NOTES TO
THE FINANCIAL STATEMENTS
FOR THE FINANCIAL YEAR ENDED 31 MAY 2015
114
GKE CORPORATION LIMITED
ANNUAL REPORT 2015
24.
BORROWINGS
Group
Company
2015
2014
2015
2014
$’000
$’000
$’000
$’000
Current:
Bank loan (secured)
8,219
4,445
4,576
1,042
Bank overdrafts (secured)
–
46
–
–
8,219
4,491
4,576
1,042
Non-current:
Bank loan (secured)
61,155
65,170
17,595
18,667
Total borrowings
69,374
69,661
22,171
19,709
The Group’s and Company’s bank borrowings comprise the following:
(i) Bank overdrafts
Bank overdrafts were denominated in SGD bore interest at bank’s prime lending rate prevailing from
time to time. The bank’s prime lending rate was at 5.00% per annum. The bank overdrafts were
secured by legal mortgage of the leasehold buildings and improvements of the subsidiary and corporate
guarantee from the Company.
(ii) Money Market Loan
The Money Market Loan (“MML”) of $3,500,000 (2014: $Nil) bore interest at 3.0% ($Nil) per annum
and matured on 3 June 2015. The MML is secured by legal mortgage of the leasehold buildings and
improvements of the subsidiary, corporate guarantee from subsidiary and corporate guarantee from
the Company.
(iii) 5-year RMB bank term loan
The 5-year term loan of RMB5,067,000 ($1,114,000) (2014: RMB5,067,000 ($1,030,000)) bore interest
at 120% of the People’s Republic of China’s central bank lending rate per annum. The term loan is
secured by legal mortgage of the land use rights of the subsidiary and corporate guarantee from the
Company. The first principal instalment will be repayable on the 21st month from first drawdown date.
