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Notes to the financial statements
31 December 2014
Bursa Malaysia
•
Annual Report 2014
144
26. Other reserves (cont’d.)
(f) AFS reserve
AFS reserve represents the cumulative fair value changes, net of tax, of AFS financial assets until they are disposed or impaired.
27. Retained earnings
The Company is able to distribute dividends out of its entire retained earnings under the single-tier system.
28. Employee benefits
(a) Retirement benefit obligations
The Group operates a funded, defined Retirement Benefit Scheme (the Scheme) for its eligible employees. Contributions to the Scheme are made to a
separately administered fund. Under the Scheme, eligible employees are entitled to a lump sum, upon leaving service, calculated based on the multiplication
of two times the Final Scheme Salary, Pensionable Service and a variable factor based on service years, less EPF offset. The Scheme was closed to new
entrants effective 1 September 2003.
The amounts recognised in the statements of financial position were determined as follows:
Group and Company
2014
2013
RM’000
RM’000
Present value of funded defined benefit obligations
27,943
30,440
Fair value of plan assets
(1,338)
(1,490)
Net liability arising from defined benefit obligations
26,605
28,950