notes to the financial statements - Far East Orchard Limited

NOTES TO THE FINANCIAL STATEMENTS
For the financial year ended 31 December 2008
35. Related party transactions
78
The following transactions took place between the Group and related parties during the financial year:
(a) Sale and purchase of goods and services
In the ordinary course of business, the Group transacted with related parties, which relate to certain corporations
in which the major shareholder of the holding company has substantial interests. These transactions are on terms
agreed between the parties concerned.
In addition to the related party information shown elsewhere in the financial statements, the following significant
related party transactions took place between the Group and related parties during the financial year on terms
agreed between the parties concerned:
The Group
2008 2007
$’000 $’000
Amount billed (by)/to related parties:
Management service, property management, accounting,
computer support and other fees
Property development, project management
(3,532) (3,653)
and sales and marketing service fees (960) -
Management fees charged to a joint venture 383 -
Rental income 1,897 1,228
Hospitality revenue - 105
Outstanding balances at 31 December 2008, arising from sale and purchase of goods and services, are set out in
Notes 12 and 23 respectively.
(b) Key management personnel compensation
Key management personnel compensation is as follows:
The Group
2008 2007
$’000 $’000
Wages and salaries 344 605
Employer’s contribution to defined contribution plans,
including Central Provident Fund 19 39
Directors’ fees 310 310
673 954
Included in the above is total compensation to directors of the Company amounting to $315,000 (2007: $314,000).
The banding of directors’ remuneration is disclosed in Note 7.
ANNUAL REPORT 2008 ORCHARD PARADE HOLDINGS LIMITED