ENRICHING LIVES EXPANDING HORIZONS - Maxis

196
Financial Statements
NOTES TO THE
FINANCIAL STATEMENTS
31 December 2011
Continued
38 CONTINGENT LIABILITIES
In the normal course of business, the Group and the Company incur certain contingent liabilities arising from legal recourse
sought by its customers. No material losses are anticipated as a result of these transactions.
The following contingent liabilities have not been provided for in the financial statements, as it is not anticipated that any material
liabilities will arise from these contingencies.
GROUP
2011 2010
RM’000
RM’000
Indemnity given to financial institutions - unsecured:
(a) Royal Malaysian Customs
(for bank guarantees in relation to clearance on import of goods) 24,256 35,234
(b) Malaysian Communications and Multimedia Commission
(for performance guarantee in relation to 3G spectrum assignment) 25,363 39,000
(c) Supplier
(for bank guarantees issued to a supplier to secure the Group’s obligations in respect
of purchases of products and services from the supplier) 30,577 0
(d) Others
(for bank guarantees issued to mainly local authorities for the purpose of
infrastructure works, utility companies and others) 38,711 41,085
118,907 115,319
39 SIGNIFICANT SUBSEQUENT EVENTS
On 16 February 2012, the Company announced that it proposed to establish an unrated Islamic Medium Term Notes Programme
with an aggregate nominal value of up to RM2.45 billion (“Sukuk Programme”) based on the Islamic principle of Musharakah.
The Sukuk Programme will have a tenure of 30 years from the date of first issue under the Sukuk Programme.
The Securities Commission has, vide its letter dated 20 February 2012, given its approval under Section 212(5) of the Capital
Markets & Services Act 2007 for the Sukuk Programme.
On 24 February 2012, the Company made its first issuance under the Sukuk Programme of RM2.45 billion nominal value with a
tenure of 10 years from the date of issue (“First Issuance”). The proceeds from the First Issuance are to be utilised for the purposes
set out below:
(i)
RM1.45 billion for refinancing of existing loans which were fully repaid on the same date; and
(ii) RM1.00 billion for the capital expenditure and/or working capital and/or general funding requirements and/or general
corporate purposes.
40 APPROVAL OF FINANCIAL STATEMENTS
The financial statements have been approved for issue in accordance with a resolution of the Board of Directors on 10 April 2012.