NOTES TO THE
FINANCIAL STATEMENTS
Year ended 31 December 2014
23 SIGNIFICANT RELATED PARTY TRANSACTIONS
For the purposes of these financial statements, parties are considered to be related to the Group if the Group
has the ability, directly or indirectly, to control the party or exercise significant influence over the party in making
financial and operating decisions, or vice versa, or where the Group and the party are subject to common significant
influence. Related parties may be individuals or other entities.
During the financial year, other than those as disclosed elsewhere in the financial statements, significant
transactions with related parties carried out in the normal course of business on terms agreed between the parties
are as follows:
Group
Trust
2014
2013
2014
2013
$’000
$’000
$’000
$’000
Related corporations of the Manager
Rental income received/receivable
63,757
61,350
63,294
60,953
Other income received
38
41
–
–
The Manager
Manager’s management fees paid and payable
8,951
8,353
8,951
8,353
Acquisition fees paid to the Manager
763
800
763
800
Divestment fees payable to the Manager
438
–
438
–
Travelling expenses reimbursed to the Manager
376
406
376
406
Corporate secretarial services expenses reimbursed to
the Manager
17
–
17
–
Property and lease management fees paid/payable to
the Manager
17
14
–
–
Marketing services commission paid to the Manager
10
15
–
–
The Trustee
Trustee’s fees paid and payable
280
266
280
266
24 FINANCIAL INSTRUMENTS
Financial risk management
Overview
The Group has exposure to the following risks:
•
credit risk
•
liquidity risk
•
market risk
This note presents information about the Group’s exposure to each of the above risks, the Group’s objectives,
policies and processes for measuring and managing risk, as well as the Group’s capital management strategy.
132
PA R K WAY L I F E R E I T
