ANNUAL REPORT 2007 รายงานประจำปี - IR Plus

Separate financial statements
Amount
Interest Rate per annum
As of December 31, As of December 31,
2006 2005 2006 2005
Million Baht Million Baht % %
Deposits for Guarantee 161.91 168.60 2.625 – 4.00 1.50-5.25
Loan to Subsidiaries and Related Parties 23.13 27.51 8.00 – 8.75 8.00
Short-term Loan from subsidiary and related parties 13.26 29.45 6.25 – 9.00 6.25-9.00
Bank Overdrafts from commercial bank 34.85 25.17 MOR MOR
Trust Receipts - 8.68 MLR MLR
Short-term Loan from commercial bank 449.65 427.11 MLR, MLR+1
MOR+0.5 and
MLR and
MLR+1
SPR+0.5
Short-term Loan from Financial Institutions 191.11 337.35 MLR and
MLR+1
MLR, MLR+1
and 10.75
Long-term Loan from Financial Institutions SME 22.82 34.56 MLR+2 MLR+2
29.3 Risk from Exchange rate
The Company constitutes risk from exchange rate since the Company purchases
merchandise from overseas while fixed exchange rate is immediately determined as of the
date letter of credit is changed to trust receipt. The Company did not perform the contract to
hedge against risk. However, the Company management believe that there is no material
affect to the Company financial statements.
29.4 Risk on Credit Provision
The Company faces risk from extending credit to customers who default on payment
however the Company evaluates each client’s ability to pay before giving credit and make a
sufficient provision for doubtful debts in accordance with accounting policy and the
Company’s management believe that adequate.
29.5 Fair Value
The Company required the follow-up of the financial assets and liabilities for every
accounting period to find out as to whether the book value is materially different from the
fair value. From such policy, the Company believes that the book value of the financial
assets and Liabilities will not materially different from fair value.
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