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SEE HUP SENG LIMITED
Annual Report 2012
81
Notes to the Financial Statements
31 DECEMBER 2012
31 Commitments
(a) Operating Leases
The Group and the Company leases its office premises under non-cancellable operating lease agreements.
The lease expenditure charged to profit or loss during the financial year is disclosed in Note 5.
The future aggregate minimum lease payable under non-cancellable operating leases contracted for at
the balance sheet date but not recognised as liabilities, are analysed as follows:
Group Company
2012 2011 2012 2011
S$’000 S$’000 S$’000 S$’000
Not later than one year 728 765 212 207
Later than one year but
not later than five years 2,371 2,343 848 843
More than five years 10,250 10,309 2,624 2,818
13,349 13,417 3,684 3,868
The operating lease agreement does not contain any escalation clauses and do not provide for contingent
rents. The terms of the operating lease do not contain any restriction on the Group activities concerning
dividends, additional debts, or entering into other lease agreements.
(b) Other Commitments
The Company has given an undertaking to continue to provide financial support to certain subsidiaries
for the next 12 months from the date of authorisation of their financial statements.
32 Related Party Transactions
A related party is an entity or person that directly or indirectly through one or more intermediaries controls, is
controlled by, or is under common or joint control with, the entity in governing the financial and operating policies,
or that has an interest in the entity that gives it significant influence over the entity in financial and operating
decisions. It also includes members of the key management personnel or close members of the family of any
individual referred to herein and others who have the ability to control, jointly control or significantly influence
by or for which significant voting power in such entity resides with, directly or indirectly, any such individual.
This includes parents, subsidiaries, fellow subsidiaries, associates, joint ventures and post-employment benefit
plans, if any.