MSM Malaysia Holdings Berhad Annual Report 2019

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2019 27 DERIVATIVE FINANCIAL INSTRUMENTS (CONTINUED) Group (continued) 2019 2018 Derivative Notional (liabilities)/ Notional Derivative amount assets amount assets RM’000 RM’000 RM’000 RM’000 Sugar futures contracts 32,341 2,388 - - Sugar commodity options - - - (630) Foreign exchange forward contracts - 68 - - Islamic profit rate swap 500,000 (4,968) 458,333 561 532,341 (2,512) 458,333 (69) 2019 2018 Company Assets Liabilities Assets Liabilities RM’000 RM’000 RM’000 RM’000 Non-current: Islamic profit rate swap - (4,968) 561 - 2019 2018 Notional Derivative Notional Derivative amount liabilities amount assets RM’000 RM’000 RM’000 RM’000 Islamic profit rate swap 500,000 (4,968) 458,333 561 28 CASH AND CASH EQUIVALENTS Cash and cash equivalents comprise of the followings: Group Company 2019 2018 2019 2018 RM’000 RM’000 RM’000 RM’000 Fixed deposits with licensed investment bank in Malaysia 143,652 148,786 29,282 115,071 Cash and bank balances 26,884 42,777 5,071 1,327 Deposits, cash and bank balances 170,536 191,563 34,353 116,398 Less: Restricted cash (17,575) (93,343) (17,575) (93,343) Cash and cash equivalents 152,961 98,220 16,778 23,055 The effective interest rates of the fixed deposits range from 2.80% - 3.25% (2018: 2.90% - 4.85%) per annum for the Group and range from 2.80% - 3.25% (2018: 0.61% - 3.95% per annum for the Company respectively. All fixed deposits have original maturity terms of 3 months or less (2018: 3 months or less). Bank balances are deposits held at call with banks and earn no interest. Restricted cash relates to bank balance pledged in order to obtain certain bank facilities. 195 FINANCIAL STATEMENTS 08