Annual Report Laporan Tahunan - Baiduri Bank
Annual Report Laporan Tahunan - Baiduri Bank
Annual Report Laporan Tahunan - Baiduri Bank
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Notes to Financial Statements<br />
December 31, 2008<br />
4 CASH DEPOSITS AND RESERVE<br />
The reserve is maintained in accordance with Section 45 of the Brunei Darussalam <strong>Bank</strong>ing Order 2006 and a<br />
directive issued by the Brunei Government Ministry of Finance in accordance with Section 25(2) of the Finance<br />
Companies Act, Cap. 89. The reserve is not available for use in the Company and its subsidiaries’ day to day<br />
operations.<br />
5 LOANS AND ADVANCES (NET)<br />
The Group<br />
The Company<br />
2008 2007 2008 2007<br />
B$’000 B$’000 B$’000 B$’000<br />
a) Loan to individuals 447,287 439,608 447,287 439,608<br />
Loan to corporate entities 443,903 437,507 443,903 437,507<br />
891,190 877,115 891,190 877,115<br />
Less: Allowance for bad and<br />
doubtful receivables (60,341) (56,560) (60,341) (56,560)<br />
Allowance for interest in suspense (93,201) (90,552) (93,201) (90,552)<br />
737,648 730,003 737,648 730,003<br />
Hire purchase receivables 603,065 530,226 - -<br />
Finance leases of equipment 457 580 - -<br />
603,522 530,806 - -<br />
Less: Allowance for doubtful receivables (1,441) (924) - -<br />
Less: Allowance for interest in suspense (528) (519) - -<br />
601,553 529,363 - -<br />
Balance at end of year 1,339,201 1,259,366 737,648 730,003<br />
The Group and the Company classify loans in accordance with its own internal loans grading policies.<br />
The Group and the Company make specific allowances for non-performing loans and financing in accordance<br />
with its policy set out in Note 2. Interest income is suspended when the account is classified as non-performing<br />
until it is realised on a cash basis.<br />
32 <strong>Baiduri</strong> <strong>Bank</strong> <strong>Annual</strong> <strong>Report</strong> 2008