View - Singapore Technologies Engineering

PROVISION FOR DIMINUTION IN VALUE OF INVESTMENTSMovements in provision for diminution in value ofinvestments during the year are as follows:PROVISION FOR DOUBTFUL LOANSMovements in provision for doubtful loans during theyear are as follows:The Group’s share of the joint ventures’ results and assetsand liabilities are as follows:GROUP2000 1999$’000 $’000At beginning of year 2,919 3,683Provision utilised (731) (764)Reclassified from long-term investments (Note 11)@ 4,252 –At end of the year 6,440 2,919@ During the financial year, the Group increased its shareholdings in a non-related corporation, thereby making it into an associated company. Accordingly,the corresponding provision for diminution in value of the investment has also been reclassified from long-term investments.GROUP2000 1999$’000 $’000At beginning of year 1,896 909Charge to profit and loss account 315 1,108Provision utilised (500) (121)At end of the year 1,711 1,8962000 1999$’000 $’000RESULTSTurnover 38,126 260Net profit (loss) for the year 442 (367)ASSETS AND LIABILITIESNon-current assets 17,923 8,453Current assets 74,939 640Current liabilities 72,644 37Non-current liabilities 9,688 9,663(a) Details of the associated companies are as follows:COUNTRY OFPERCENTAGE OFNAME OF ASSOCIATED COMPANY PRINCIPAL ACTIVITIES INCORPORATION EQUITY HELD2000 1999% %Turbine Overhaul Services Pte Ltd** Repair and servicing of gas and Singapore 49 49steam turbine componentsAsian Aerospace Pte Ltd Promoting and organising of trade Singapore 50 50exhibitions in Singapore forsystems, equipment, products andservices in aerospace anddefence-related applications on abiennial basisSingapore British Engineering Pte Ltd Marketing and sale of a range of Singapore 32 32defence products and associatedequipment and participating in thedevelopment of new products andsystemsSingapore-China Merchants Aviation Investment holding Hong Kong 50 50Holdings Limited#Composite Technology International Repairing and rebuilding helicopter Singapore 33.33 33.33Pte Ltdrotor bladesEurocopter South East Asia Selling, maintaining and Singapore 25 25Private Limitedoverhauling of helicoptersSingapore Precision Repair and Repair and overhaul of aircraft Singapore 50 50Overhaul Pte Ltdand helicopter landing gear andits related componentsAerospace Engineering Services Trustee of unit trust fund Australia 50 50Pty LtdAerospace Engineering Services Maintenance and servicing of Australia 50 50Pty Ltd Unit TrustaircraftChangi Aviation Services Pte Ltd Investment holding Singapore 50 50Turbine Coating Services Pte Ltd Repair and servicing of gas and Singapore 24.5 –steam turbine components146 • visionnotes to the financial statements • 147