Chemical Company of Malaysia Berhad Annual Report 2018

Notes to the Financial Statements Amounts in RM’000 unless otherwise stated Chemical Company of Malaysia Berhad is a public limited liability company, incorporated and domiciled in Malaysia and is listed on the Main Market of Bursa Malaysia Securities Berhad. The address of the principal place of business and registered office of the Company is as follows: Principal place of business and registered office 13th Floor Menara PNB 201-A, Jalan Tun Razak 50400 Kuala Lumpur The consolidated financial statements of the Company as at and for the financial year ended 31 December 2018 comprise the Company and its subsidiaries (together referred to as the “Group” and individually referred to as “Group entities”) and the Group’s interest in an associate. The financial statements of the Company as at and for the financial year ended 31 December 2018 do not include other entities. Chemical Company of Malaysia Berhad is an investment holding and management company with subsidiaries engaged in the manufacturing and marketing of chemicals and polymers products and services as stated in Note 6 to the financial statements. The holding company is Permodalan Nasional Berhad (“PNB”), a company incorporated in Malaysia. These financial statements were authorised for issue by the Board of Directors on 14 March 2019. 1. BASIS OF PREPARATION (a) Statement of compliance The financial statements of the Group and the Company have been prepared in accordance with Malaysian Financial Reporting Standards (“MFRSs”), International Financial Reporting Standards (“IFRSs”) and the requirements of the Companies Act 2016 in Malaysia. The following are accounting standards, amendments and interpretations that have been issued by the Malaysian Accounting Standards Board (“MASB”) but have not been adopted by the Group and the Company: MFRSs, Interpretations and amendments effective for annual periods beginning on or after 1 January 2019 • MFRS 16, Leases • IC Interpretation 23, Uncertainty over Income Tax Treatments • Amendments to MFRS 3, Business Combinations (Annual Improvements to MFRS Standards 2015-2017 Cycle) • Amendments to MFRS 9, Financial Instruments – Prepayment Features with Negative Compensation • Amendments to MFRS 11, Joint Arrangements (Annual Improvements to MFRS Standards 2015-2017 Cycle) • Amendments to MFRS 112, Income Taxes (Annual Improvements to MFRS Standards 2015-2017 Cycle) • Amendments to MFRS 119, Employee Benefits – Plan Amendment, Curtailment or Settlement • Amendments to MFRS 123, Borrowing Costs (Annual Improvements to MFRS Standards 2015-2017 Cycle) • Amendments to MFRS 128, Investments in Associates and Joint Ventures – Long-term Interests in Associates and Joint Ventures 114 ANNUAL REPORT 2018