Eng - IOI Group

21 TRADE AND OTHER RECEIVABLES cont’d21.2 Other receivables, deposits and prepaymentsIn RM’000GroupCompany2003 2002 2003 2002Prepaid lease rental (Note 21.2.1) 39,340 21,854 - -Deposit paid for the acquisitionof subsidiaries (Note 21.2.2) 30,387 - 30,387 -Other receivables 72,427 35,636 3,435 6,690Other deposits 7,691 10,890 149 180Prepayments 11,289 11,369 6,154 5,746Allowance for doubtful debts onother receivables (168) (135) - -160,966 79,614 40,125 12,616Allowance for doubtful debts on other receivables relating to subsidiary consolidated during the financialyear amounted to RM33,000 (2002 - RM38,000).21.2.1 Prepaid lease rentalThis represents the advance lease rental paid for two pieces of land as follows:a Advance lease rental amounted to RM21,405,000 for a piece of land for a lease period of 50years with a renewal term of 16 years which covers a net area of 9,605 acres for cultivation ofoil palm. The prepaid lease rental is amortised to the income statements over the lease periodof 50 years.The remaining lease rental which ranges from RM1,000,000 to RM1,600,000 per annum will bepayable commencing from year 2006 to year 2066.b Advance lease rental amounted to RM17,935,000 for a piece of land for a lease period of 60years which covers a net area of 7,932 acres for cultivation of oil palm. The prepaid leaserental is amortised to the income statements over the lease period of 60 years.The remaining lease rental which ranges from RM200,000 to RM1,000,000 per annum will bepayable commencing from year 2004 to year 2056.21.2.2 Deposit paid for the acquisition of subsidiariesThis represents the deposit paid by the Company for the acquisition of the interest in 21,722hectares of oil palm estates and a palm oil mill in Sabah.169IOI Corporation BerhadAnnual Report 2003