EXCEL FORCE MSC BERHAD Annual Report 2020

EXCEL FORCE MSC BERHAD - ANNUAL REPORT 2020 119 NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2020 (CONT’D) 37. CAPITAL COMMITMENT Group and Company 2020 2019 RM RM Authorised and contracted for: - Property, plant and equipment 3,527,258 3,527,258 38. SIGNIFICANT EVENT On 11 March 2020, the World Health Organisation declared the COVID-19 outbreak as a pandemic in recognition of its rapid spread across the globe. The COVID-19 outbreak has resulted in travel restrictions, quarantines, lockdowns and other precautionary measures imposed by various countries. The emergence of the COVID-19 outbreak since early 2020 has brought significant economic uncertainties in Malaysia and markets in which the Group operates. On 16 March 2020, the Malaysian Government imposed the Movement Control Order (“MCO”) from 18 March 2020 and subsequently entered into various phases of the MCO until 28 April 2021 to curb the spread of the COVID-19 pandemic in Malaysia. Due to implementation of the MCO, the Group has temporary shut down its premises from 18 March 2020 till 3 May 2020 in alignment with the MCO policy. Subsequently, on 4 May 2020, the Group resumes its operations with proper standard operating procedures put in place. The disruption of its operations during the financial year due to MCO and the relevant financial impact has been taken into account in the financial results of the Group and of the Company. As the COVID-19 pandemic situation is still evolving as at the date of authorisation of the financial statements, the ultimate impact of the COVID-19 is highly uncertain and subject to change. The Group and the Company will continuously monitor the impact of COVID-19 on their operations and their financial performance. The Group and the Company will also be taking appropriate and timely measures to minimise the potential impact of the outbreak on the Group’s and the Company’s operation. 39. DATE OF AUTHORISATION FOR ISSUE The financial statements were authorised for issue by the Board of Directors in accordance with a resolution of the Directors on 15 April 2021.