Annual Report 2012, PDF - Axiata Group Berhad - Investor Relations

NOTES TO THEFINANCIAL STATEMENTSFOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2012 (CONTINUED)43. LIST OF JOINTLY CONTROLLED ENTITIESName of company% of Group’seffectiveshareholding2012 2011Principal activitiesPlace ofincorporationJointly controlledentities held throughCelcom Axiata BerhadPLDT Malaysia Sdn Bhd 49.00 – Provision of mobile communicationservices in Malaysia as a mobile virtualnetwork operator in reliance on a thirdparty mobile network operator for theprovision of network facilities, carriage ofcommunications and spectrumDigital Milestone Sdn Bhd 51.00 – Intended as a joint venture entity inrelation to pre-bid activities andformulation of bid for the development,supply, commissioning, marketing andoperation of digital television transmissioninfrastructure in MalaysiaMalaysiaMalaysia44. RELATED PARTY TRANSACTIONSAll related party transactions were entered into in the normal course of business and at prices available atnegotiated terms. The names of these related parties, nature of these transactions and their total value havebeen set out in accordance with the provisions of MFRS 124: “Related Party Disclosure”.The Government of Malaysia and bodies controlled or jointly controlled by the Government of Malaysia arerelated parties of the Group. The Group enters into transactions with many of these bodies, which includes butis not limited to:– receiving telecommunications services, including interconnection revenue/charges– purchasing of goods, including use of public utilities and amenities, and– placing of bank depositsThe Group has established its procurement policies and approval processes for purchases of products andservices, which do not depend on whether the counterparties are government-related entities or not.The Group provides telecommunications services as part of its ordinary operations. The Group has collectively,but not individually significant transactions with Government-related entities. These telecommunication servicesare carried out on commercial terms that are consistently applied to all customers.300