FINANCIAL STATEMENTS - Mewah Group

ANNUAL REPORT 2012NOTES TOTHE FINANCIAL STATEMENTSFor the financial year ended 31 December 201233. RELATED PARTY TRANSACTIONSIn addition to the information disclosed elsewhere in the financial statements, the following transactions took place between the Group andrelated parties at terms agreed between the parties:(a) Sales and purchases of goods and services and other transactionsSales to related partiesGroup2012 2011US$’000US$’000- Sales of finished goods 48,289 97,711Purchase from related parties- Purchases of raw materials 547 5,800Unrealised gains from derivative financial instruments 2,272 152Service rendered by related parties- Transportation and forwarding 2,400 2,811- Packing material 8,273 10,357- Insurance 23 3,246- Consultation fees 1,728 860- Travelling expenses 343 367Acquisition of subsidiaries from related parties 34 -Rental paid/payable to related parties 82 118Rental received/receivable from related parties 45 41Service agreement 24 22Related parties are companies in which the directors/shareholders of the Company have significant influence or control.Outstanding balances at 31 December 2012 and 2011 arising from the above transactions are set out in Notes 14, 15, 22 and 23respectively.(b) Key management personnel compensationKey management personnel compensation is as follows:Group2012 2011US$’000US$’000Wages, salaries and other short-term employee benefits 7,950 7,693Employer’s contribution to defined contribution plans 126 1148,076 7,807107