WCT-Page 30 to ProxyForm (2.4MB).pdf - Announcements - Bursa ...

146
WCT Berhad (66538-K)
annual report 2011
NOTES TO THE FINANCIAL STATEMENTS
31 December 2011
cont’d
25. BAI BITHAMAN AJIL ISLAMIC DEBT SECURITIES �"BAIDS"�
The BAIDS are repayable as follows:
Group/Company
2011 2010
RM'000 RM'000
Not later than 1 year 40,000 30,000
Later than 1 year and not later than 2 years - 40,000
40,000 70,000
The BAIDS are constituted by a Trust Deed dated 11 August 2005 between the Company and the Trustee for the holders
of the BAIDS.
The Company issued RM100 million of BAIDS on 29 August 2005. The BAIDS are negotiable non-interest bearing
secured Primary Bonds together with non-detachable Secondary Bonds. The Primary Bonds were issued in 3 series,
with maturities commencing from 2010 to 2012.
Each series of the BAIDS is divided into a specific number of Primary Bonds with face value of RM1,000 each to which
shall be attached an appropriate number of Secondary Bonds, the face value of which represents the semi-annual
profit of the bonds. The Secondary Bonds are redeemable every six months commencing six months after the issue
date. The face value of the Secondary Bonds are computed based on the profit rates specified for each series of the
Primary Bonds, i.e. from 6.30% to 6.90% per annum.
The terms of the BAIDS contain various covenants, including the following:
(i) The Company must maintain a Finance Service Reserve Account ("FSRA") at any time during the tenure of the
BAIDS which has a minimum balance equivalent to the next 6 months' finance service due under the BAIDS. The
amount therein may be withdrawn to meet any payment under the BAIDS, provided that the Company shall
transfer monies into such account within 14 days from such withdrawal to maintain the minimum balance as
disclosed in Note 16(a).
(ii) The Company must maintain a Maintenance Reserve Account ("MRA") for an amount equivalent to 50% of the
principal amount no later than 3 months prior to the respective due dates and an amount equivalent to 100% of
the principal amount due no later than 1 month from the respective due dates.
The terms of the Trust Deed prescribed that in the event of default, the outstanding amount of the Primary Bonds and
the profit element next due will become immediately due and payable.
26. ISLAMIC SERIAL REDEEMABLE BONDS �"SUKUK"�
The Islamic Serial Redeemable Bonds ("SUKUK") are constituted by a Trust Deed dated 12 March 2008 between the
Company and the Trustee for the holders of the SUKUK.