Singapore Press Holdings annual report 2011 Singapore Press ...

Notes to the
Financial StatementS
August 31, 2011
112 Singapore Press Holdings annual report 2011
2. SIGNIFICANT ACCOUNTING POLICIES (CONT’D)
(v)
Operating leases
When a group company is the lessee:
Leases where substantially all of the risks and rewards incidental to ownership are retained by the
lessors are classified as operating leases. Payments made under operating leases are recognised as
expenses in the income statement on a straight-line basis over the period of the lease.
When a group company is the lessor:
Leases where the Group retains substantially all risks and rewards incidental to ownership are
classified as operating leases. Assets leased out under operating leases are included in investment
properties. Rental income from operating leases is recognised in the income statement on a
straight-line basis over the lease term.
(w)
Treasury shares
The consideration paid for treasury shares, including any directly attributable incremental costs,
is presented as a component within shareholders’ equity until the shares are cancelled, re-issued
or disposed of. Where such shares are subsequently re-issued or disposed of, any consideration
received, net of any directly attributable incremental transaction costs, is included in shareholders’
equity. Realised gain or loss on disposal or re-issue of treasury shares is included in retained profits
of the Company.
When treasury shares are subsequently cancelled, the cost of the treasury shares is deducted against
the share capital account, if the shares are purchased out of capital of the Company, or against the
retained profits of the Company, if the shares are purchased out of profits of the Company.
(x)
Segment reporting
Segmental information are reported in a manner consistent with the internal reporting provided
to the Chief Executive Officer of the Company who conducts a regular review for allocation of
resources and assessment of performance of the operating segments.