Page 73 - StamfordTyresAR13-Review12pp -30JUly2013.indd

Stamford Tyres Corporation Limited Annual Report 2013 71
Notes to the Financial Statements
30 April 2013
(In Singapore dollars)
PERFORMANCE
STEERINGFOR
16. Investment in associate
Group Company
2013 2012 2013 2012
$’000 $’000 $’000 $’000
Unquoted equity shares, at cost 72 72 72 72
Share of post-acquisition reserves 341 341 – –
Foreign currency translation adjustment (180) (180) – –
233 233 72 72
Less: Impairment loss – – (72) (72)
233 233 – –
On 30 March 2012, the Company announced the decision of its Board of Directors to approve the sales of
SRITP Limited, an associate of the Company’s joint venture, Tyre Pacific (HK) Limited. As at 30 April 2012,
the investment in associate was presented on the balance sheet as “Associate company held for sale”. The
disposal of SRITP Limited was completed on 18 May 2012 at a consideration of approximately $22 million to the
Company. A net gain on disposal of $11.9 million was recognised in profit or loss.
The summarised financial information of the associated company, not adjusted for the proportion of ownership
interest held by the Group, is as follows:
2013 2012
$’000 $’000
Assets and liabilities:
Total assets 490 468
Total liabilities (3) (2)
Net assets 487 466
Details of the associated company are set out in Note 42.
17. Inventories
Group
2013 2012
$’000 $’000
Inventories for sale 109,369 108,978
Raw materials, at cost 7,440 9,866
Work-in-progress - aluminium alloy wheels 2,426 3,620
Total inventories at lower of cost and net realisable value 119,235 122,464
Inventories for sale are stated after deducting allowance for obsolescence of 11,637 11,975