MISC Annual Report 2017

NOTES TO THE FINANCIAL STATEMENTS MISC BERHAD | Annual Report 2017 254 25. TRADE AND OTHER PAYABLES (CONT'D.) (a) Trade payables Trade payables are non-interest bearing and the normal trade credit terms granted to the Group ranges from 14 to 90 days (2016: 14 to 90 days). (b) Other payables and amounts due to related parties The non-trade balances due to holding company, subsidiaries, fellow subsidiaries, associates and joint ventures are repayable on demand and are non-interest bearing. (c) Provisions Group Corporation 2017 RM'000 2016 RM'000 2017 RM'000 2016 RM'000 At 1 January 1,024,813 1,277,024 997,110 1,184,363 Arose during the year (Note 5) 45,512 226,025 45,512 218,197 Utilised (903,994) (301,698) (886,528) (262,297) Reversal of provision (57,957) (278,511) (57,957) (247,581) Unwinding of discount 19,680 70,129 19,680 70,129 Currency translation differences (45,545) 31,844 (43,760) 34,299 At 31 December 82,509 1,024,813 74,057 997,110 Current 82,509 342,987 74,057 315,284 Non-current: Later than 1 year but not later than 2 years - 256,085 - 256,085 Later than 2 years but not later than 5 years - 425,741 - 425,741 - 681,826 - 681,826 82,509 1,024,813 74,057 997,110 The previous financial year provision balance includes the contract for in-chartered ships where the unavoidable cost of meeting the obligations under the contracts exceed the economic benefits expected to be derived from the assets ("contract for in- chartered ships"), termination benefits provided to employees and provision for litigation claims. During the current financial year, the Group has terminated the contract for in-chartered ships. Hence, a reversal of provision related to the contract for in- chartered ships was recognised amounting to RM57,832,000.