Ni Hsin Berhad Annual Report 2017

27. Related parties Identity of related parties For the purposes of these financial statements, parties are considered to be related to the Group if the Group or the Company has the ability, directly or indirectly, to control or jointly control the party or exercise significant influence over the party in making financial and operating decisions, or vice versa, or where the Group or the Company and the party are subject to common control. Related parties may be individuals or other entities. Related parties also include key management personnel defined as those persons having authority and responsibility for planning, directing and controlling the activities of the Group either directly or indirectly. Key management personnel include all the Directors of the Group, and certain members of senior management of the Group. The Group has related party relationship with significant investors, subsidiaries, Directors and key management personnel. Significant related party transactions Related party transactions have been entered into in the normal course of business under normal trade terms. The significant related party transactions of the Group and the Company are as follows: Transaction Balance value for year outstanding ended 31 December as at 31 December 2017 2016 2017 2016 RM’000 RM’000 RM’000 RM’000 Company Dividend income from subsidiaries (500) (2,100) - - Management fees from subsidiaries (240) (480) - - Administration fee paid on behalf of subsidiary 171 54 - 79 Group Related parties: Standardworld Holding Ltd. Marketing fee 701 740 (116) (148) Sun New Stainless Steel Industry Ltd. Sales (2,569) (3,038) 112 300 Purchases 89 136 - (1) Ni Hsin International Trade Shanghai Co. Ltd. Purchases - 4 - - Everpro Sdn. Bhd. Sales (3,294) (2,142) 560 628 Purchases - 4 - - Rental income receivable (228) (162) - - I.D.M. Creative Development Co. Ltd. Sales (634) (848) 2 237 Purchases 419 235 - (4) Buffalo GSB Sdn. Bhd. Sales (2) (5) - - Buffalo Cookware Australia Pty. Ltd. Sales (358) (494) 51 - Notes to the financial statements (continued) Annual Report 2017 90