2006 - TCL Communication Technology Holdings Limited

TCL COMMUNICATION TECHNOLOGY HOLDINGS LIMITED
Notes to Financial Statements
31 December 2006
37. CAPITAL COMMITMENTS
As at the balance sheet date, the Group had no capital commitments/contracted, but not provided for (31
December 2005: HK$18,111,000).
38. RELATED PARTIES TRANSACTIONS
(a) Transaction with related parties
2006 2005
HK$’000
HK$’000
Transaction with ultimate controlling shareholder
Brand name management fee/TCL Brand Common Fund 4,744 10,155
Interest expenses 11,460 10,544
Issuance of convertible note – 185,100
Interest on convertible note 5,553 2,373
Short-term loan obtained 2,562,941 3,514,194
Transactions with subsidiaries of ultimate controlling shareholder
Purchases of raw materials* 1,447,281 1,456,630
Fund advanced 2,948 38,425
Master manufacturing service – 3,463
Rental income 47 –
Rental charges 2,832 2,380
Sales of finished goods 2,391 1,947
Sales of property, plant and equipment 188 –
Transactions with a company in which a director of the Company
is a shareholder
Consultancy fee – 975
Transactions with subsidiaries of the Group’s minority shareholder
Administrative and management services obtained – 159,125
Sales support services obtained – 37,573
Transactions with an associate or its subsidiaries
Technology and software fee 49,389 –
Fund advanced 5,708 –
Recharge expenses 22,632 –
Sales of property, plant and equipment 45,312 –
Purchase of property, plant and equipment 112 –
* The purchase of raw materials with subsidiaries of ultimate controlling shareholder were made according to
prices mutually agreed between two parties.
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Annual Report 2006