporation
and business
Effective equity
interest held by
the Group
Name of subsidiary
Principal activities
2014 2013
% %
* Matsudo Investment Pte. Ltd.
Investment holding
Singapore
100
100
** Godo Kaisha Phoebe
Special purpose entity
– Investment in real estate
Japan
100
100
* Parkway Life Japan2 Pte. Ltd.
Investment holding
Singapore
100
100
** Godo Kaisha Urbino
Special purpose entity
– Investment in real estate
Japan
100
100
** Godo Kaisha Del Monte
(1)
Special purpose entity
– Investment in real estate
Japan
100
100
** Godo Kaisha Tenshi 1
(1)
Special purpose entity
– Investment in real estate
Japan
100
–
** Godo Kaisha Tenshi 2
Special purpose entity
– Investment in real estate
Japan
100
–
117
A N N U A L R E P O R T 2 0 1 4
