Notes to the Financial Statements
(Cont’d)
For the year ended 30 April 2015
(In Singapore Dollars)
87
STAMFORD TYRES CORPORATION LIMITED
BUILDING ON OUR EXTENSIVE NETWORK
32. Commitments
(i)
Operating lease commitments – as lessee
The Group leases office premises, warehousing facilities and retail outlets under operating leases.
The leases typically run for an initial period of 2 to 30 years, with an option to renew the leases after
that date. Lease rentals are usually adjusted during the renewals to reflect market rentals. There were
no restrictions placed upon the Group by entering into these leases.
As at financial year end, commitments for minimum rental payments under non-cancellable leases
with a term of more than one year are as follows:
Group
2015
2014
$’000
$’000
Within one year
5,154
4,030
Within two to five years
4,977
7,368
After five years
8,447
9,051
18,578
20,449
(ii)
Capital commitments
Group
2015
2014
$’000
$’000
Commitments in respect of contracts placed for the purchase/
construction of property, plant and equipment
9,789
2,393
33. Contingencies
Company
2015
2014
$’000
$’000
Corporate guarantees
Guarantees issued for bank facilities granted to subsidiary companies
127,545
114,713
The above corporate guarantees indicate amounts utilised by subsidiary companies as at the end of
each reporting period.
