3. RELATED PARTY RELATIONSHIPS AND TRANSACTIONS
FRS 24 defines a related party as a person or entity that is related to the reporting entity and it includes (a) A person
or a close member of that person’s family if that person: (i) has control or joint control over the reporting entity; (ii) has
significant influence over the reporting entity; or (iii) is a member of the key management personnel of the reporting
entity or of a parent of the reporting entity. (b) An entity is related to the reporting entity if any of the following
conditions apply: (i) The entity and the reporting entity are members of the same group. (ii) One entity is an associate
or joint venture of the other entity. (iii) Both entities are joint ventures of the same third party. (iv) One entity is a joint
venture of a third entity and the other entity is an associate of the third entity. (v) The entity is a post-employment
benefit plan for the benefit of employees of either the reporting entity or an entity related to the reporting entity. (vi)
The entity is controlled or jointly controlled by a person identified in (a). (vii) A person identified in (a) (i) has significant
influence over the entity or is a member of the key management personnel of the entity (or of a parent of the entity).
(viii) The entity, or any member of a group of which it is a part, provides key management personnel services to the
reporting entity or to the parent of the reporting entity.
The ultimate controlling party is PT Lippo Karawaci Tbk.
3A. Related Parties:
There are transactions and arrangements between the Trust and members of the Group and related parties and the
effects of these on the basis determined between the parties are reflected in these financial statements. The related
party balances are unsecured without fixed repayment terms and interest unless stated otherwise. For non-current
balances an interest is imputed unless stated otherwise. There were no financial guarantees issued during the reporting
year. Intra-group transactions and balances that have been eliminated in these consolidated financial statements are not
disclosed as related party transactions and balances below.
Significant related party transactions:
In addition to the transactions and balances disclosed elsewhere in the notes to the financial statements, this item
includes the following:
NOTES TO THE
FINANCIAL STATEMENTS
31 DECEMBER 2014
Group
Trust
2014
2013
2014
2013
S$’000
S$’000
S$’000
S$’000
The parent company of the Manager
Property rental income
86,809
77,821
-
-
Acquisition of investment property (Note 12)
-
193,859
-
-
The Manager
Manager’s management fees
(9,138)
(7,977)
(9,138)
(7,977)
Acquisition-related fees
(702)
(1,904)
(702)
(1,904)
The Trustee
Trustee fees
(341)
(299)
(341)
(299)
62
FIRST REIT
ANNUAL REPORT 2014
